Not all retail stores ready to open on Monday

Not all retail stores — from micro to major chains and franchises – will reopen on Monday.

Business Day was told they just do not have the money to reopen while others, like Courts, will only open some branches.

President of the Greater Tunapuna Chamber of Industry and Commerce (GTCIC) Melissa Senhouse said her association was still collecting data from the businesses in the area, but estimated there were about 1,000, ranging from micro to medium enterprises.

She said the feedback from the owners they had contacted was mixed and a more accurate analysis of the retail sector in the GTCIC will be better determined next week.

“Many of the business owners were anxious about the reopening, but worried at the same time about sustainability." But, she said, “They have welcomed it after being closed for almost three months. Most of our businesses are small and were not able to pay their employees while at home. They are happy to be able to earn an income again,” she said.

Senhouse added that in the midst of the retail sector reopening, there were still many businesses in the micro and small enterprises categories that would not open.

She explained they did not have the money to spend that comes with reopening, such as rent, transport, restocking and paying salaries.

“Since a large number of people would have been unemployed over the period, reopening, for some businesses, just did not make sense.

“People do not have money to spend. Who would really be purchasing?

"For some, reopening now would be a cost they just can't afford and that was one of the concerns some of the owners have expressed.”

Senhouse welcomed the advocacy by other chambers for VAT refunds and other incentives, but also called for government to consider a moratorium on utility bills for micro and small businesses.

“The VAT refund is a fantastic idea for the medium to large business. Micro and small businesses needed other assistance and believe a moratorium on water, electricity and other utilities would be helpful. Nedco has been helpful but I think it can be ramped up a more.”

Unfortunately, an uptick in the retail sector will take a while, Senhouse said, and businesses have said they are unable to bring back all their staff and some indicated a rotation of workers.

She said vaccinations were important to get the economy going again and the chamber has been collecting data and encouraging retail workers to be vaccinated.

“We have been inquiring into vaccinations, such as how many staff have been vaccinated in each business and their thoughts on mandatory vaccinations.

“We have collected the names of people interested in vaccinations and have assisted with appointments. What percentage that represents of their staff complement is what we are unsure of.”

Additionally, Senhouse called for the government to allow personal care establishments, such as spas, barbershops, hairdressers and others to reopen, as there has been noticeable permanent closure of such businesses.

Public relations manager at Courts Trinidad Shahad Ali told Business Day the company was still in talks about reopening all its branches.

He was unable to say which were considered for reopening or temporary closure.

“I can’t confirm if we will be opening all our stores just yet, but we are obviously planning to open as many as we can, given the resources available. We have to monitor the demand for products and services, and that would really determine the reopening of branches.”

The retail chain employs an estimated 900 workers in stores across the country.

The Ministry of Trade and Industry, in a media release on Wednesday, said the retail sector has about 8,656 business establishments, contributing an estimated 13 per cent or approximately $20.3 billion annually to the country’s gross domestic product, and employs in excess of 78,000 people.

It recognised the sacrifice made by the private sector during the pandemic period in supporting the efforts to combat the spread of covid19 and pointed to a myriad of forms of social assistance offered to various sectors.

“Undoubtedly, the business sector including retail, globally, has faced many economic challenges, being unable to consistently operate in their normal capacity.

“From the outset of the pandemic, the government sought to maintain some degree of business operations within the retail sector by allowing discount stores, markets, supermarkets, fruit stalls or shops, vegetable stalls or shops, agricultural shops, bakeries and “parlours”, pharmacies and hardwares to be opened. Additionally, energy, manufacturing and other sectors remained substantially opened.”

Increased shipping costs from some countries moved from about US$2,500-US$15,000 for a 20-foot container and from US$4,000-US$20,000 for a 40-foot container, increases which have raised concerns for many business owners.