Electrical Home Appliances in Egypt
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ELECTRICAL HOME APPLIANCES IN EGYPT 10 pages 1. Range of products. 2. Production. 3. Source of materials. 4. Import & Export Statistics. 5. Consumption. 6. Distribution. 7. Tariffs. 8. Policies & regulations. 9. Prominent national brands. 10. Joint ventures/licensing. 11. References. THAI TRADE CENTER, CAIRO SHERIF YEHYA NOVEMBER, 2013 Electrical Home Appliances in Egypt 1 Thai Trade Center, Cairo Sherif Yehya 1) Range of Products: (Example Products) 1. Refrigerators. 2. Deep freezers. 3. Washing machines. 4. Dish washers. 5. Electrical cookers. 6. Mixers, blenders and kitchen appliances. 7. Televisions, radios and recorders. 8. VCRs and satellite receivers. 9. Electrical water heaters. 10. Air-conditioners. 11. Computers. 2) Production: Manufacturing of electrical and electronic products is considered a new industry in Egypt, but well backed by the government within its policy to promote the Egyptian exports. During the last 20 years many companies have started to exist strongly in the market such as Bahgat Group and Kiriazi. Also the Military factories have been established to enhance such exorbitant industry that small investors can’t afford. The investors have taken the advantage of tax exemption for the new cities and erected their premises in 6 th of October city, 10 th of Ramadan city and El Obour City. Total production capacity: (Example products) Annual Quantity of Products Production 1. Refrigerators 957,714 units 2. Deep freezers 721,641 units 3. Washing machines 966,579 units 4. Dish washers 656,892 units 5. Electrical cookers 2,123,452 units 6. Mixers, blenders and kitchen appliances 11,568,963 units 7. Televisions, radios and recorders 4,256,852 units 8. Satellite receivers 2,256,125 units 9. Electrical water heaters 15,456,751 units 10. Air-conditioners 9,125,4357 units 11. Fans (stand, wall and ceiling) & exhaust fans 25,487,258 units 12. Dry irons 27,125,125 units 13. Cold stores 554,126 units Distributed by percentage among the different sectors available in the Egyptian market as follows: Public sector 13% Private sector 36% Investment sector 45% Military sector 6% It worth mentioning also that industry of some electronic products such as computers and its components are still under process, but assemble factories are established occasionally working in tandem with some international brands to fill in the deficiency of such products in the Egyptian community. No. of factories : Around 73 factories are working in the electrical and electronic products manufacturing in Egypt. Most of the factories are located in the new cities such as El Obour City , 10 th of Ramadan City , 6th of October City and Sadat City in ord er to take the advantage of the privileges that government grant for investors who launch project on the lands of such cities, such as taxes exemption for 10 years and other privileges related to the subsidy of materials and others. Some are scattered around here and Electrical Home Appliances in Egypt 2 Thai Trade Center, Cairo Sherif Yehya there in Cairo suburbs in the form of administrative offices, warehouses, distributionship channels, promotion centers and retailers. No. of employees : Around 164,500 employees working in this field ranging from the administrative positions to technical, security and cleaning positions. 3) Source of raw materials: As all of the factories that work in the field of electrical and electronic products manufacturing need raw materials for the product processing, so they seek the foreigner exporters to supply them with whatsoever they might need from such raw materials and spare parts. And within the framework of the Egyptian government to minimize the cost as much as possible so that they can guarantee reasonable price for the final products, especially in the wake of the latest soaring increase in the US Dollar, they direct to the countries that is characterized with reasonable prices and good quality such as Far East countries. Raw materials for the electrical and electronic products mostly supplied by some European countries such as Germany , Italy and Turkey . Moreover the new trend is to obtain such materials from Japan , Taiwan , China and Hong Kong . Some factories are currently trying to establish business relationship with Thailand in such field such as kiriazi and Fresh . Recently some components have been started to be manufactured locally and distributed to the other beneficiaries from the neighboring, but still marginal production. 4) Import & Export Statistics 8415, Air Conditioning Machines, Comprising A Motor-Driven Fan And Elements For Changing The Temperature And Humidity; Parts Thereof IMPORTS EXPORTS Value (million US$) Share % Change % Value (million US$) Share % Change% Partner Partner 2013 2013 Country 2011 2012 2011 2012 2012/2011 Country 2011 2012 2011 2012 2012/2011 (-Jul) (-Jul) World 128.94 133.36 122.39 100.00 100.00 3.43 World 61.04 64.68 42.34 100.00 100.00 5.96 China 55.,55 43.97 33.34 43.08 32.97 - 20.85 Libya 2.82 21.66 13.26 4.62 33.48 667.19 K.S.A. 21.48 24.94 36.13 16.66 18.70 16.11 Jordan 10.54 7.43 5.81 17.27 11.49 - 29.52 Thailand 6.09 13.94 11.03 4.72 10.45 128.83 Morocco 8.38 6.80 8.19 13.73 10.51 - 18.86 Korea S 9.82 9.74 9.66 7.62 7.30 - 0.90 K.S.A 3.28 5.06 0.69 5.38 7.82 53.98 Bahrain 2.62 9.52 10.98 2.04 7.14 262.64 U.A.E 4.92 4.28 4.19 8.06 6.62 - 12.96 Japan 6.59 6.29 2.26 5.11 4.72 - 4.54 Iraq 3.93 3.01 0.79 6.45 4.66 - 23.38 Germany 7.65 4.45 3.50 5.93 3.34 - 41.74 Qatar 2.90 2.54 1.50 4.75 3.93 - 12.32 Taiwan 2.42 3.11 1.53 1.88 2.34 28.57 Lebanon 2.26 1.89 0.34 3.70 2.92 - 16.22 Spain 0.46 2.08 0.67 0.36 1.56 348.47 Oman 1.25 1.64 0.04 2.05 2.53 30.84 India 0.28 2.01 1.33 0.21 1.51 628.68 Bahrain 1.24 1.44 1.84 2.04 2.23 15.64 Source of Data: Central Agency for Public Mobilization and Statistics 8418, Refrigerators, Freezers and Other Refrigerating Or Freezing Equipment, Electric Or Other; Heat Pumps Nesoi, Parts Thereof IMPORTS EXPORTS Value (million US$) Share % Change % Value (million US$) Share % Change % Partner Partner 2013 2013 Country 2011 2012 2011 2012 2012/2011 Country 2011 2012 2011 2012 2012/2011 (-Jul) (-Jul) World 220.38 272.35 209.88 100.00 100.00 23.59 World 47.29 46.04 20.39 100.00 100.00 - 2.64 Thailand 32.34 36.,64 31.61 14.68 13.45 13.28 Iraq 9.33 10.64 5.37 19.73 23.10 13.99 China 19.33 29.36 21.39 8.77 10.78 51.86 Libya 2.91 8.77 1.15 6.16 19.04 200.90 Indonesia 14.16 27.78 21.73 6.42 10.20 96.22 Sudan 7.97 7.24 4.30 16.86 15.73 - 9.21 Korea S 24.94 25.59 18.95 11.32 9.39 2.57 Algeria 5.54 4.41 0.12 11.71 9.57 - 20.40 Malaysia 19.90 22.71 16.91 9.03 8.34 14.11 Morocco 8.54 2.96 3.82 18.07 6.44 - 65.29 Italy 18.22 21.29 16.53 8.27 7.82 16.86 Jordan 1.42 1.84 1.23 3.01 3.99 29.03 Germany 10.54 18.38 7.68 4.78 6.75 74.34 Yemen 0.61 1.61 1.23 1.29 3.50 164.99 France 15.60 16.52 14.33 7.08 6.07 5.91 Tunisia 1.33 1.49 0.69 2.82 3.24 11.76 Turkey 4.44 12.15 15.95 2.01 4.46 173.89 Portugal 0.85 0.96 0 1.80 2.08 12.49 Brazil 15.22 8.59 8.32 6.91 3.15 - 43.55 K.S.A 0.97 0.76 0.41 2.06 1.65 - 22.05 Source of Data: Central Agency for Public Mobilization and Statistics Electrical Home Appliances in Egypt 3 Thai Trade Center, Cairo Sherif Yehya 8422, Machines, For Dishwashing, For Cleaning, Drying, Filling, Closing Etc. Containers, For Other Packing Etc., And For Aerating Beverages; Parts Thereof IMPORTS EXPORTS Value (million US$) Share % Change % Value (US$) Share % Change % Partner Partner 2013 2013 Country 2011 2012 2011 2012 2012/2011 Country 2011 2012 2011 2012 2012/2011 (-Jul) (-Jul) World 175.12 178.49 140.15 100.00 100.00 1.93 World 308,144 182,903 286,645 100.00 100.00 - 40.64 Germany 45.54 55.08 43.46 26.01 30.86 20.93 Yemen 0 66,984 0 0.00 36.62 0.00 Italy 70.58 48.87 39.50 40.30 27.38 - 30.75 Italy 67,838 63,919 0 22.02 34.95 - 5.78 China 7.37 12.95 10.03 4.21 7.26 75.80 Canada 22,404 14,093 0 7.27 7.71 - 37.09 Sweden 2.33 10.67 4.25 1.33 5.98 358.38 Kuwait 200 10,768 0 0.06 5.89 5292.79 France 6.84 5.70 5.66 3.91 3.19 - 16.64 U.K.