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Stop supporting western companies ,so let them keep on boycotting
SABA information site quoted from Mr. Valliollah Bayat, Managing Director of Pars Switch company and the one in charge of the crisis Committee in Syndicate of electricity industry. He pointed out: If we reach real rates for production and import expenses, then we will have justice for boycotting, encouraging and supporting .Nowadays in fact we are supporting western manufacturers by exchange equalization account in a lower scale, and if we stop supporting them in this way , they can boycott us as much as they want
Mr. Bayat stated; Our Company is active in the field of manufacturing high and medium voltage switches since 1983 and also we produce equipment for power and electricity industry, therefore we play a main role in the market.
He said, if our manufacturers believe their ability in domestic production, then we can resist any boycotting and we can obtain what we need by ourselves. We must believe in many things in our industry and we must compare ourselves with foreign competitors .We have 70 – 100 years distance in experience which is not easy to be covered and we have to prevail over this distance with deliberation. If we could return to the past, during the last 30 years of our revolution, our electricity industry had a growth much more than our competitors. But it is not enough and it won’t be logical if the consumers expect us to be equal with our competitors.
Mr. Bayat criticized the rules and laws regarding tenders and stated that we are not in equal position with our competitors and it is not easy for us to compete. For instance we had a 85% inflation during the past 10 years. Our Asian and European competitors had a maximum 32% inflation for all their equipments. This 50% of difference can’t be covered, so we must be realistic and try to compensate this distance. In this case we need to have the government’s assistance and the government must be very serious in taking related decisions.
Mr.Bayat who also is responsible for the Committee of crisis added: To support tariffs is not a good decision to be suggested because it prepares condition for smuggling. I mean our goods will be compared with the imported goods. When the imported goods are evaluated with foreign exchange and with fixed rate, then we get weak duo to the difference of inflation inside and outside the country, and this must be compensated by the government. Important to us is to have a real and right rate of exchange and if we have this, then many economical problems can be solved and the government can draw up the annual budget much easier. Also smuggling will be reduced because it will be very expensive to smuggle. Another advantage is healthy competition and creating opportunities for employment.
Saba reporter asked Mr. Bayat that do you think this boycotting of the western companies has political or economical reason. Mr.Bayat stated: Mostly economical reasons because they are looking for more benefits. Our company is not boycotted duo to the active contract between us and we will keep on our cooperation until the end of our contract and if any boycotting happens we ourselves are able to supply the needs of electricity industry.
He suggested; it is better to create a real rate for production and import expenses instead of making such suggestions for boycotting. We must stop supporting the foreign producers.This year the minimum wage was 25% and the price for production inside the country had a difference between 3 – 5%.The foreign producers do not have this difference. If we don’t win a tender is because of this 3-5% difference.

At the end of this interview, Mr. Bayat said: So far our company had much success and we can go on with our presence in this industry, and if we get the government’s support then we easily can be prepared to compete with western companies and we won’t have any fear of boycotting

Mar 18, 2009 15:28
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