Governor wants more leather start-ups

22/03/2010

The governor of the Argentinean province of La Rioja, Beder Herrera, has told local media that the national government is close to agreeing an extension to a support programme for manufacturing activities in the wake of the economic downturn.

He has campaigned hard in Buenos Aires for the extension, which will help companies in the leather sector in his province and said he believes the government will confirm its continued support of manufacturing companies within the next two weeks.

The government’s original ‘industrial promotion’ programme is in place until 2012. Mr Herrera said that securing an extension now would help companies maintain their workforces.

He has asked the government in Buenos Aires to prolong the funding it offers manufacturing companies “for a few years”, and to reduce the level of funding by as much as 50% if necessary, but not to withdraw it completely in 2012. “But at the same time, we need new sources of jobs,” he said. “So I am looking for a new promotion project to help start-up companies get off the ground in La Rioja.”

He said a new leather sector industrial park in the town of Chilecito was one of the best examples of what was possible. “If we could support four or five more new companies to set up there, the Chilecito leather cluster would be firmly established,” he added. “Chilecito is going to tan leather, and companies here are going to use that leather to make shoes, upholstery and everything you can make with leather. That will give stability to the companies involved.”