Dealers have not been able to deliver vehicles booked at recent NADA Auto Show

KATHMANDU: Usually the Nepali auto-mobile industry is excited at the onset of the festive season as more than 40 per cent of the total automobile sales for the year takes place during this time. However, the industry is not very excited about the festive season this year as vehicles of almost every dealer are stuck at various custom points. Due to the political problems, automobile dealers have not been able to deliver vehicles that were booked during the NADA Auto Show 2015. Moreover, the short supply of petroleum products has also discouraged customers from purchasing a new car this festive season.

Although, almost all automobile dealers have launched attractive festive offers, customers don’t seem to be impressed by these offers as the Tarai unrest has adversely affected the economy. The Nepali automobile industry is hopeful that the situation will improve very soon and the industry will move ahead. But that is all they can do as the majority of domestic automobile dealers and customers are in wait and watch mode.

“Due to the Tarai Bandh, we have not been able to deliver even vehicles booked during the NADA Auto Show,” said Siraj Pant, Deputy General Manager – Sales and Market at CG Motocorp, autho-rised distributor of Maruti Suzuki. According to him, short supply of petroleum products will further discourage customers from buying cars this festive season. Citing that festive sales cover around 40 per cent of the total automobile sales of the year, he said, “If the situation does not improve soon, the industry will have to suffer a huge loss during this festive season.” However, he opined that the festive sales would be fine if the situation improves soon.

“Since we have not been able to import vehicles from the custom points, it seems that it will hamper sales during this festive season,” said Sunil Chhetri, Deputy General Manager at GO Automobiles, authorised distributor of Ford. “Usually festive offers generate excitement among customers but this time customers are in a dilemma because of the Tarai unrest,” he said, adding that the shortage of petroleum products is yet another hurdle for the industry. Citing that the dealers are in wait and watch mode, he said, “If things get better any time soon, there is a chance for the industry to enjoy this festive season like previous years.”

“Despite the Tarai unrest, we have been receiving a good number of bookings under our festive offer till date,” informed Awashis Ojha, Senior Brand Manager at Laxmi Intercontinental, authorised distributor of Hyundai. “We are hopeful, the existing problems will be resolved soon and the delivery of vehicles will resume,” he said, adding, “However, the industry will suffer badly this festive season if the situation does not improve soon.”

Meanwhile, Prabin Khatiwada, Head of Passenger Car Business Unit at Sipradi Trading, authorised distributor of Tata Motors, said, “Since our vehicles are stuck at Raxaul custom point, we have not been able to deliver vehicles booked during the NADA Auto Show.” According to him, they will not be able to meet even 25 per cent of demand if the existing situation persists during the festive season. “Even if the situation improves soon, the industry will incur around 40 per cent loss during this festive season,” he added.