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Three points of attention to the export of Algeria

Oct 04, 2019

Algeria’s annual import of industrial machinery and equipment ranks first in its total imports. According to the statistics of the Customs and Excise Department, the growth of industrial machinery and equipment in 2004 was rapid. In the first three quarters, the import volume reached 4.9 billion U.S. dollars, exceeding the annual import volume of the previous year, an increase of 31.44% over the same period of last year. 37.5%.

A large number of local businessmen hope to import various small and medium-sized complete sets of production equipment from China. In addition, Chinese enterprises have had a high degree of accumulation in overseas processing trade in Afghanistan.

However, according to the survey, a variety of unfavorable factors restrict market development. According to relevant expert analysis, the main factors restricting the export of small and medium-sized complete sets of equipment to Afghanistan are:

The disputes caused by equipment quality and after-sales service are on the rise. In recent years, the number of small and medium-sized complete sets of equipment exported to Afghanistan has been increasing, but at the same time, disputes caused by equipment quality and after-sales service have also increased. Although there are unforeseen factors, such as the domestic installation and commissioning personnel can not be timely arrived due to various conditions and the poor quality of the Afghan personnel, resulting in improper operation, but also revealed that the quality of equipment in domestic enterprises is not too hard, the level of after-sales service is low. The problem has affected the credibility of Chinese companies and products.

Visa is difficult to lead to sales and after-sales service lag Since the second half of 2002, due to various reasons, the Afghan Embassy in China has strictly controlled the visa application for Chinese citizens. In addition to the government departments and other units, the general private company invites to visit Afghanistan or Business groups must conduct counter-signing, which takes a month or two. Due to the strict control of the issuance of visas, domestic trade, enterprise personnel and after-sales service technicians were unable to come to Afghanistan in time, which was very unfavorable for exporting, which weakened the competitiveness of domestic enterprises to European enterprises and restricted the development of domestic equipment exports.

There are certain specific difficulties in the operation of exporting complete sets of equipment and exporting general products. A foreign exchange control is implemented. According to the relevant regulations, it is difficult for A-customer to pre-order some of the deposits or advance payments required by the shipper in accordance with the usual practice, and can only be operated by means of disguise. In addition, according to the regulations on investment in Afghanistan, the equipment and raw materials used to realize the investment will be subject to certain reductions in import tariffs after approval by the Investment Promotion Agency of Afghanistan. However, it takes a certain time for the client to apply for approval, if the client applies for bank loan again. The time is even longer. After the domestic company is opened, it often takes a long time. Because there are few people in SMEs who understand English, and domestic enterprises lack talents who understand French and Arabic, and A-Telecom is relatively backward, there are obstacles in communication and communication between the two sides, affecting normal transactions and technical exchanges.https://www.inocofiltration.com/