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China’s rural home appliance subsidy drives up sales

By IANS,

Beijing: China’s stimulus programme for home appliance purchases in rural areas continued to boost sales in the first 10 months, the commerce ministry said.

Home appliance sales in the country’s rural areas, excluding the provinces of Shandong, Henan and Sichuan, climbed 18.8 percent from one year earlier to 175.24 billion yuan ($27.82 billion) during the January-October period, the ministry said in a statement on its website.

In October alone, 7.91 million units of home appliances were sold to rural consumers, up 27.5 percent from one year earlier, and sales value increased 26 percent year on year to 21.38 billion yuan, reported Xinhua.

The subsidy programme, which will continue until January 2013, is part of the government’s efforts to stimulate rural consumption and buoy the nation’s economic growth amid the global economic downturn.

Under the programme, farmers can receive subsidies equal to 13 percent of the prices of designated types of home appliances, including refrigerators, televisions, washing machines, computers and air conditioners.