Belgian companies not yet affected by the drought - Economic Policy

Belgian companies not yet affected by the drought – Economic Policy

The drought that has been raging for several weeks in our country has not yet seriously affected the production processes of the main economic sectors, indicated Thursday the Federation of Belgian Enterprises (FEB) on the basis of a survey carried out among its sectoral federations largest and most water intensive.

According to the employers’ federation, several reasons can explain why the drought has not yet led to disruption of the production process. First of all, production capacity and demand are reduced taking the summer period. Companies have undoubtedly anticipated by planning no more supply of goods by rail or road. They have also invested in Reduce water consumption.

This does not prevent sectors and companies from “permanently monitoring the situation”. “The longer the heat wave lasts and the longer the rain does not arrive, the greater the impact on businesses. The sectoral federations are currently particularly concerned about the low level of the rivers – and the Rhine in particular – because it can disrupt the supply of raw materials”, further indicates the FEB.

Especially since as the end of the holidays approaches, production capacities and demand will increase again.

According to the employers’ federation, several reasons can explain why the drought has not yet led to a disruption of the production process. First of all, production capacity and demand are reduced taking the summer period. Businesses have probably anticipated by providing more supply of goods by rail or road. They have also invested in reducing water consumption. This does not prevent sectors and companies from “permanently monitoring the situation”. “The longer the heat wave lasts and the longer the rain does not arrive, the greater the impact on businesses. The sectoral federations are currently particularly concerned about the low level of the rivers – and the Rhine in particular – because it can disrupt the supply of raw materials”, further indicates the FEB. Especially since as the end of the holidays approaches, production capacities and demand will increase again.

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