Bourse experts say selling cars via the Iran Mercantile Exchange has been a success. Since the beginning of the fiscal year in March, auto offers at the IME has increased rapidly and upheld the long-demanded norms of transparency, unlike what customers face in the free market.
IME data show auto only 1,664 cars were bought in the exchange in six months to October 22. This is while 2,416 cars were sold in the market in the month ending November 21 and a whopping 13,686 cars in the month ending December 21. Also, from Dec. 22 to 28, 2,506 cars were traded at the IME, IBENA reported.
Auto trade in the exchange reached 17,038 vehicles in nine months with Peugeot 207s topping the list at 5,200. In the same period 2,970 Tara cars, produced/assembled by Saipa were bought followed by 2,064 Shahin sedans made by the same company, 1,228 Fidelity models manufactured/assembled by Bahman Motors were sold along with 3,605 Haima of Iran Khodro and Dignity brands.
Bahman Motors also sold 1,098 Kara pickups, a popular vehicle in Iran originally produced by Mazda.
Data show that 374 Lamari Eamas of Arian Pars Motor, 69 KMC T8s by Kerman Motor and 68 JAC S5s by Kerman Motor were sold since the beginning of the year.
Heavy-duty vehicles, FAW and EM Power brands from China assembled by Bahman Motors and Siba Motor, were also popular. A total 207 Empower puller trucks by Bahman Diesel and 35 FAW puller trucks from Siba Motor were traded.
Reza Eyvazlou, an official with the Securities and Exchange Organization, says offering cars at the IME creates the conditions for transparent trade and eliminates the army of avaricious middlemen harming the key auto sector.
“Now automakers can sell their products at market prices and this is in the interest of producer and consumer.”
Eyvazlou concurred that in the past weeks auto prices had jumped in the domestic market, but stressed that this has nothing to do with the sale of cars in the stock market.
“I’m certain that if we continue to offer cars at the IME it will indeed help balance the prices.” He did not elaborate nor did he say why both new and used car prices have been rising at full speed reaching levels unheard of in the chaotic domestic auto industry.
IME recently announced new regulations for automakers to sell cars via this market. The two main companies, Iran Khodro and Saipa, are obliged to list a minimum of 2,000 vehicles in every offer. The floor is 500 units for private car producers.
The measure apparently is to improve the supply side as automakers henceforth cannot offer a limited number of vehicles at the IME. Officials say the move can also help reduce the final price of cars.
Carmakers must also submit a list of buyers in the 48 months before each offer so that their names can be eliminated from the list of eligible buyers. Each vehicle can be registered with one Iranian ID number. Those aged 18 and above can buy a car at the IME in a one-off deal.
