Pandemic seriously affects shoemakers of La Libertad in Peru
The department of La Libertad, located in the northwest of the country, is made up of, among others, the province of Trujillo, where the homonymous capital city and the district of El Porvenir are located, which together make up one of the main shoe areas of Peru.
According to sources from the sector, the region has an average of 3,000 workshops, factories and establishments dedicated to activities related to leather, footwear and manufactures. The fundamental characteristic is its size, where micro and small companies are the majority. Another important fact is the high prevailing informality, which makes it difficult to quantify and relate to government agencies, in order to project and help the sector.
This item has a great potential to boost the economy and generate jobs, however, due to the causes and effects of the coronavirus, industrialists pointed out that factories reduced 70% of the workforce of their productions due to the drop in sales. Thus they consider that 50% of the industries are paralyzed and many of them are at risk of closing permanently.
For analysts, the recovery of the sector could materialize in the second quarter of 2021, to the extent that working conditions improve. For this, it was recommended to promote the association of small producers to form more competitive companies and at the same time promote the formality that allows the sector to access financing to overcome the crisis.
In line with the collaborative actions with the industry in the region, the Ombudsman's Office of La Libertad requested the president of the Council of Ministers of Peru to include local micro and small businesses in the process of purchasing footwear and harnesses for the National Police. The proposal was made before the government call that included only Lima and Callao, without taking into account the La Libertad region, considered one of the largest shoe producing areas in the country.
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