The Exporters' Club stresses that Morocco is a very important country for the Spanish economy

Atalayar's programme on Capital Radio interviewed Antonio Bonet, president of the Exporters' Club, to talk about the situation of various Spanish companies in this difficult period. 

Antonio, how are you living this situation? We have two major European capitals in a state of alarm. How does this affect Spanish businessmen outside our borders

What we have is a major economic crisis in Spain and in other countries. This is affecting Spanish companies in a major way. Let us not forget that in the previous crisis (2008) it was largely the exporting companies that pulled Spain out of the crisis. In those years, the export of goods and services represented 23-24% of GDP, and in 2019 it was almost 35%. This increased and helped to a great extent to get out of the crisis.

What is happening now? Well, because of the characteristics of the crisis, it is going to be very difficult for companies to get Spain out of it in the short term. 

We all know the reasons for this, from the Exporters' Club we talk above all about mobility restrictions. There are countries trying to get tourism back on track, but these restrictions also affect the execution of ongoing contracts (setting up a wind farm, building a hospital, maintenance of capital goods). If you cannot travel you cannot execute contracts.

This also affects the search for new customers to continue growing. Almost all trade fairs in the world have been suspended. These fairs are where, above all, SMEs show their goods and services, make contacts and choose suppliers. That is to say, due to mobility restrictions it is a very complicated situation.

On the other hand we have the crisis that exists in many other countries. In short, Spain is one of the countries that is suffering most from the economic crisis, but the other countries are too. If consumption falls, investment, all due to uncertainty and the crisis, it also affects Spanish exporters.

In short, the short-term outlook is not at all encouraging.

What would you say to the Administration (I imagine that you have had the opportunity to speak to the Government) to help Spain improve in positive terms in the balance of trade

Undoubtedly, from the Exporters' Club we have had quite a lot of contact with the administration and the Ministry of Industry, Trade and Tourism, and we have presented a decalogue of measures that we think can help exports. 

We have been taken into account in many of the measures. For example, the Embassies are playing a much more active role because companies cannot travel and are facilitating contacts and negotiations with local partners.

It must also be recognised that in two of the most serious issues there were, the government has taken appropriate measures: liquidity issues such as the ICO loans which have consumed the 100 billion guarantees almost in their entirety. (This has been extremely important so that companies can avoid drowning). And the whole issue of the ERTES... The government has taken the measures (with greater or lesser intensity) like other western governments.

What we have asked for, and what has not been achieved, is for the mobility issues to be resolved. It is very important that there is a common policy at European level so that there is mobility, at least within the European Union. We have seen this this this summer where there were countries that wanted a series of requirements to decide who enters and leaves the country.

We think that a common policy would have been very important, and obviously the Spanish government should have asked for this. Surely it has tried but it has not succeeded.

From the Exporters' Club we think it is important for companies to have local representation in the markets where they are working or where they want to work in the future. This is done in two ways: through agents or through the creation of subsidiaries. 

One of the things we recommend doing would be to review the programmes already in place to help set up subsidiaries abroad so that it is easier and less burdensome. It is also very important that the tax conditions of companies in their business activities do not worsen. We are not asking for them to improve, but not to get worse.

For example, the issue of double taxation on dividends, or the extension of expenses when an investment is made and goes wrong, we ask that the Spanish company be able to continue to deduct that expense. The announcements we have heard from some members of the Government do not go that way, which worries us.

They go in the opposite direction rather... Let's talk about Morocco. Online travel agencies in Seville and Malaga, tour operators working on both sides of the Mediterranean. What is Morocco's value in Spanish exports?

Morocco is an important country for Spain; we have a very high and significant volume of exports. It is our main client by far from the entire African continent. It is a country where there is a lot of Spanish investment. More than 700 Spanish companies are established in Morocco. In other words, objective data today indicate that Morocco is very important.

And in the future it will be even more so. It is a fact that the global value chains are being reconfigured. The pandemic has accelerated a number of trends. Companies are bringing production closer to consumer markets. There are already companies that are thinking that instead of building in China, they should build closer to the Spanish market. And Morocco is a great candidate.

Therefore, from the Exporters' Club we think that the importance of this country is going to be much greater. It is a stable country, with good relations in the EU and Spain. It is a safe and growing country. The future of bilateral relations is going to be better than it is right now. And this is a good thing.

The European funds, sooner or later, are supposed to arrive in Spain. The Exporters' Club is also applying for this aid, and what advantages can they have now from receiving part of these funds for their activity

From the Exporters Club we do not apply for European funds or any other type because it does not fall within the club's activity. As a business organisation we do three things: maintain a continuous dialogue with the government and parliament, the parties and the media on issues of internalisation. We try to be constructive, contribute ideas, look for solutions... Always with a constructive spirit. We are a kind of 'think tank'.

Secondly, we organise networking activities for our partner companies where the idea is to exchange ideas, opinions, contacts, business cards with Spanish and foreign authorities, between the companies themselves... 

For example, we recently held a virtual event with the President of CESDE, where there was a new presentation of CESDE's products and then we held a debate.

It does not fit in the club to apply for European investments. The track record (investor performance curve) in recent years is not particularly good. We will have to look at the cohesion funds to see how much we have been able to spend of what we have been allocated.

Do we have the capacity as a country to carry out all the projects that meet the EU's requirements, and are we going to be able to spend these funds of 140 billion efficiently? 

That is the question, it would be a shame if we were not able to do so.