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local toy makers seek niche markets
for fayda (surname withheld), selling toys has been
her life for the last 30 years. every day, she squats over her makeshift
display of colorful cheap plastic toys, organized neatly on a blanket
near al-hussein mosque in medieval cairo, waiting for the occasional
low-income buyer.
on hand are chinese-made drumming monkeys for £e
3 each, strange-looking egyptian-made contraptions consisting of
wheels with bells on a stick for £e 3.50 and ping-pong racket-shaped
rattles with human faces on both sides, also egyptian, for £e
3.
fayda says toys are good business. i dont
care where the products come from, as long as people keep on buying
them, she said.
by all indications, cairo, along with other middle
eastern cities, is a huge toy market. while faydas collection
of simple, low-cost toys might not show it, toy sales in the region
are worth $1 billion each year, according to organizers of an upcoming
toy fair that will be held in dubai from may 17 to 19.
on average, each middle eastern child is pampered
with $263 worth of toys and video games each year. only north americans
who invest immensely in barbie dolls, toy cars and playstation
games spend more on their kids toys. europeans spend
only half of what middle easterners do.
the region is a toy makers paradise, said geoff
dickinson, managing partner for epoc messe frankfurt, which organizes
international exhibitions in dubai. in an article in gulf english-language
daily khaleej times on december 27, dickinson said toy manufacturers
particularly from china are lured by the fact that
the middle east has the largest number of toy retail outlets per
capita in the world.
furthermore, imported toys dont face serious
competition from domestic producers. the absence of local
toy industries and a presence of a large expatriate community make
it a favorable atmosphere for international products, dickinson
said in the article.
toys made in china and elsewhere are much more popular
than locally made varieties. the few local toy manufacturers that
do exist produce mainly for export, finding the local market unwelcoming
for their playtime gadgets. there are no big companies here.
everyone just imports toys from china, said mohamed hossam,
financial manager at faroplast, an alexandria-based toy and plastics
company.
faroplast has, however, managed to create a niche
for its locally produced balloons and beach sets, which would have
high shipping costs if they were imported from abroad.
but hossam added that only 6 percent of faroplasts
customers are in egypt. the gulf which has witnessed a boom
in sales of entertainment and amusement products is the companys
main sales target. we export mainly to other arab countries
and the us, italy and france, hossam said, adding that a free
trade agreement with the united states would boost his companys
sales.
although 36 percent of the population is under 14
years of age, toy sales in egypt have risen only 6 percent in the
past five years, he noted.
in any case, local toy manufacturers admit they cannot
compete with chinese supremacy in the business. china commands around
90 percent of the global toy market share, hossam said.
but by concentrating on certain items, investing using
innovative materials and finding the right customers, egyptian manufacturers
can survive in the local toy market, according to omar eid, export
manager for toy manufacturer edufun.
edufun, which has four showrooms in cairo, specializes
in wooden furniture and educational toys such as wooden alphabet
sets and mathematical puzzles.
eid said egyptians are becoming more aware of the
benefits of pre-school education, and that this has boosted local
sales to schools and nurseries. the government didnt
care about pre-school education before, but now the mentality has
changed, he said.
still, 70 percent of edufuns production is exported,
mainly to europe. europeans prefer natural materials,
eid said.
generally, local toy retailers are not convinced about
the quality of egyptian-made toys. large toy departments in the
alfa market store chain offer no egyptian toys. one hundred
percent of our toys are chinese, said ashraf bisheer, public
relations manager at alfa markets giza branch. they
are better quality and have a wider selection of models.
he added that if the quality and variety of egyptian-made
toys improves, we would buy them.
the stigma against egyptian-made toys is also prevalent in smaller
stores. chinese-made teddy bears and stuffed animals, car seats
and even tiny pastel-colored booties line the shelves at mom &
me, a small toy store in zamalek.
aside from the odd christmas ornament, monopoly board
game or uno card set produced under license, no egyptian products
were on display at mom & me. chinese products are cheaper.
there are no egyptian toys available, said the stores
manager gaber ahmed.
the kind of specialized toys made by edufun remain
a luxury reserved for affluent children in the region; wooden alphabet
sets are virtually unknown to the working class. organizers of the
dubai toy fair are targeting mainly expatriate populations in the
middle east the most lucrative toy consumer base.
expatriate families in egypt often prefer to look
elsewhere for their toys. an expatriate mother of a one-year-old
son complained that the selection of toys available, even imported
ones, was inferior. most of the items for children here have too
many unnecessary frills, she added, citing toilet-training seats
that play music and baby shoes with flashing red lights items
she said would not sell well abroad.
i dont buy toys in egypt often, because
its difficult to find simple things, she said.
sanna negus
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