• Domestic Economy

    Where Are the Main Destinations of Iran’s Home Appliance Exports?

    Iraq, Afghanistan, Pakistan, Turkmenistan, Uzbekistan and Azerbaijan are the main destinations of Iran’s  home appliance exports, says the head of Household Appliances Spare Parts Manufacturers’ Association

    “We also export spare parts of stoves, heaters and faucets to Turkey, Germany, the UK and France. Moreover, we have exports of polymer products and glass to many destinations every year,” Morsal Seddiq was quoted by the news portal of Iran Chamber of Commerce, Industries, Mines, and Agriculture as saying.

    Arj Home Appliances Company was established around 70 years ago and is considered one of the oldest producers of home appliances in Iran. It went bankrupt in fiscal 2016-17. The company officials were quoted as saying at the time that the main reason for its going bust was increasing competition from foreign brands, including the onslaught by Chinese and South Korean brands.

    The company reopened in March after five years of closure as two trillion rials (about $6.4 million) were invested for it to get back on its feet mainly by Social Security Investment Company, according to CEO of Tamin General Industrial Holding Co. affiliated with SSIC.

    The reopening of Arj, he said, would create around 800 direct and more than 2,500 indirect jobs.

    “Plans are for Arj to manufacture some 228,000 items of household appliances within the next four years. The manufacturing methods will be SKD (semi-knocked-down kit) and CKD (complete knocked down kit). The company his also looking to become self-sufficient in producing 60% of the required parts,” Mohsen Mohammadi, CEO of Tamin General Industrial Holding Co. affiliated with SSIC was quoted by IRNA as saying.

    Arj is a major producer of swamp coolers in Iran.

    A total of 24,460 tons of swamp coolers worth $46.61 million were exported from Iran during the first three months of the current Iranian year (March 21-June 21), registering a 31% rise in value compared with the similar period of last year, data released by the Islamic Republic of Iran Customs Association show.

    Turkey, Kuwait, Turkmenistan, Azerbaijan, Pakistan, Afghanistan, Uzbekistan, Iraq, and Sudan were the main destination for Iranian swamp coolers during the period.

    Also known as swamp cooler, desert cooler and wet air cooler, evaporative coolers can reduce energy consumption and total equipment for conditioning as an alternative to compressor-based cooling in arid climates.

    It is one of the main home appliances exported from Iran.

    Arj originally began with a small factory producing metal products. Gradually, it broadened its range of products, increasing the number of employees to eight in the 1940s. On expanding the company, the brand moved to Tehran-Karaj Road – the main industrial area to the west of the capital – where it broadened its range to include several household appliances, according to bne IntelliNews.

    Yadollah Tahernejad, head of board of directors of the company says  the company plans to manufacture nine different kinds of home appliances within the next three years.