Polish retail and industry affected by the war in Ukraine -- PIE

The effects of the war in Ukraine are being felt by Polish companies, with the increase in the prices of materials and raw materials affecting 44% of Polish companies, and 42% pointing to an increase in operating costs, according to a recent report by the Polish Economic Institute (PIE). The report found that the war had a strong impact on key areas of business operations, including supply and investment goods, and that the impact was felt regardless of company size. The research showed that industrial processing companies felt the impact the most, while culture, entertainment, and recreation, as well as professional, scientific and technical activities, were least affected.

As many as 43% of companies felt the effects of the war the least, or not at all. Often time because of the scope of their business activity. The second group (36%) felt moderate impact of the war on sales and orders, as well as partner cooperation, however, they were also effected by growing raw materials prices, and had to increase their prices. The remaining 24% of companies felt the effects of the war the most in all areas of operation. The negative impact of the war on Ukrainian workers’ emigration was most severely experienced by those industries that also made significant use of seasonal workers, such as transport and storage, industrial processing, and construction.

"The inclusion of emigrants from Ukraine in the socio-economic development of Poland is becoming an opportunity for our country, but attracting them is still a challenge," said Aleksandra Wejt-Knyżewska from PIE. The research showed that nearly half of the companies felt the impact of the war on the employment of Ukrainian workers, with industries that use seasonal workers or workers without specialist qualifications experiencing an improvement in employment due to the influx of Ukrainians.

Source: PAP