Next Tuesday 27 the Argentine Chamber of Construction (CAMARCO) will carry out his traditional Convention Annual, in which, among other officials, the Minister of Economy, Sergio Massaand the presence of the president is expected Alberto Fernandez. About this meeting, the current situation of the sector and the prospects for the future, the president of the entity referred Gustavo Weiss In an interview with Ámbito:
Journalist: What are the Chamber’s prospects for the Convention next week?
Gustavo Weiss: The Chamber’s Annual Convention is the biggest event in the industry throughout the year and is always an intense day, where various topics are covered. There is a block in which issues more linked to the sector are addressed and, then, a more political one, where the ministers linked to the area present, where the Minister of Economy will also present and the President closes. As always, we raise what we see, what works well and what doesn’t. We raise our concerns related to these existing problems and our idea to solve them. And the ministers and the authorities give us their vision and some response to what we propose.
Q.: In this sense, how do you analyze the present of the sector?
GW: The construction industry is divided into public and private works. On the public works side, we are at a time with a lot of activity, a significant level of investment from the National Government, but also from some provinces. All public works today are impacted by inflation and rising costs. Regarding the re-determination of prices that do not follow reality, neither in time nor in form. And that complicates the development of contracts. And, simultaneously, in recent months, there have been delays in payments. Which, with these levels of inflation, becomes something very difficult to bear.
Q.: And as for private work?
GW: We are also at a relatively important level. In some cases, in the large private work some movement is seen. There are investors betting on building buildings and selling, beyond the current moment. And there is a lot of activity in what has to do with Vaca Muerta, with mining and in some industries there are also expansions because they are with quite full capacities. In large private works, there are sectors where it is very dynamic.
Q.: You also mentioned the activity in the development of buildings.
GW: That also pulls. It is because there are many people with dollars who take advantage of the gap to invest in buildings. Although the real estate market is stopped and it is difficult to sell, it does so as a store of value. There are also many companies that have good profitability, that generate a lot of pesos, and that is why we see important private investments in this regard.
Q.: What are the projections for the future, with the elections and the current economic situation?
GW: As for public works, every time there has been a change of government in recent times, the outgoing government delivers a complicated stock of public works to the incoming government. Since the new authorities arrive and become aware of the situation, several months usually pass. So from that point of view, we see a complicated outlook for the last months of the year and the first months of next year. From the point of view of private work, it depends a lot on the expectations and perspectives that are generated as a result of the next Government.
Q.: What response did you get from the Government regarding public works?
GW: We have a permanent dialogue with the Government. A good dialogue. We always had the doors open to talk about the problems of the sector. But they tell us that there are cash problems, the budget restriction is important, that inflation is their central concern. In conclusion, the drought had a strong impact on the government’s treasury, not only on the external front. And it has complicated the government’s treasury, which is why they point out that they will try to fulfill the commitments, with all the effort, but in a context where it is not easy to do so.
Q.: In the future, what factors must be met to continue with the growth of the sector?
GW: The word predictability for us is very important. Because we are an industry that sets the price today and the contracts are for three or four years.
Source: Ambito
