[itwasntme]

Originally Posted by turbo

Pawan Munjal assures all their dealers that they will firmly stand behind them. Kudos to Hero for taking care of their dealers.
https://auto.economictimes.indiatime...tners/74863534

I understand that 3/3.5 lakh out of 7 lakh BS-IV two wheelers are Hero and they produced them till February if not March .

If this is this true, he should resign instead of acting like he is doing now. I'm glad Rajiv Bajaj broke ranks and spoke up.

[turbo]

Originally Posted by itwasntme

I understand that 3/3.5 lakh out of 7 lakh BS-IV two wheelers are Hero and they produced them till February if not March .

If this is this true, he should resign instead of acting like he is doing now. I'm glad Rajiv Bajaj broke ranks and spoke up.

I'm not sure what your source for that number is, but even if it is true, a player that has 50% of market share has 50% of unsold inventory. I see nothing wrong here.

And I have no idea what Rajiv Bajaj said, but the Bajaj's have a reputation for being a bit of an outspoken lot, if not outright loudmouths.

Anyways, since the BS6 is only for India, Hero can just take the inventory, put it all on a ship, and let it sail to Latin America. So can Bajaj. Other smaller players, I dont know.

[itwasntme]

Originally Posted by turbo

I'm not sure what your source for that number is, but even if it is true, a player that has 50% of market share has 50% of unsold inventory. I see nothing wrong here.

And I have no idea what Rajiv Bajaj said, but the Bajaj's have a reputation for being a bit of an outspoken lot, if not outright loudmouths.

Anyways, since the BS6 is only for India, Hero can just take the inventory, put it all on a ship, and let it sail to Latin America. So can Bajaj. Other smaller players, I dont know.

That's a specious argument. Maruti-Suzuki has 53% market share but had only 2,000 BS-iV unsold vehicles at March end. https://www.moneycontrol.com/news/te...w-5020821.html

Normally I do not give much attention to what Mr. Bajaj says but I cannot but agree with his statement: "I see absolutely no grounds for seeking an extension because we've had a three-year notice. Companies struggling are those that left it too late by continuing to produce BS-IV vehicles well into February. This is management's failure to plan at best and greed at worst."
https://auto.ndtv.com/news/coronavir...-bajaj-2201326

Agree on the LATAM plan - let them do that without burdening their dealers any further.

[GTO]

Thanks to a Team-BHP Fan (who prefers to stay anonymous) for sending this information in. Heartfelt gratitude for sharing it with other enthusiasts via this Team-BHP page!

He is a car dealer:

Today's date will be marked as a dark day in the automotive history books of India. As per the SC order of 27th (attached), dealerships may register all unsold inventory till 31st March; the 10% clause was a disaster wherein you dump 9 cars and 1 piece will be allowed to be registered later. Baseless, isn't it?

Anyways, all dealers were prepared to get unsold cars registered in their own company's name on the 30th and permissions to open showrooms were sought from the respective RTOs. We started punching data into the Vahaan portal without wasting time and guess what, at 2 PM, the portal was blocked by MORTH stating reasons of lockdown!!!

It was a situation wherein dealers across the country felt helpless, frustrated and betrayed by government policies, and an unrest started happening on social media. Numerous emails and an attempt to reach Mr Nitin Gadkari were made through Twitter which were left unanswered. More then 7000 crore rupees of inventory was on the verge of being converted into paper weights. Sad and frustrating.

The portal didn’t work till 8 PM. Then, suddenly it worked, but to our surprise, the payments couldn’t be transferred as the only authorised bank SBI works from 8 am to 8 pm.

We are keeping our fingers crossed that it goes well on the 31st and that we can punch in all details to the RTO.

All government communications are attached herewith to get an understanding on the subject.

Will keep you posted tomorrow.

I have car dealerships, as well as multiple 2-wheeler outlets.

Attached: SC order, then permission granted and finally the explanation on closure of the portal.

Twitter unrest of dealers is also attached, FYI.

F A D A (@FADA_India) Tweeted:

Dear @nitin_gadkari ji. @MORTHIndia today disabled #VahanPortal for dealers across the country, even though they are working from home. Home Affairs guidelines are not broken. If portal is not opened, dealers will face 1000s of crores of losses in the last 2 days of March. Your urgent intervention please

https://twitter.com/FADA_India/statu...609931777?s=20

SC.pdf.pdf

BSIV Order.pdf.pdf

[bharatbits]

A more sensible judgement by the Supreme Court would have been to put a last date to the manufacturing of BS4 cars. After that only BS6 manufacturing. Someone like Maruti would have sold off their stock in 1 month while someone like Mitsubishi would have taken a year.

Voted Yes. The Corona situation was not anticipated. So, probably an extension for the number of days they lost due to the lockdown sounds ok. Nothing more than that since the last date was communicated well in advance.

[indian21r]

Somewhere the judgement makes it feel running a business in India is a crime.

Dealerships are like Mini small scale enterprises. Sure they do make profit but they also generate lots of employment too.

[4x4addict]

Being a business man facing the COVID situation with all my sites/factories closed, I can feel the pain of the car dealers. This Govt was supposed to be business friendly. But sad state of affairs.


Anyways, since the lopsided new Motor Vehicle Act which gives leevay to states to collect ton's of money without any responsibility to the road user, I never had much respect for Nitin Gadkari.

[CrAzY dRiVeR]

AFAIK - BS6 decision and cut-off date was announced in January 2016.

I'm not sure if dealers or even manufacturers should have waited for the last date to do all these registrations - Corona or otherwise!

[Kosfactor]

Originally Posted by 4x4addict

Being a business man facing the COVID situation with all my sites/factories closed, I can feel the pain of the car dealers. This Govt was supposed to be business friendly. But sad state of affairs.
.

It is, there is a very dangerous trend here.

These decisions which make or break sectors are to be taken by government, instead now we rely on courts to make decisions. It is fundamentally wrong to do that because our house of representatives are from all walks of life and understand to a higher degree the pain of people \ industrial sector etc - I think a better decision could have been taken at a government level than going to the court - that confidence in the government has to come.

[indian21r]

Originally Posted by CrAzY dRiVeR

AFAIK - BS6 decision and cut-off date was announced in January 2016.

I agree they should not have waited till the last day. But making a vehicle is not a straight forward job as well. It does require lots of R&D as well as

But there would not have been all this pain/nonsense if the cut-off date was for manufacturing rather than sale. We have this mentally of choosing the most complicated option rather than a straightforward option. They need to frame rules with minimal impact to have effective implementation.

Easier to implement for 100 manufacturers where sale mean product has paid duties/gst etc and is out of gate. But implementing it for 1000's of dealers where there is no certain date for sale is making a mess. Such stupid decisions are forcing people to think creative ways to close sales etc.

Originally Posted by Kosfactor

These decisions which make or break sectors are to be taken by government, instead now we rely on courts to make decisions.

True, Courts these days seem more focused on making executive/legislature decisions rather than clearing their own backlog of cases.

Guess it is easier to point out others mess rather than ones own:

[GTO]

Thanks to a Team-BHP Fan (who prefers to stay anonymous) for sending this information in. Heartfelt gratitude for sharing it with other enthusiasts via this Team-BHP page!

It is the same car dealer:

The steep behaviour of our government and SC is surely an injustice, but our OEMs are equally responsible for this situation as they kept producing BS4 vehicles till Feb for their small greed.

Dealers had no interest to buy BS4 vehicles and were forcefully billed. We're now suffering the most from this fiasco.

I think this time, the unrest is going to be loud pan-India, let’s see.

[ashis89]

Originally Posted by GTO

Thanks to a Team-BHP Fan (who prefers to stay anonymous) for sending this information in. Heartfelt gratitude for sharing it with other enthusiasts via this Team-BHP page!

It is the same car dealer:

I would stand with the dealers. It's the OEMs at fault here. The deadline was known years in advance and they had all the data for inventory planning. OEMs should have stopped producing BS 4 vehicles long ago, December 2019 at the latest.

My guess, it was greed and over optimistic planning. Due to weak market conditions, they delayed introduction of the expensive BS6 models and continued with the older cheaper models. And they forced dealers to sell these till the end of the deadline, including the fire sale if necessary.

Hero Motocorp and every other OEM should agree to take back the old stock, they're are morally responsible to do so - pay for their mistakes. Dealers shouldn't be forced to share the losses now.


P.S.: It would be a potato to apples comparison but thought of sharing here. Back in the day, bread manufacturers used to supply bread packets daily to kirana stores to be sold to customers. The next day, the suppliers would take back old unsold bread packets while supplying the new ones. Store owner paid for all the stock sold in the past day

[Turbanator]

Anyways, all dealers were prepared to get unsold cars registered in their own company's name on the 30th and permissions to open showrooms were sought from the respective RTOs. We started punching data into the Vahaan portal without wasting time and guess what, at 2 PM, the portal was blocked by MORTH stating reasons of lockdown!

Even in the preceding days, the Portal was under tremendous load and payment gateway was throwing errors. I got one of our company cars invoiced on 29th on a Temporary number.

I think this will give another chance to the lawyers to approach SC with a fresh request

[4x4addict]

Originally Posted by Kosfactor

It is, there is a very dangerous trend here.

Supreme Court was created as a constitutional court, but now decides what one can have for dinner. Only the Senior Judges of the court can introspect and make a decision not to overstep on the legislative domain.

[CarManMotorcycl]

I have another view to this. The Court should allow all the dealerships who have BS4 stock to register the cars at least for a month after the lockdown ends. As for the car companies who in spite of knowing the deadline for the BS4 did not stop producing the cars should not be allowed to sell them to the dealers. They even got the deadline date 3 years in advance!

Afaik Hero is the one who wanted the deadline date extended, so we know who has the most BS4 stock availabile with them.