Kathmandu

With the earthquake of April 2015, followed by the border blockade, and the recent restriction on auto loans, the automobile industry has been facing ups and downs. Although the two-wheeler industry seems to be doing impressively well in its segment, there are still a few minor hurdles. However, this has not discouraged the major players to target higher sales for 2074 BS.

“The year 2073 BS was a very good year for us as we had the highest sales; we sold around 40,000 units,” revealed AbheekJyoti, Chairman of Nepal General Marketing (NGM), authorised distributor of Hero motorcycles. According to Jyoti, the SuperSplendor was their highest selling model (for the sixth consecutive yearin a row). Sharing his expectations for the coming year, Jyoticlaimed that Nepal’s two-wheeler segment might be affected by the implementation of Bharat Stage 4 and CMVR restrictions on delivery trucks in India.   “These restrictions will lead to increase in the price, which could dampen the purchasing-spirit of Nepali consumers,” he said.

He informed that Hero will be launching a couple of new models in the premium segment this year.

Deepak Raj Giri, AGM-Marketing and Business Development, at MAW, the authorised distributor of Yamaha

motorcycles, shared that they too witnessed a tremendous sales boost in 2073 BS. “Till Chaitra (March/April) we sold around 31,000 units (motorcycles and scooters combined) and we are expecting another 10,000 unit sales in the final quarter,” he informed.

According to Giri, the technologically advanced bikes sold around a total of 11,000 units which includes models such as FZS (FI), FZ 16 (FI) and FZS (FI) Special Edition, whereas in the premium scooter section, Fascino sold around 7,500 units. “Our target sale is 50,000 units for the upcoming fiscal year,” he informed.

Expressing his views on the restriction on auto loans, Giri said, “The limitations on auto loans have had lesser impact on two-wheeler industries but such policies will definitely not yield good results. The automobile sector is generating tremendous amount of revenue for the country and tens of thousands of people are directly and indirectly dependent or connected to this industry. It could be an important parameter to raise the living standard in the country. The government should rather focus on developing a proper and more systematic local transportation system, and road conditions.”

Similarly PratyushShrestha, Sales Head at Agni Motoinc said, “The beginning of 2073 BS was very good for us, especially during the festive season. We saw massive sales through our scheme Mahindra ma Yespali Scratch Garau Dui Tali. We also launched the MOJO.”

As perShrestha, there was an overall sale of more than 3,500 scooters and bikes and the Gusto 125 was the highest selling model. “We are targeting to sell around 6,500 units by end of 2074 BS,” Shrestha shared adding that they will be bringing a new model of Gusto 125 disc brake and 150cc bike. Shrestha referred that the increasing competition is one of the major challenges.

“Many new brands are entering the market and it will be tough competition. Also limitation on auto loans directly and indirectly affects the two-wheeler industry; when purchasing premium bikes and scooters, people were dependent on the auto loan. Now it will definitely affect the sales of the premium models,” he stated.