Supervisor Elham AbolFateh
Editor in Chief Mohamed Wadie

10% Increase in Mobile Phone Prices after Rise in Customs Dollar- FEDCOC

Wed 01 Jun 2022 | 09:47 PM
Taarek Refaat

Mohamed Talaat, Head of the Communications and Mobile Division at the Federation of Chambers of Commerce (FEDCOC), revealed that there is a 10% increase in the prices of mobile phones starting Wednesday with the increase in the price of the customs dollar.

The Ministry of Finance decided to increase the price of the customs dollar to EGP 18.64, in trading on today.

The price of the customs dollar rose from EGP 17 during May to EGP 18.64, according to instructions sent by the Ministry of Finance to the Customs Authority.

Some merchants raised the prices of mobile devices by 20% during the last period, due to the rise in the price of the dollar and the emergence of the overprice phenomenon.

He pointed out that about 97% of mobile devices are imported from abroad, and only 3% of consumption is manufactured locally, noting that with the cessation of documentary credits for mobile import, this led to a shortage of supply in the local market by up to 70% during the current period, which resulted in the price hike to the shortage of supply.

He explained that there is a state of stagnation dominating the local market as a result of a shortage in supply and exhorting the availability of some models of mobile devices, in addition to the high prices.

Last November, the Official Gazette published Presidential Decree to amend some categories of customs tariffs, which included the imposition of customs duties for the first time on mobile phone devices or any other wireless networks, amounting to 10%.

The value of Egypt's imports of mobile phones declined by 24.6% during the months of January and February 2022 to record $224,532 million, compared to $297,925 million during the same two months of 2021.