The “chip crisis” and “shipping delays” dampened Egypt’s imports of mobile phones by 18.95% – Forex-Article

The “chip crisis” and “shipping delays” dampened Egypt’s imports of mobile phones by 18.95%

The value of Egypt’s imports of mobile devices fell during last January, by 18.8%, to record 119.8 million dollars, compared to about 147.5 million during the same month of 2021, according to data issued by the Central Agency for Public Mobilization and Statistics.

Ahmed Mostafa, head of the Communications Centers and Mobile Trade Division in the Alexandria Chamber of Commerce, and head of the Select Lab company for electronic devices, attributed the reason behind the decline in the sector’s imports to the obstacles facing local companies in import operations from abroad. It is represented in the slow movement of global freight and the shortage of quantities supplied by international companies, against the background of the continuing crisis of shortage of production components and semiconductors used in manufacturing processes so far.

Mustafa added to Al Mal that the majority of phone importers also suffered during the past period from a shortage in the number of containers used in transporting goods, in addition to the high import costs resulting from successive increases in the price of shipping services on the part of shipping lines, in addition to the price increases that It was approved by high factories on their products exported to various foreign markets, with the aim of compensating for the high production costs and facing global inflation rates.

He pointed out that some manufacturers have preferred to reduce their imports of phones of all kinds during the recent period, in light of the state of confusion in the local market and the decline in the rate of consumers buying electronic devices, including “smart phones” due to the instability of prices.

He continued, “It is difficult to anticipate the sales of the mobile market during the coming period, especially in light of the uncertainty that currently dominates the sector, which is represented in the difficulty of import operations from abroad for local companies and importers.”

He stressed that if these obstacles persist for local companies, this may cause them to run out of stock, as well as to decrease the quantities available in the local market, and thus widen the gap between the forces of supply and demand.

According to a report by the Marketing Research Foundation GFK, mobile sales in Egypt fell last January by 12%, to record one million and 196 thousand devices, compared to one million and 360 thousand units in the corresponding period of the previous year.

The Korean Samsung came in the first place, with a market share of 32.3%, followed by the “Chinese Oppo” with a market share of 25.9%, then “Redmi” third with 11.3%, and 9.8% for “Realme”, and 7.2% for “Infinix”, while distributed The rest is on other companies.

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