[navpreet318]

Originally Posted by Nav-i-gator

............

There is no charity here, it's business.

What you are mentioning are regular running losses which all businesses face. There are up seasons and there are down seasons but why do you expect people to give items for free?

How do you know or decide that dealers who incurr interest and depreciation costs don't give out stock for discounts?

Dealers regularly do that. Don't you see the discounts even at year end or march end or for slow moving items?

What you are correlating is regular business losses which everyone faces and is ready with. What is happening here is a extraordinary event.
Slow sales which were supposed to pick up after a bumper sale of last financial year. Then the Corona Virus which is leading to extremely low Walk in. These are the reasons why this needs to be done.

I am sitting on Zero BS4 Inventory. Zero! Yet I have dealer friends who are sitting on quite a number of vehicles which under normal circumstances should have been liquidated by now. The extra sluggish demand is leading to this.

[Chetan_Rao]

Was the extension being requested for cars manufactured/dispatched before a certain date, say late 2019? If so, a good faith argument can be made about dead stock. If the stock is recent, then it's just trying to game the system. Unfair to put every dealer out there in the same bucket, whether genuinely impacted or crooked. Both types probably exist.

Either way, what would a 2 month extension realistically do? Fast-moving inventory was all bought up already, and slow moving isn't likely to get buyers in the current environment in the near future.

[SJ410]

BSIV production may have been ramped up in expectation of higher sales during the festive season. Sales remained lower than normal thanks to minuscule discounts by the automobile manufacturers. Coupled with the overall slowdown in demand there are bound to be several thousand BSIVs left in stock. While BSVI models of various cars have already been launched it remains a question as to why the manufacturers still want to sell BSIV till May 2020 UNLESS they are planning to get rid of the existing stock at lower prices in comparison to the BSVI models. In our country discounts are a great selling point.

[Nav-i-gator]

Originally Posted by navpreet318

Who are you and how do you know or decide that dealers who incurr interest and depreciation costs don't give out stock for discounts? Who made you the expert on that?


I won't be replying to you anymore and there is a limit to how much I can bang my head on a wall.

Too bad people brought up in a corporate lifestyle cannot understand these things.

Well, good luck with getting a favorable judgement from the court then. I indulged in a discussion, with counterpoints to your points (which will happen anyways in the court, IF FADA gets a hearing). Good luck with asking the lawyer/Judge about "Who are you", "what do you know" and "How are you brought up".

Thanks for not replying.

[rajchetan]

I have voted NO. As the situation is created by the manufacturers who, even after knowing for the last couple of years that the deadline has been imposed, did not stop producing BS4 or start manufacturing new BS6 compliant cars.

Deadline is not the start but then last point of time by when a task need to be completed. Hence manufacturers needed to plan their production, R&D, Marketing, Supply Chain etc way before the deadline.

If we keep accepting this chal tha hai attitude, we will always keep missing deadline.

But now with current Pandemic and the impact its having on Global Economy, we should allow registration while stock lasts.

[roy_libran]

Originally Posted by navpreet318

I am sitting on Zero BS4 Inventory. Zero! Yet I have dealer friends who are sitting on quite a number of vehicles which under normal circumstances should have been liquidated by now.

I am curious, how it is that you are sitting on Zero BS4 stocks, and your other dealer friends are sitting with significant inventory? What did you do different?

[Chetan_Rao]

Note from Support: Guys, lay off the personal attacks please. Lack of understanding on either side, real or perceived, can be addressed without attacking the other party personally.

Thanks for helping maintain forum standards.

[volkman10]

Supreme Court turns down plea for BSVI deadline extension.

The Supreme Court has turned down the Federation of Automobile Dealers' Association (FADA)'s plea for extending the deadline for BSVI implementation to May 31

Link

[navpreet318]

Originally Posted by roy_libran

I am curious, how it is that you are sitting on Zero BS4 stocks, and your other dealer friends are sitting with significant inventory? What did you do different?

Haha! Trade Secret!

Nothing special. Planned beforehand. Kept my inventory in check. Didn't get greedy! There are a handful of such dealers who do their own planning and do not let others do it for them.
Right now I'm helping other dealers get rid of their inventory by taking confirmed bookings and transferring their inventory to me and selling it at zero profit.

[roy_libran]

Originally Posted by navpreet318

Haha! Trade Secret!

Nothing special. Planned beforehand. Kept my inventory in check. Didn't get greedy! There are a handful of such dealers who do their own planning and do not let others do it for them.
Right now I'm helping other dealers get rid of their inventory by taking confirmed bookings and transferring their inventory to me and selling it at zero profit.

That is indeed good, and of course the rational course of action - as you mentioned you didn't get greedy then. It's also very good that you are extending support to your fraternity.

But, this level of unpreparedness on one hand and opportunism on the other, has landed the other dealers in this predicament today - so, do they deserve the additional leniency that they now seek?

[navpreet318]

They do. They definitely do. Because a lot of them are in this situation for reasons best not discussed on an open forum. They need to be helped because it wasn't their complete fault. And whatever little there was it doesn't warrant them to be punished in this manner.

Moreover with the complete lockdown probably being announced today evening things are indeed looking very bleak now. Once lockdown is in place. Nothing can happen. But then staying alive is most important. Inventory will come and go. Money will come and go.

[drmohitg]

Originally Posted by Nav-i-gator

Who forced dealers to buy BS4 stocks while they knew the deadline? If manufacturers forced them, better to go to the court against them, rather than asking Govt for a favor.

I remember reading on the forum elsewhere that it is a part of the contract. Variants, colours and fixed number of vehicles in total have to be bought by the dealers irrespective of other factors. And the court case you are talking about, well how much time would it take to fight this in court? Dealers with their money blocked would be forced out of business in the meantime. And the job losses follow. I don't see any reason for not extending the deadline by a few months to ensure stocks are sold.

Also is BS6 fuel available across the country now? Last I heard, this was still far from achieved meaning that the BS6 cars would be running on BS4 fuel.

[roy_libran]

Originally Posted by navpreet318

Moreover with the complete lockdown probably being announced today evening things are indeed looking very bleak now. Once lockdown is in place. Nothing can happen. But then staying alive is most important.

Now now now, this lockdown piece seems to be travelling really fast!

But it might be a silver lining too, given the dealers might be able to cite it as a Force Majeure, and push for an extension.

[Nav-i-gator]

Originally Posted by drmohitg

I remember reading on the forum elsewhere that it is a part of the contract. Variants, colours and fixed number of vehicles in total have to be bought by the dealers irrespective of other factors. And the court case you are talking about, well how much time would it take to fight this in court? Dealers with their money blocked would be forced out of business in the meantime. And the job losses follow. I don't see any reason for not extending the deadline by a few months to ensure stocks are sold.

Also is BS6 fuel available across the country now? Last I heard, this was still far from achieved meaning that the BS6 cars would be running on BS4 fuel.

Contracts. Both parties sign on it with full consent. How is Govt/court involved in this now? When a person is hired, company and employee enter into a contract. Can a person being fired go to the court and ask for extension/continuation of his employment till the time he/she is out of all debts, citing bleak economic scenario/Recession?

I would say - let the Govt extend it till end of the year or even further. With a caveat that BS4 stocks can be sold at billing price to dealers (so that they can sell it at no profit and no loss) and provided dealers can't fire any staff till the end of the extension period (since the threat of job losses is perpetuated as the prime reason/threat). How about that?

[drmohitg]

Originally Posted by Nav-i-gator

Contracts. Both parties sign on it with full consent.

In the literal sense yes. I am not claiming any higher knowledge but is a dealer really into a position to dictate the terms of a contract with a car manufacturer?
I recently opened a bank account. It is a sort of contract when I sign on the dotted line. Can I change the terms and negotiate with the bank if I don't like a few points. There is theory and then there is practicality of it.