New Delhi: The Society of Indian Automobile Manufacturers (SIAM) has sought help from the government to help the sector smoothly transition to BS-VI emission norms from April next year. As the sector traverses a period of slowdown, the industry body has said that the prospect of an abrupt stoppage in the manufacturing of other vehicles and sale of BS-VI vehicles overnight posed a “monumental” challenge.
Speaking at the annual convention of the Automotive Component Manufacturers Association of India (ACMA), SIAM President Rajan Wadhera said, “The transition is very abrupt on March 31, both manufacturing and sales (of BS-IV vehicles) stop. This has never ever happened in anywhere in the world.”
‘Difficult to ensure zero inventory by March-end’
Wadhera said that even though automobile manufacturers are prepared to meet stricter emission norms, there are issues with inventory management. It is extremely difficult to predict sales and plan inventories in such a way to have zero inventory by end of March, he added.
“This itself is giving speculation and confusion in customers and in a huge loss for the entire auto fraternity,” Wadhera said.
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Plea for help
Turning to the Minister of State (MoS) for Finance Anurag Thakur and MoS for Heavy Industries and Public Enterprises Arjun Ram Meghwal, Wadhera said, “So, sir, we request you to please look at this, and from time to time over the next few weeks we shall interact with you to give us a a possible solution to this very big complex thing which is coming.”
“All eyes are on us. Together we have to ensure that we execute this transition very well,” he said.
The Supreme Court had said in a ruling last year that no Bharat Stage (BS) IV vehicle shall be sold across the country with effect from April 1, 2020.