Indesit Company SpA said its sees market demand for household electrical goods rising 2% in volume terms in Western Europe, up 1% in the UK, up 5% in eastern Europe, and up 6 pct in CIS countries.
In 2006, West Europe industry-wide shipments rose 2.3%, in East Europe, excluding Turkey, up 5.8% , and in CIS (Commonwealth of Independent States, former Soviet Union) up 5.9%, it said.
In 2006, prices in West Europe were up 1.5%, while east Europe fell 3.8% , it said, without further details in a slide presentation.
On its effort to move production to low cost countries in east Europe and Russia, Indesit said sourcing of its production from these countries will rise to 35% in 2007, from 30 in 2006.
In addition, local sourcing of supplies for the low-cost country production will rise to 42% in 2007, from 36 pct in 2006, it said.
On a direct manpower hours basis, low-cost country production will rise to 49% in 2007, from 40%, with the rest in western Europe, it said.
In further details on the 6.0% rise in 2006 sales to 3.249 billion Euro, Indesit said cooker sales rose 2.4% to 739 million, fridges 7.2% to 882 million, and washing machines 7.2% to 1.340 billion.
From Forbes