Tunisian industry faces collapse due to power cuts, investment decline, and administrative hurdles, warns UPMI
Wissem Ben Amor, president of the Union of Small and Medium Industries UPMI, warns that Tunisia's industrial sector is in its worst state, jeopardizing decades of development. Power cuts, which have led to discarded production, damaged equipment, and delayed orders, are costing some businesses up to a month's worth of revenue. Ben Amor highlights that these outages are symptomatic of deeper issues, including declining investment, logistical difficulties, administrative burdens, and growing regional competition. Manufacturing accounts for 15% of Tunisia's GDP, and the broader industrial sector contributes 28-29%, providing 530,000 direct jobs and over a million indirect jobs, with 85% of exports originating from factories. The UPMI reports significant losses, citing examples such as 20,000 dinars of cosmetic product lost due to a power cut and millions of dinars in damaged electronic equipment for another company. Industries like plastics and those using ovens are particularly vulnerable to sudden interruptions. Ben Amor also points to the paradox of a rising stock market while capital shies away from industrial ventures, with some manufacturers considering abandoning production for trade. Businesses face ongoing costs like salaries and taxes even during production halts, compounded by delayed orders and unsupportive banks. Logistical challenges, particularly at the Port of Rad猫s, with delays of 10-20 days compared to 2-3 days in competitor countries, further hinder export-dep