New Delhi: Television sets could cost you dearer this festive season as the price is expected to increase by 20 to 30 percent in October, industry sources say.
The price could hurt customers who were looking forward to purchase TV sets on Diwali or Navratri sales, a report in Moneycontrol said.
According to experts the price hike is the result of a spike in panels that are key component in television sets. About 60 percent of the price of TV is the cost of the panel that makes the screen.
Few panel makers are also trying to create an ‘artificial shortage’ so that the price of TV sets increase, sources said. The panels were mostly imported from China. The sudden inventory shortage was conveyed to several TV companies just weeks ahead of supply, a TV dealer said.
This festive season could witness lower discounts to customers. “We will have to pass on the cost increase to customers because TV panel prices are rising by 20-25 percent. Slowdown and aggressive demand are being cited as the reason for the price rise," the TV dealer speaking to Moneycontrol said.
The open cell panel was earlier imported from Chinese markers. Due to the Covid-19 pandemic the manufacturing in China was shut till April which halted the production of the final product in India.
According to Arjun Bajaaj , Director of Videotex International that has the Daiwa and Shinco TV brands in India, the television prices could go up by 20-30 percent and may go beyond if the prices for open-cell continue to increase.
As a result of the hike, the dealers in India couldn’t import the television sets, as the government has dissuaded dealers from importing TV sets. The duty on the imported TV is at 20%.