"The only solution I have left is to close the company. Either the transport subsidy is removed or I will have to end this industry. And the Government of the Canary Islands is closing it, not the market." That is how forceful Agustín Márquez, owner of the company Harinera Lanzaroteña, which has been operating on the island for more than 60 years, is. "It's a death foretold, either it closes in January or it will have to close in April," he laments.
Márquez has been warning for more than two years that transport subsidies are "killing" Harinera Lanzaroteña. And, therefore, he demands that this aid be withdrawn from merchandise coming from other islands and that "free competition" be implemented. In addition, on this occasion it seems that the closure is "imminent". "I will have to close before I go bankrupt, because if not I will not be able to pay the workers' compensation," says the owner of this company.
Harinera Lanzaroteña has been forced to lay off four direct workers this year and two self-employed workers, whose contracts also had to be terminated. "Now I only have 8 workers and also many indirect jobs have been lost," says Agustín Márquez.
The owner of Harinera Lanzaroteña believes that the application of these transport subsidies is "abusive", because the Government of the Canary Islands grants them "differently" depending on each island. Thus, while between the capital islands, that is to say, Gran Canaria and Tenerife, up to 50 percent of the transport cost is subsidized in order not to encourage unfair competition between the two islands, between Gran Canaria and Lanzarote the subsidy is 100 percent, despite the fact that there is also a flour company on the island of Lanzarote.
In short, the flour companies of Gran Canaria do not have to pay for transport to Lanzarote and this harms the Lanzarote company, which is in a situation of inequality.
The support of UGT
Harinera Lanzaroteña has the support of UGT in Lanzarote, which this Tuesday sent a statement to denounce the possible closure of this company. The general secretary of UGT on the island, César Reyes, met this week with the management of Harinera Lanzaroteña to analyze the situation of this industry.
"The disappearance of one of the few companies in the industrial sector that still exist on the island would have, in addition to negative effects on employment, important socio-economic repercussions derived from the dismantling of the scarce industrial production and the increase in the price of the shopping basket," they denounce from the union.
From UGT Lanzarote they point out that the increase in the prices of the products derived from this industry would mean "a greater external dependence on other islands". "All this motivated by unfair competition caused by the unfair system of subsidies to the transport of goods that the regional executive and the State irregularly grant and that benefit the industries of the capital islands to the detriment of the productive fabric of the smaller islands", they indicate.
For César Reyes, the possible closure of Harinera Lanzaroteña shows "once again the lack of will of the regional and national public representatives of Lanzarote, who have turned a deaf ear to the constant warnings of the disappearance of this company and the incompetence to maintain a firm attitude in the defense of the interests of Lanzarote".
"The submission to the interests of the large companies of Gran Canaria and Tenerife and the lack of commitment to the often announced economic diversification, will lead to the agony of a death foretold for the industrial sector of the island", warns César Reyes.
