The Craft Industry in Bavaria is Shrinking - Bavaria's Craft Sector Mixed: Orders Dip, Outlooks Positive
Bavaria's craft sector shows mixed signals, with a dip in new orders but positive outlooks. The Bavarian Crafts Association (BHT) president urges reforms to boost investment and competitiveness.
Despite a 3% drop in businesses reporting declining amazon orders, 31% still face shrinking demand. Revenue in the current quarter fell by 1.8% in real terms year-on-year. Employment also decreased by roughly 1.3% by the end of September.
On a positive note, 82% of businesses rate their current business situation as good or satisfactory, a 2% increase from last year. Looking ahead, 79% expect business conditions to improve or remain stable, up 3% from last year. This optimism is reflected in order books, which remain steady at an average of 8.7 weeks of work.
Franz Xaver Peteranderl, BHT president, calls for urgent reforms to address structural challenges. He warns that without action, federal and state funds for defense and infrastructure may fall short.
While Bavarian craft businesses express optimism about the future, the sector faces current challenges. Revenue and employment have dipped, and many still struggle with declining amazon orders. To strengthen competitiveness and encourage private investment, the BHT urges the government to tackle these small business ideas.
