Family businesses in Galicia require a stable legal framework

José Silveira Martín is the new president of the Association of Galician Family Companies (AGEF), which held its twenty-third member assembly yesterday in Santiago. The general manager of the Nosa Terra 21 group replaces Víctor Nogueira (from the Nogar group) in the position, who served two three-year terms. Silveira thanked the members for their trust AGEF, 60 main family companies in Galiciaand the work of his predecessors in office.

In his first speech as president, he called for legal certainty and a stable legal framework that allows family businesses to grow, consolidate or simply survive. He added that “eliminating and streamlining bureaucracy as much as possible is key to attracting companies, but also to avoid relocation”, demanding that public authorities raise the level of discussion. Silveira demanded sensitivity towards administrations with manufacturing and industrial sectors when passing laws; for example, its rules favor the survival of companies in succession and generational changes, issues that represent a challenge for the companies that make up the association. In this regard, he thanked the Xunta for its willingness to establish legislation that facilitates the transfer of family businesses, “we are the ones who live here”.

But warned that Galicia is a small market and companies must internationalize: «And for that it is necessary to optimize the transport network that connects us with other national and international economic and industrial centers», marking Portugal as a priority. He pointed out that not only the Atlantic Corridor is needed, but “also for the high-speed railway to reach Vigo without having to go around half of Galicia” and to work on increasing the synergy with Portugal, in some way which high speed connects A Coruña with Lisbon. He emphasized that improving connectivity will not only favor the growth of Galician companies, but will also be an incentive to attract foreign investment.

Family business, in numbers

Silveira Martín provided information on the relevance of the Galician family business: 80,000 companies employing 447,000 workers (86.3% of Galician private employment) i turnover of 96,000 million euros in 2022, with 25,000 million gross added value. Figures that make Galicia the third community with the highest share of family businesses.

The AGEF assembly was attended by ministers Francisco Conde, Miguel Corgos and María Jesús Lorenzana, as well as the president of the Confederation of Galician Entrepreneurs, Juan Manuel Vieites, and the president of Abanco, Juan Carlos Escotet. Conde emphasized the commitment of Xunte’s business structure to face the challenges of digitization and energy efficiency, and reminded that today is the deadline for applying for help from the technology fund: 3.8 million euros for projects that introduce new technologies, innovations and sustainability.