Independent Electrical Retailer - the leading trade magazine for the electrical industry
Small appliances with many concerns
Douglas Herbison, Chief Executive of AMDEA, reviews the Association's recent work related to the small appliance sector.
Published:  17 June, 2009

As Chief Executive of AMDEA, I have to take a broad approach and consider a wide range of issues and perspectives. Hence I recently attended a breakfast meeting discussing trade relations with China.

The economic potential of China

Some of our products are manufactured in China, and even sold there. There is no doubt that China will have a key role in helping us to emerge from the current recession. The rate of the economic growth in that country is astounding. Retail sales in China in the first quarter of 2009 were up by 15% year on year, and independent analysts have just upgraded its GDP growth for this year to around 8%. At the same time the GDP figures for the majority of the Western European countries are negative.

Small appliances in AMDEA

There are many who associate AMDEA and its activities with large white goods appliances. We do, of course, look after the interests of those who manufacture fridges, washing machines, tumble-dryers and cooking products.

But our members are also involved in the manufacture and distribution of small appliances, ranging from irons and hair dryers to vacuum cleaners. Therefore, I have been conscious of the need to ensure that the requirements and concerns of small appliances manufacturers are not overlooked within AMDEA. Therefore since last year we have held regular meetings of our Small Appliances Panel to consider a wide range of issues from the perspective of small appliance manufacturers.

Most recently our Small Appliances Panel considered the following:

  • The need to have accurate statistics,
  • How to determine the direction of developments in this market,
  • How to identify areas of opportunity,
  • Matters associated with the EU Energy Using Products (EuP) Directive.

The Panel received a report on recent discussions in Brussels about specific EuP ‘implementation measures' which will ultimately set standards for coffee machines and vacuum cleaners.

The Panel also considered a possible Europe-wide industry code of conduct on irons, specifically in relation to their steam output. Our old favourites WEEE (Waste Electrical and Electronic Equipment) and RoHS (Restriction of Hazardous Substances) have also received an airing in this context as small appliances pose particular problems in terms of take-back of old product and their recycling.

In terms of hazardous substances, it is quite possible that consumers will soon start to ask electrical retailers for information on substances contained in a product (or used in the manufacture of that product).

There are also concerns relating to energy labelling of small appliances. Under the framework of EuP, an increasing number of products will have to be regulated by the European Commission which will encourage - and ultimately require - that only energy efficient products are placed on the market. An essential part of this is the EU Energy Label, currently being revised. The emphasis so far has been on fridges, freezers and washing machines. However, next will be water heaters and showers, as well as vacuum cleaners.

Finally, this sector will be affected by the forthcoming Batteries Directive. From 1 February 2010, retailers will be required to take back batteries; with exemptions for small stores.

At the same time, AMDEA is involved in discussions on a variety of wide-ranging issues with many other bodies, such as retra, the CBI and SEAMA (the Small Electrical Appliances Marketing Association). It is in all our interests to ensure we are able to produce and sell a wide variety of safe and energy efficient products. So - a broad approach is what seems to be needed.







Poll

What is you main concern at present?

  • trade credit availability
  • falling customer demand
  • rise in rent rates
  • burden of laws and regulations
  • competition from internet traders
  • fluctuating exchange rates

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