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Influx
of Chinese Goods or
Elimination of Domestic Producers?
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Over the past few years,
due to lack of adequate control and supervision of government over
borders, we have witnessed influx
of low quality goods, especially from China, which have caused
disturbances in domestic markets and production. |
Supporting
domestically produced goods and providing facilities by the government to
bolster and increase domestic production are among issues that are of urgency
for authorities in any country. However, sometimes wrong policies adopted by
the government and inefficiency of regulations faces domestic market with
problems that will lead to elimination and phasing out of domestic producers
in the long run and this will negatively affect national economy. Over the
past few years, due to lack of adequate control and supervision of government
over borders, we have witnessed influx of low quality goods, especially from
China, which have caused disturbances in domestic markets and production.
Textile Market Is Damaged:
Head
of Textile Wholesalers Union of Tehran says that the main problem plaguing
domestic textile industry is influx of low quality and inexpensive Chinese
fabrics.
He noted that lack of organized
regulations for imports is the biggest managerial challenge in the market,
adding, “We do not want our borders to be closed to fabric imports, but the
current trend should be reviewed and corrected.”
Also, chairman of economic
commission of Guild, Distribution, and Service Affairs Association noted that
exercising more control over import origins will prevent the country’s markets
from becoming an outlet for low quality and worthless goods produced by other
countries.
“At present, we do now know
importers; therefore, we cannot control imports effectively. However, in view
of plans that we have proposed, we guarantee that if imports are carried out
by guild associations, low quality good will not overflow domestic markets,”
he said.
No Technical and Health
Standards:
Chairman of Garment Producers and Sellers Guild
Union of Tehran also pointed to inattention of some domestic and foreign
producers to technical and health standards and noted, “We have seen that new
and second-hand Chinese garments have been made of fibers and cloths that are
not healthy for human soul and body. This will not only cut down the useful
life of garments, but also will have negative effects on the minds of those
who buy them.”
He stipulated that absence of
suitable financial, monetary and trade policies; low quality of a most
domestic productions, which leads to people’s enthusiasm for buying foreign
goods; problems facing producers in terms of supplying high quality raw
materials at suitable price and inattention to fashion are major reasons
behind backwardness of Iran’s textile industry.
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While
we insist on importing high quality Chinese goods, the Chinese side is
not serious about exporting high quality goods to our country. |
Korean Goods are Chinese!:
Head
of the Audio and Visual Appliances Sellers Union also pointed out that most
goods related to this guild union, which are sold to customers and even sales
agents under Korean brand names are, in fact, Chinese goods.
He noted that good grounds should
be provided with regard to importing audio and visual appliances and stated
that if, following ban on importing South Korean goods, suitable alternatives
are not thought of, Iranian businessmen will embark on importing goods from
neighboring countries and goods smuggling will be, once more, encouraged.
The official noted that goods
produced by Chinese companies for the European states enjoy very good quality.
“However, when the same goods are
produced for the Iranian businessmen, they are produced under the same
trademark, but with a much lower quality,” he said.
Increase Tariffs:
Chairman of
Cobblers Union of Tehran stated that most Chinese shoes that are sold inside
the country are being smuggling and are unhealthy and nonstandard. He added
that Iranian citizens should be careful and do not buy such goods solely
because they are less expensive.
The official said, “Chinese shoes
frequently seem to be made of leather due to chemicals that are used to make
them. However, when you cut the shoes, you can easily see that they are mot
made of leather and are of inferior quality.”
Referring to the fact that import
and smuggling of Chinese goods to the country has led to bankruptcy of a lot
of shoe production units inside the country, the official stipulated that
import tariffs considered on Chinese goods should be increased; so that,
importing Chinese goods, either legally or through smuggling, would not be
profitable anymore.
70% of Returned Goods Are
Chinese:
Head of Iran Standard and Industrial Research
Institute also noted that more than 70 percent of goods turned down and
returned by the institute are of Chinese origin.
He added, “While we insist on
importing high quality Chinese goods, the Chinese side is not serious about
exporting high quality goods to our country.”
Head of Iran Standard Institute
pointed to widespread supply and low quality of Chinese goods which has led to
stagnation of domestic production and stated that domestic consumer market is
dissatisfied with import of low quality Chinese goods. The official noted that
logical solutions can be found for problems related to quality of imported
goods through wisdom, empathy and synergism.
Chinese Control 30% of
Domestic Market:
Representative of Kalibar at the Islamic
Consultative Assembly noted that 30 percent of the Iranian market is
monopolized by Chinese goods.
He stipulated that the Iranian
economy is going through dire straits the result of which is insolvency of
industries and guilds.
The MP also noted that very low
price of Chinese goods has made them very attractive to consumers and this
problem should be solved through increasing tariffs on Chinese goods and
preventing goods smuggling.
He added that Chinese goods are
produced exactly according to cultural and climatic needs of the country and
therefore, it is very hard to stop their imports.
Glass Industry in Critical
Conditions:
A craftsman in glass industry also complained
about excessive import of foreign goods and noted that glass, like all other
fields, has its own problems.
He opined that a major problem that
has been nagging glass industry over the past years and has caused a crisis in
the sector is excessive import of foreign goods, especially Chinese goods,
which attract people due to their low price.
“Domestic glassmaking workshops
have no choice but to use less expensive raw materials with lower quality or
to keep quality of their artifacts and send them into the market at a higher
price for a special group of customers. Both options will be finally
unprofitable for the sector,” he said.
8,000 People to Lost Jobs in
Elevator Industry:
A member of board of directors of Elevator and
Escalator Industries Producers Guild Association of Iran also stated that more
than 8,000 people are working in elevator and escalator industry, but
excessive import of Chinese and Turkish products is threatening them with
imminent joblessness. |
