Production models Lada Granta will be launched in Egypt

By the end of 2014 production models Lada Granta will be launched in Egypt. Such projects are announced, the main engineer of the company Al Amal Co. ASEM Daab.

At this time, the company is completing the process of negotiation of a new agreement with AVTOVAZ on the import of machines and production models Granta. In the Department of public relations of domestic firms approved a negotiating with the Egyptian holding company, assuring that the final decision on signing the agreement with Al Amal is still pending.

In the 2000s, the enterprise Al Amal Co. had the name Lada Egypt. Specifically it will be the only Russian manufacturer model Granta abroad. As explained 1 of the followers of "AVTOVAZ" Evgeny Veretin, in addition to the main plant in Togliatti, the release of this family on a full cycle of construction, welding and painting is executed only at the Izhevsk automobile plant "IzhAvto", inform "news".

The exact terms of the agreement, the parties do not open, but, according to the head of research firm Vector Market Research Dmitry Chumakov, localization of production models will bring AVTOVAZ not only the income from the supply of devices, but dividends from each sold licensed units of cars. Chumakov positively assesses the feasibility of the model Granta in Egypt.

But, there is a view that the triumph of such an industry in the Egyptian market will be depending on the cost of each car. "AvtoVAZ" in the 90-ies stopped started during the USSR North African expansion of deliveries to the continent was resumed only in 2001. From 2002 on the capacity Suzuki partner of AVTOVAZ - the company Lada Egypt (today's Al Amal), which is controlled by Hassan Ahmed Suleiman, started to assemble and paint sets VAZ-2107. For the 1st 4 years was collected 5 thousand cars. In 2006 Suleiman opened its factory near Cairo there for some time going to different models, their number went VAZ 110. Al Amal has a network of dealer points and several service centers for servicing Lada. In recent years the cost model 2107 in Egypt kept at the level of around 8 thousand USD, at that time, in Russia car worth 20-25% cheaper.

It became known that from the beginning of 2013 Al Amal not collect domestic vehicle sets. Not to mention the fact that, AVTOVAZ never owned shares in the Egyptian plan. In just the last 12 years the Egyptian holding company implemented more than 37 thousand cars of this brand. Besides it became known, that the price policy of conditionally Egyptian sales of Lada Granta is not yet defined.

sections: World News, Economics