Change production, the state will help you
The aid intended for industry and craft businesses, which intend to redirect their activity in the fight against the coronavirus, was extended until December 2020. The aim of the maneuver being to “relocate strategic productions”, according to Franz Fayot (LSAP).
Eddy RENAULD
The aid intended for industry and craft businesses, which intend to redirect their activity in the fight against the coronavirus, was extended until December 2020. The aim of the maneuver being to “relocate strategic productions”, according to Franz Fayot (LSAP).
Encouraging companies to produce or develop products helping to combat the health crisis linked to Covid-19, such was the approach put in place last April 8 by the Ministry of the Economy when the coronavirus crisis hit the country. A measure taken in an emergency and which, now, will be long-term. Thus, Bill 7559 will take over in order to extend aid beyond the end of the state of crisis.
Meeting in videoconference this Thursday, the deputies of the Committee on the Economy examined the bill and adopted a series of amendments, responding to the recommendations of the Council of State. It is important to note that only projects launched after February 2020 are eligible for public funding. This incentive scheme will also end at the end of 2020, as prescribed by the European framework for this type of aid.
Three to five projects per aid category could start quickly. “So far, around 40 companies have taken a close interest in the aid,” said the Minister of Economy.
This initiative encourages Luxembourg companies to redirect their production. The companies which decided for example to change their rifle of shoulder by focusing on the production of masks and hydroalcoholic gel “are 15 in number“, Specifies thus Damien Valvasori of the ministry for the Economy. The overall amount of this aid is not yet available.
As for the aid scheme of the Ministry of the Economy linked to the production of products in the context of the fight against covid-19, 30 companies have come forward to Luxinnovation. According to the minister, “a dozen concrete projects are currently being analyzed”.
As a reminder, a global envelope of 30 million euros had been put on the table to financially support the research and development (R&D) sector as well as investment. “These two aid schemes are part of the desire to relocate strategic production in Europe”, underlines Franz Fayot. Not stupid in view of the episodic difficulties in obtaining supplies (in number and quality) from distant producers of masks, goggles and protective tunics or respirators.
