News ID : 3645
Publish Date : 27 May 2019 - 10:16
The shortage and decline in the distribution of government tire in the market has led to the creation of a black market and the sale of tires with a few times the price and brokers are disturbing the market.
Khodrocar - Tire market was infected by the currency turbulence and America’s sanctions in last year and passed different challenges. Drivers confronted with high prices and some of them stocked tires for the future. 

In any word, shortage in the market and high prices, were the main problems of the transportation in last year. 

"In the past month supply of tire has been decreased from the factories and this inappropriate distribution has caused the price increment.” Davoud Saadati Nejad, manager of tire dealers association told khodrocar reporter.

"With this situation smuggled tire will be more in the market and if a good has more request than supply then its price will increase.” He added.

"Tire is like the car which is more expensive in the market than factory. If anyone wants to buy a cheaper tire then they should buy it from the factory.” Mostafa Tanha said.

"Reduced supply is sometimes due to the fact that the currency is not provided or provided in a timely manner, but not transmitted. In the context of the economic turmoil, financial exchanges between us and abroad are not taking place, so provision of materials is subject to fluctuations that also fluctuate production.” He added.

"Some of the factories supplying the raw materials needed since they know that we have no choice but to cooperate with them and are exclusive, this monopoly has exploited them.” He mentioned.

"Tire manufacturers problem is that our price is under control and consumption right organization is supervising it but there is no supervision in the supply chain. As a result, those who supply our raw material are open to selling at any cost to us. On the other hand, the rate of tariffs on domestic production is high, currency supply is difficult and at a high price; this set of factors makes domestic producers of raw materials virtually equivalent to the price of foreign currency to the rial and sell it in free exchange.” He said.

"Unfortunately, due to the regulatory vacuum in the market, the price of tires and heavy equipment, including motor oil, is increasing day by day. What is clear is that the shortage and decrease in the distribution of government-owned tires on the market has created a black market and the sale of tires has multiplied by price, in the current situation, tires are available at free prices through smuggling or domestic plants, hence organizing this section is also vital.” Majid Kian Pour, member of parliament told yesterday.

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