The economic downturn of many states is a side effect of the introduction of preventive measures in the spread of coronavirus by governments around the world. Increasingly, economists argue that this economic crisis should have happened under any circumstances, and it is obvious that the worldwide pandemic has only accelerated this process.

Domestic economists and analysts announce even the probable loss of the Ukrainian economy. According to their estimates, if quarantined by April 24, Ukraine would lose 1 billion UAH or 1.0% of annual GDP. The government is known to have extended quarantine until mid-May. Here, analysts predict an even greater decline. In particular, if the measures to counter the virus continue at least until the end of May, the state will lose 239 billion UAH, which will already make 6.0% of the annual GDP.

The areas most affected by quarantine are also noted. In particular, the US edition the New York Post identifies that the virus, primarily affected by the energy, financial and banking sectors, industry and manufacturing, services and technology.

Today, businesses around the world have begun calling on their governments to quarantine liberalization. Ukrainian business is not standing aside from this global process.

On April 21, 2020, the Business community of Ukraine approached the government with a clear plan to reduce quarantine. Business associations advocate the resumption of consumer goods trade in individually located premises or buildings with a retail space of no more than 400 square meters and repair of consumer goods. As of May 12, 2020, according to business associations, the government should resume full service, catering, passenger transportation, tourism, markets and hotels. And from June 1 to resume the work of all businesses, regardless of activity.

Recently, Ukrainian restaurateurs have urged government officials to allow establishments to open summer terraces with appropriate security measures. According to estimates of restaurateurs today in Ukraine, there are about 28 thousand catering establishments in which tens of thousands of employees work. The same goes for beauty establishments.

On April 27, 2020, the Ukrainian Association of Furniture Manufacturers, which includes 226 companies, including retailers, material suppliers, designers and manufacturers, also addressed the Cabinet of Ministers of Ukraine with an official request for quarantine liberalization.

Today the furniture industry of Ukraine is more than 5000 enterprises and more than 100000 employers. The major part of furniture enterprises is related to micro and small business, they are individual entrepreneurs who provide themselves with work and several other employees.

In 2019, the furniture industry of Ukraine created a positive trade balance of $ 302 million, exporting $ 674.3 million. The domestic furniture market for home furniture alone in Ukraine is valued at $ 650 million, and in addition to furniture for public places (schools, offices, hotels, restaurants), where the main sales channels are shopping centres, salons, speciality stores, markets and online-playgrounds. The latter account for only 7-8% of the total. That is, during the quarantine the furniture industry of Ukraine virtually closed all channels of sale of furniture.

In their appeal to the government, furniture manufacturers have been asking since May 12, 2020, to allow the work of trading venues that sell furniture and accessories with all relevant protective measures and compliance with current legislation and a guarantee to strictly comply with sanitary standards, namely:

• Personal protective equipment (masks, gloves)
• Presence of antiseptic agents
• Enhanced wet cleaning of all surfaces using disinfectant solutions
• Keeping social distance between visitors
• Strict control over the number of people on the premises
• Strictly adhere to all sanitary standards indoors, both for production and for other needs of manufacturers: warehouses, offices, etc.

At the same time, the Ukrainian Association of Furniture Manufacturers insists on the restored functioning of transport and the possibility of lifting restrictions on the movement of private transport for the carriage of workers exclusively by cars, adding the possibility of using their own or rented buses, of course, with strict observance of safety measures.

In these circumstances, in which most sectors of the economy are today, it is extremely difficult to predict something. Businesses do not fully understand how consumers will react, and the customers do not understand what to expect from the business. What about prices, currency fluctuations and more. It is obvious that in the near future, there should be a dialogue between the authorities and business, which will be able to work out effective steps to overcome economic shocks.

 UAFM Letter to the Government