• 22 August 2017 - 15:34
  • News Code: 73874
رضا شیوا

Head of Competition Council says the quality of auto industry is not satisfactory and inflation has the most share in car's price increase.

Head of Competition Council, Reza Shiva, said this institution submits pricing instructions for each product having a monopoly market, as long as the market of one product doesn’t be competitive, Competition Council will go on its pricing.

He underlined that Competition Council is dissatisfied with the current quality of cars saying inflation growth is a key factor for increasing car's price.

 Head of Competition Council mentioned the instructions of 3 percent rise in car's price is owing to inflation increase in that sector and Competition Council is discontented with the quality of auto industry.

The official touched upon that based on new prices, car's price will increase between 2.5 to 3 percent.

‘Instructions of pricing is based on three components including inflation part, quality and productivity. Inflation part has been declared 6 percent, but it has downward trend from productivity and quality respects in auto industry. Hence, the new pricing is between 2.5 to 3 percent. Shiva said.”

He stressed that Competition Council gives negative mark to quality of auto industry, but the increase of price comes back to inflation in this sector and its base is the prior year prices we had.

Head of Competition Council noted having just one regulatory organization in subcategory of Ministry of Communications is considered as a fault, because we have to employ the capacity of regulatories in those sectors in which there is a natural monopoly to improve our economy.  

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