Buying Television: You could now need to spend extra money if you intend to purchase a new television. Companies are getting ready to raise the price of TVs in order to lessen the financial strain, as the cost of the open cells used to make TV panels has been steadily rising.
Steady Rise in Open Sale Prices Since Outbreak
Since the outbreak, open sale prices have risen steadily, jumping by almost 20% since December. As a result, TV panel manufacturers are getting ready to raise their prices by 15% by the end of February. Businesses are also considering reducing their output, which might mean that supply will continue to fall short of demand.
Television uses a lot of open cell, which contributes between 60 and 65 percent of the entire production cost. Four or five Chinese corporations handle the majority of its production, and they also set the open sale prices at their discretion. August of last year saw a huge surge in its price as well, but it partially decreased when the generating firms lowered their costs.
Anonymous Store Source Warns of Impending Price Hike
Under the condition of anonymity, a store stated that there might be a price hike for both small and large screen television panels. However, the TV providers alone will choose the rate of price increases.The company stated that because there is already a lot of inventory that is unsold, some businesses may decide to raise prices gradually as opposed to all at once.
Business Standard was informed by Avneet Singh, director and CEO of Super Plastronics, the business that licences the Kodak name,The cost of open sen is rising each month. The businesses producing them have made the decision to reduce output, which will result in price increases. February and March might see at least a 10% hike in TV costs. Another business that contracts out the production of TV panels, Videotex, intends to raise prices by five to ten percent.
Impact of Open Cell Price Surge on TV Sector
“The industry is currently struggling with the sharp increase in open sale prices,” stated Arjun Bajaj, Director of Videotex. The cost of it has been rising steadily ever since the Covid-19 outbreak. Open cell manufacturers’ production reduction has resulted in a 20–40% increase in pricing. Future price increases are possible. He claimed that since open sales cover more than half of the overall cost of production, this is having an impact on the TV sector.
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