Azerbaijani-Chinese heater production plant creates new production sites

The heater plant created on the basis of Azerbaijani-Chinese investments (Elektrogas LLC) will increase its share and sales volumes in the local market this year, Elnur Jamilli, director of Electrogas LLC, told Report.

Elnur Jamilli said that he expects new opportunities in the local market this year: “The pandemic has led to a stagnation in sales in the market. Compared to 2019, our sales in 2020 have dropped significantly.”

According to him, if earlier the country’s annual need for the heater was 80,000-100,000 units, then in 2020-2021 this figure did not exceed 40,000-50,000 units: “We produce 120,000 units per year and are able to fully provide market. However, it is unrealistic that we cover the entire market. Because people prefer different brands. The price of our heater is about 500 manats, foreign brands are much more expensive."

Elnur Jamilli noted that in the production of heaters 60% of raw materials come from abroad: “Raw materials are imported from China and certain difficulties arose in the first days of the pandemic, but after online orders became possible, this problem was solved.”

He also touched on the expansion of production sites: "Currently, our main goal is the local market. We are building additional production sites. These are the areas of panel and aluminum radiators. We have already launched a panel radiator production site, and in the aluminum radiator production site, production, will probably start within a month.”

In the future, the volume of investments in the plant is planned to be increased to 11 million manats. At present, the volume of investments is 8 million manats.