Federation of Automobile Dealers Associations (FADA) released the vehicle registration
data for the Month of January 2020.
on January 2020 performance, Ashish Harsharaj Kale, President, FADA said, “Auto
sales continue to be in the negative territory in the month of January, except
for 3W, with many consumers still not concluding on their decisions. Ongoing transition
of BS IV to BS VI is also a factor in delayed purchase decision.
Vehicle Registration Data for January 2020
weak economic sentiment continues and even after the Budget 2020, although an
inclusive budget with growth drivers for the mid to long term, did not have any
direct measures nor any immediate growth spurring initiatives for the auto sector.
the first time FADA has given registration figures for the tractor segment,
thereby covering the entire mobility spectrum. Tractor numbers will also give a
brief insight into rural demand situation.
appeal in Supreme Court for extension of sale beyond March 31, 2020 for dealer
stock clearance was not considered by the Hon’ble Court. With the weak demand situation,
liquidation of complete BS IV inventory is the top focus for us and FADA has
already appealed to all OEM’s to switch over completely to BS VI despatches to dealers.
also stated, “The last 14 months has seen the one of its toughest times in auto
sales. FADA has therefore requested our OEM’s through Society of Indian
Automobile Manufacturers (SIAM) that any BS IV vehicle billed further the set
deadline of March 2020 which is not against specific customer orders, to be on
returnable basis to avoid financial loss to our members.”
will also co-ordinate with banks and NBFC’s to ensure financing of BS IV
Inventory till the SC mandated date of 31st of March to ensure liquidation of
the BS IV stocks and smooth transition to BS VI without any financial implication
to any stake holder.
official communiqué also observed, “With continued weak consumer sentiment and
the overall economic situation, as well as the upcoming BS VI transition, the
near-term demand situation will continue to be dynamic. We appeal to the
Government to continue announcing positive measures, specifically for the auto industry,
as well as for the overall economy which will help us return to growth trajectory
at the earliest.”