Abdel Wahab: Random import threatens factories, and we need a similar ban for ceramics
Jamal: Smuggling targets the sides of the shoes and then makes the sole with cheap injection machines
The footwear industry suffers from indiscriminate imports, which circumvent the rules governing Egyptian import operations by assembling shoes in Egypt.
Dealers in the sector are demanding to stop importing “Fondi” faces, to stop fraud, and the Leather Export Council seeks to send missions to Africa to stimulate shoe exports.
Mohamed Abdel-Wahab, a member of the Board of Directors of the Chamber of Leather Industry, said that random import threatens the continuity of local factories, calling for the intervention of the relevant authorities to stop the random import.
He pointed out the necessity to stop the import for 3 months, similar to the decision to prevent the import of ceramics for a period of 3 months, until the local production wheel returns to work again, as it is threatened with a complete stop.
Mohamed Gamal, a member of the shoe dealers division of the Cairo Chamber of Commerce, confirmed that the market suffers from a glut of smuggled products, which harm the local and imported factory, explaining that smuggling often takes place in the “fondi” and not the final product, as it is imported, then the sole is made through injection machines. It is cheap and absolutely inexpensive .. Therefore, the final product is offered at very low prices, affecting the real industry.
Jamal pointed out that stopping the import would not be a solution, because these products do not enter the market legally, but they are all smuggled, so serious action must be taken to tackle the sources of smuggling.
He pointed out that the volume of smuggled Fondi present in the market is sufficient for a whole year, so talk about stopping import for 3 months will not be effective.
Osama Al-Toukhi, a member of the board of directors of the Chamber of Leather Industry, head of the Leather Products Division, said that random import is not in finished products, but is done through the import of all shoe products from the face, sole and brushes, provided that they are assembled in Egypt, which is a matter that does not contribute to any value. Additive.
The Chamber of Leather Industry called on the customs authorities to verify the authenticity of the origin data before customs release, and to limit the transit trade to airtight containers with one closed roof to limit smuggling, with the necessity to oblige the importing companies to attach to the shipping documents a list of actual prices and criminalize the importer who submits false invoices.
As for footwear exports, Basem Lotfi, a member of the Leather, Footwear and Leather Products Export Council, said that the council plans to send missions to Tanzania and Kenya. It is scheduled to hold meetings with Jordan in the coming days.
He explained that the outbreak of the Coronavirus has negatively affected the global shoe market during the current period, and reduced the purchasing power of consumers in various markets.
Lotfi stressed the need to send commercial delegations to African countries to closely get acquainted with these markets, as well as to prepare studies on their needs.
Export rates for footwear and leather goods are very poor. Also, the outbreak of the Corona virus caused a decline in exports during 2020, stressing the importance of preparing field studies on the African market by Prime Time Zone of the profession, and holding exhibitions there.
He explained that the council held online meetings with commercial attaches in Iraq and Saudi Arabia; In order to open up export opportunities for the Egyptian product to these countries.
The two sides, Saudi Arabia and Iraq, wish to import from Egypt, and it is scheduled to hold meetings again with importers from these countries with Egyptian companies to translate these discussions into contracts and deals.
Lutfi revealed that the Egyptian producer of shoes and leather products has a promising opportunity in the Saudi market to become an alternative to the Turkish product in light of the strained relations between the Kingdom and Ankara, and the citizens’ boycott of Turkish products.
He continued: “We are able to compete in the Saudi market and meet its diverse needs, as there is a large category that tends to leather products of different shoes.”
The article “The Fondi” burning local shoes was written in the Al-Borsa newspaper.