Alicante’s economic exports and the fight for competitiveness
Alicante faces a sharp debate about balancing work hours, costs, and global competitiveness. The leadership at the Research Institute of the Province of Alicante, Ineca, has criticized the labor and financial measures embedded in a recent investment agreement. The provincial view is that shortening the workweek to 37.5 hours could weaken the region’s capacity to compete in international markets, especially given current productivity and investment rates. The concern goes beyond cost consideration; it centers on sustaining the ability of firms to grow exports in a tough global environment, where small businesses in Alicante often struggle to fund the necessary investments to expand abroad.
During a press briefing accompanying Ineca’s quarterly status report, the organization highlighted a worrisome trend: foreign sales have slowed across the country this year. Alicante’s share in Spain’s exports has declined over the past decade, with small and medium-sized firms in the region showing limited capacity to scale internationally. The share of Alicante-produced goods in national exports slipped from 2.88 percent in 2000 to 1.82 percent in the previous year, and stood around 1.74 percent in August of the current year. Ineca warns that this downward trajectory mirrors a broader struggle for regional exporters and underscores the need for renewed investment and policy focus (Ineca, 2024).
Alicante exports rely on skilled workers and regional opportunity
If the province speaks plainly, the task is clear. Competitiveness must rise through better productivity and a stronger presence in international markets. The current dynamic, where higher labor costs and lower productivity collide with tax burdens, makes the goal feel harder to reach. The think tank leadership argues that some key policy reform components have advanced without sufficient social dialogue, which complicates consensus and execution.
Ainews from Ineca also notes the tension between the expectation of policy gains and the reality of firm-level execution. The organization emphasizes that a primary duty is to ensure that investments beyond those planned in the public budget are actually carried out. The forecast is that only a portion of budgeted investments materialize, a point the institute uses to illustrate the gap between planning and real-world impact. In its own words, the experience in many companies would be read as a warning about overpromising and underdelivering on the ground (Ineca, 2024).
Valencia’s momentum vs Alicante in the digital economy race
The discussion moves to the regional digital economy, where Ineca notes that some agreements driven by electoral considerations do not capture the province’s long-term needs. Ineca argues that promises must translate into concrete actions, not just plans. Following last year’s General State Budget, political reaction emerged after Valencia was highlighted for additional per capita investments and a proposed compensation fund. The question remains where such funding will actually materialize and how it will be allocated to support Alicante’s digital economy and infrastructure needs (Ineca, 2024).
A positive evaluation from the Consell
In a projection of the first hundred days of the new Consell led by Carlos Mazón, Ineca describes a very positive reception to the institute’s typical demands. The focus includes reducing the tax burden and simplifying bureaucracy so that a smoother process is possible for companies operating in Alicante. This stance reflects a broader expectation that policy moves should translate into tangible relief and quicker procedures for local firms (Ineca, 2024).
Ineca calls for greater investment in Alicante
The president also expressed satisfaction with the clear commitment from various Valencian Government members to advance investment in the province. The emphasis is on providing execution data that demonstrates progress, with Ineca stressing the importance of real action rather than rhetoric. The message remains that bold, well-targeted investments are vital for turning around regional performance and closing the income gap (Ineca, 2024).
Insufficient improvement
The Ineca Status Report acknowledges that most economic indicators have improved in Alicante this year as the economy rebounded from the pandemic. Yet the organization maintains that this improvement is not enough to elevate Alicante’s weight within the national economy. The goal is deeper, longer-term growth, creating a foundation for more intensive and sustainable expansion that narrows the per capita income gap. The president, Nacho Amirola, stresses that the region must move beyond short-term gains to empower local firms to compete more effectively on the national stage and worldwide. The path forward requires strengthening the capacity of Alicante companies to grow, innovate, and export. Despite progress, the province remains below the national average in many indicators that drive competitiveness. The emphasis is on cultivating a resilient economic base that supports higher productivity, greater investment, and a stronger presence in international markets (Ineca, 2024).