According to the respondents, In II quarter 2000 one should expect growth in sales on a major part of commodity groups, except jewellery, TV and radio sets printed matter and stationery. The strongest growth is expected by the respondents on the following groups: bread and baked products (+20%), wine and alcohol (+19%), construction materials (+46%), household goods and chemicals (+28%), furniture (+20%). On other groups there expected a less extent of growth.

Increase in supplier contracts on home-made goods in II quarter 2000 is expected by 37% of the respondents, with another 54% expecting their stability and still other 6% expecting their decline The balance of expectations in respect of supplier contracts on home-made goods is positive (+31%), yet, in respect of supplier contracts on imported goods the expectations feature downward tendency (-16%). Only 7% of the respondents plan to increase supplier contracts on imported goods. Expectations in respect of sales business with larger consignments of home-made goods are held in all ownership categories. And, besides, the share of public companies who are intended to increase supplier orders on home-made goods reaches 41%, whereas for collective ones it makes 35% and for private it reached 43% (against 29% in the previous quarter). On the other hand, an increase in supplier orders on imports is expected by 12% of the private, 7% of the collective and 7% of the public enterprises.

9% of the respondents who practice bank loans have been persistent with their expectations to shrink their amounts. Another 5% of the sales businesses are intended to increase amounts of the loans. In view of the distribution of the respondents' reports, the inflow of loans is the thinnest in public enterprises (according to the reports, of the public enterprises, 76% have never invested credit resources). The strongest tendency towards investing credit resources is featured by the collectively owned enterprises, although of the latter, the share of those who believe they'd better do without bank loans reaches 65%.

As regards financial & economic performance in the sector in II quarter 2000, it's likely to improve in relation to the previous quarter, in view of expected growth in sales at company level, Positive expectations in this respect are held by 34% of the respondents (in the private sub-sector the figure makes 49%), no changes in relation to the previous year are expected by another 46% and even thinner income inflow is expected by 18% of the enterprises. Hence, the balance is positive and makes +16%, that is, overall situation is expected to be more favourable or quite stable at least.

Basically, improvement in own financial & economic performance is expected by 34% of the respondents (of these, 43% are found in private sub-sector), more or less stable performance is expected by 49%. and aggravating tendencies are apprehended by 14%.

The overwhelming majority (84%) plan to keep own employment intact in II quarter 2000, 12% are going to reduce the employment and 4% are intended to increase the employment. The largest share of those who plan reduction is once and again found in public sector, e.g. 24%. In private sector the share of companies who are intended to pursue similar policies in employment respect is 2,5 lower, e.g. 10%. As for recruitment, the intentions are held mainly in private sector (of the latter sub-category, the share of those who tend to do so makes 9%).

In course of the survey the managers expressed some of their comments and propositions concerning improvements in business conditions of their sector. According to the respondents, it is necessary: to cut short taxes, including VAT; to cut short leasing rates; to cut short interest rates on bank loans and simplify the procedure to receive bank loans; to pay timely wages and salaries, pensions and other benefits which would boost effective customer demand; to cut short the number of obligatory reports for the enterprises irrespective of an ownership category; to develop national production; instead of prepayment scheme, producers should be permitted to ship own products to sales companies given prolongation of the payment terms until the goods are sold; to cut short utility tariffs; to create equal business conditions for all the sales businesses irrespective of an ownership category; to cut short licensing costs for sellers of alcohol; to expand promotion campaign of national producers; to cut short fines and penalties; to up-grade quality of domestic goods; to cut short tariffs on fuels, lubricants and electricity.