The Society of Indian Automobile Manufacturers has estimated that over 1.4 billion vehicles remain stuck in dealerships after BS III emissions force their removal from sale.
After 29th March, the Supreme Court of India banned the sale and registration of BS III vehicles as they moved onto Bharat Stage emission standard four (BS IV). This left a huge amount of stock remaining with manufacturers in dealerships and, which meant that the entire country took advantage of what was effectively a firesale of ‘old’ vehicles over the past month, before the new standards took effect.
However, whilst people went bargain hunting and helped to reduce the total, the remaining amount of unsold stock – across all categories and including cars & commercial vehicles) is believed to be valued at a whopping £600,000,000.
As of the 29th March 2017, there was believed to be over 6 million motorcycles and two-wheelers left on showroom floors.
The final figures aren’t in, and some reports are stating that over 90% of that 6 million has managed to have been sold within the final four days – at a potential loss to the manufacturers. But, even if this is the case, that means India now has almost 100,000 two-wheeled vehicles left, potentially gathering dust.
If we were in the import/export market and had offices within the Sri Lankan and Bangladesh regions, we know what we’d be doing right now.