Cars For 2017 Will Not Reach Algeria Before 2018

date 2017/09/02 views 653 comments 0
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icon-writer Imane Kimouche/English version: Dalila Henache

The file of import licenses is still a concern for the car dealers in Algeria after three quarters of 2017 compared to the importation of zero vehicles.

They wonder about the delay of the licenses that were placed since the beginning of the year at the table of four ministers who were appointed at the head of the trade sector, starting with the Minister Bakhti Belaieb, then the minister of the sector Abdelmadjid Tabboune and the minister Ahmed Abdelhafid Sassi, then the current minister Mohamed Ben Merradi, at a time when car prices notice an upward trend since 3 years ago with no price decline.

Former head and current member of the Association of Accredited Automobile Agents, Mohamed Baeri, said in a statement to Echorouk, that the file of cars import licenses does not notice anything new until now, despite sending each time the envoys of dealerships to the Ministry to inquire about the situation and know the fact of late licenses, after the end of the first trimester and the second, and until the cancellation of the International Cars Exhibition, which was postponed for the month of September to be followed by a decision to cancel it officially for the first time in 20 years, because of the absence of vehicles.

"Until now we do not know anything about the date of distribution of licenses and the quota of each dealership, its size and even if the cars will arrive this year or will arrive during the next year, as the ministry did not tell anything and we are waiting for any new decision to remove confusion and clarify things better".

This comes amid an unprecedented rise in car prices at the level of used car markets, and its complete absence at the level of accredited dealerships and points of sale, and a severe scarcity at the assembly plants, which seem to have been more productive this year but is still unable to respond to the heavy demand that the car market in Algeria that is dominated by brokers and mediators, which contribute to inflaming the market in an unprecedented way and raise their profit margin in a fantastic way, in light of the scarcity that is experienced by 2017 cars in Algeria, knowing that the government has already identified the cars quota for this year by 30.000 compared with 97.000 vehicles last year. 

Before that, the number of imports of cars was estimated at one billion dollars a year. However, customs figures reveal that imports this year exceeded $ 1 billion only through spare parts that are imported by installation plants and private vehicles. At the time when the process of importing Asian cars take more than 3 months, meaning that even if the distribution of licenses to dealers in September, the new cars will not reach Algerians before January 2018.

For his part, economic expert, Kamal Si Mohamed, confirmed in a statement to Echorouk that the achievement of self-sufficiency of the car sector in Algeria will not be without the actual development of the branch of industry and installation of cars, which said it takes at least 3 years to form the first brick, because the Algerian production should benefit from expertise, technology and skill from foreign partners.

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