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Analysing the present state of the HVAC sector in the Middle East

From cash flow issues to a stagnant market, professionals in the industry analyse the challenges plaguing the HVAC sector

| | Jan 30, 2019 | 1:49 pm
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Dubai, UAE, 30 January 2019: The HVAC market in the United Arab Emirates has been stagnant for the past one-and-a-half years and is likely to be the same in 2019, asserted Jithender Malhotra, Channel and Distribution Manager, GAMI, while giving an overview of the HVAC market in the Middle East. Pointing to cash flow as a huge issue, he highlighted how GAMI is dealing with the situation. “We have changed the payment terms and even have a credit period, considering the market conditions,” he said.

Elaborating, he pointed to an influx of Chinese products in the market and said: “Another category is of copied products, as they have a huge market here, which is disturbing the local market in the United Arab Emirates. In addition, we have faced a lot of issues with spurious product filter dryers that were reported and the shops were then raided.”  Ravi Wadhwani, Managing Director, Hira Walraven AC Industry, echoed Malhotra and said, “Cash flow is always a challenge for the construction industry in our region and as a veteran player, we ensure that we continue to invest so that our operations remain immune from these factors.”

Another important aspect is providing product-related training, the onus of which must lie on the manufacturer and the contractor, said Ravi Wadhwani, Managing Director, Hira Walraven AC Industry. “There have been projects where the contractors have requested us to hold training workshops on the site with their team,” he said. In an attempt to take proactive measures, he added, the team also insists that the first shipment to the sites must be preceded by an installation workshop. “This is done mainly for new products, which are being introduced by the company regularly,” Wadhwani added.

Pointing to handling customer complaints and providing service as other important factors, Malhotra highlighted that their policies comply with the ISO certifications. “We have to reply within 48 hours,” he said, adding that it is relative and depends on the problem. Sharing a similar thought, Wadhwani said, “Our group has a dedicated team, which responds to a complaint within 24 hours.” In addition, he said, they also conduct demonstrations and workshops to train the site team for the installation of HVAC accessories and equipment.

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