Ahmedabad: Planning to buy air conditioner for home? Well, be prepared to wait at least a week for the delivery and installation from the date of booking. The heatwave has caused a huge increase in air conditioner sales, creating a wide demand-supply gap.
Estimates from electronics dealers suggest that sales could increase by 50% in the peak summer months of April and May compared to the pre-pandemic period.
“Due to the onset of summer, with the temperature crossing 40oC by the end of March, the demand for air conditioners which was muted in the last two years has suddenly picked up. Moreover, the increase in order volumes amid supply side constraints Because of this, Bhavesh Waria, president of the Ahmedabad Electronic Dealers Association (AEDA), said, “the demand-supply gap has widened.”
AEDA estimates that by the end of this season, i.e. in April and May, the sales of air conditioners may increase to 1.5 lakh units. This will be around 50% more than the sales in April-May, 2019.
Interestingly, the demand remains high despite the rise in prices. “This time, the cost of air conditioners has increased by 35%. Still, the demand has been quite good. In fact, companies are not able to meet the increasing demand due to supply-chain constraints. Too many raw materials Used goods imported from China are being procured locally either now or from alternative sources, adding to the delay, an Ahmedabad-based electronics distributor said.
The demand for transportation of air conditioners has also increased. Mukesh Dave, an Ahmedabad-based transporter, said, “The demand has increased so much that we do not have enough vehicles to meet the transportation requirements. This is causing delay in deliveries at electronic retail stores.”