Sales of electrical, electronic sectors fall by 50% — Stakeholder

yellow kitchen appliances
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AMMAN — Representative of the electrical and electronics sector at Jordan Chamber of Commerce (JCC), Hatem Al-Zoubi, reported a 50 percent decline in the electrical sector's business activities since the beginning of 2022, according to the Jordan News Agency, Petra.اضافة اعلان

In a statement on Saturday, Zoubi said the electrical sector has suffered "a very harsh and unprecedented summer season, due to the citizen's weak purchasing power".

"The sharp decline in the volume of sales was accompanied by a significant increase in the large stock of goods and imports, accumulated in warehouses of importers and traders, which had financial consequences, whether in terms of profits, wages and storage operations," he said.

Zoubi attributed the decline in electrical and electronics sector to the "weak" purchasing power of Jordanians and the high cost of living, which led to a reluctance to purchase electrical appliances, except sets to meet the most urgent needs.

Exacerbating the situation in the future, merchants stocked up huge goods in their warehouses due to the large import quantities, which would be accompanied by a drop in their value and lead to high financial consequences due to loans that will cause "great" losses to suppliers and traders, amounting to about 25 percent, Zoubi said.

Electrical and the electronics sector is linked with other commercial activities, especially housing and construction, which requires providing all necessary support with regard to deferring loans until the end of 2022, and granting financial facilities at reduced prices, he said.

Zoubi called on the concerned authorities to grant tax exemptions for the electrical sector, whether customs tariffs, which range between 15 to 25 percent.

He said trading in electrical appliances in the local market is witnessing "high" competition due to multiple sources of imports and the large number of the sector's merchants, whose number exceeds 3,000, adding this business created thousands of job opportunities.

Additionally, prices of electrical appliances in the local market are "affordable," and have dropped by reasonable rates ranging from 10 to 20 percent, he noted, adding that some merchants sell for less than the purchasing cost to fulfill their obligations. 

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