If there is one advantage to being hit by a major economic crisis, it is that you cannot miss it. Sometimes, though, trouble does not come with a big bang. Sometimes it comes by stealth, creeping in over a period of time.

If unchecked, this kind of trouble can be even more devastating than the big bang type because by the time one realises what is wrong, too much damage would have been done.

Now, of course, there are indicators to help you understand and keep an economy in check but these indicators, like all statistics, are subject to interpretation.

Our economic statistics have generally been positive, showing growth in our GDP. Unemployment remains relatively low, with the monthly increases witnessed last year and in the first quarter of this year seeming to have stemmed.

But other economic statistics issued by the NSO and Eurostat have been repeatedly showing some worrying aspects.

Our imports and exports are significantly down. Our industrial production is down.

These indicators beg the question: is our industry losing its competitive edge? Do we have a crisis by stealth on our hands or is it simply a blip in a normal economic cycle? The Finance Minister thinks it is the latter, which is probably why not much funds or efforts are being directed to help improve the competitiveness of our manufacturing sector. If there is no problem to solve, then there is no urgent need for a solution.

I am not so confident that all’s quiet on the industrial front.

The manufacturing industry is an essential part of our economic landscape. We earn our daily bread mainly from tourism, financial services and manufacturing.

Tourism and the financial services continue to show robust growth. This is good news all round. It is good news to the investors who are showing more willingness to increase investment; it is good news to the employees who work in these sectors and who see good job prospects in their line of work.

Real and long-term competitive growth will happen if we push for innovation

The same cannot be said of the manufacturing industry. The Chamber of Commerce, Enterprise and Industry is concerned by the drop on the order books, which it thinks is partly attributable to more aggressive competition from other manufacturing bases. I tend to share this view.

The industrial policy launched by the chamber is a reality check of the issues we face and initiatives we urgently need to take as a country to ensure the survival and longevity of an industry that has served us well.

The economic debacle of five years ago led to a series of restructuring programmes at national and company levels.

Companies that survived the crisis came out stronger, leaner and fitter and are in a position today to offer stiffer competition. To be fair, our manufacturing concerns adopted that same strategy and used the crisis to strengthen their operations, with some help from the government.

It was thanks to this effort that we still have a manufacturing industry to talk about today.

The question that needs to be asked is: did we do enough or is there more that needs to be done to continue helping our manufacturing industry to remain competitive?

The truth is that there is no such thing as enough. Our industry, assisted by the government, needs to continue in its restructuring process to ensure its viability.

It also needs a constantly more effective Malta Enterprise and foreign diplomatic commercial services to promote Maltese economic interests abroad.

We need a government that is consistently and persistently forceful in supporting and defending the rights of our industries at the European Union level.

We certainly do not need a repeat of the lethargy seemingly shown when responding to the changes in State aid regulations, which will now make it more difficult for the government to grant fiscal and financial assistance to industry.

The recent changes to our patents legislation aimed at addressing concerns of our pharma industry was a good initiative but more needs to be done.

The downward revision of utility rates promised by the government will certainly be of help unless they are offset by other increases in government-induced costs.

In fact, any effort to reduce the cost base should be welcomed but as part of a multi-pronged strategy which includes also investment in research and development.

Real and long-term competitive growth will happen if we push for innovation, which can only happen if we are serious about investment in research and development.

Ultimately, this is what I believe separates the long-term success strategies from the one-hit wonders or short burst runs.

It would be wrong and dangerous to assume our manufacturing industry can succeed without strategic government direction.

Without such a strategy and resultant concrete action, our companies would be at a disadvantage.

We need to help our existing industries survive not just by helping do what they do better but also by helping them find out new and more competitive strands.

This is in line with the European Union’s strategy aimed at increasing the competitiveness of Europe through innovation and growth.

Mario de Marco is deputy leader of the Nationalist Party.