Regional
Meeting at Kolkata
In keeping with the policy of rotating meetings at various places
in the country, FADA organised a Regional Meeting at Kolkata on
18th March 2006 at Bengal Club, Kolkata, coinciding with its Council
Meeting.
The meeting witnessed an overwhelming participation of automobile
dealers from Kolkata and other places in West Bengal. Distinguished
guests at the meeting included: Sumantra Chowdhury, lAS, Principal
Secretary, Govt of West Bengal; S N Sarkar, IPS, Additional Commissioner
of Police, Govt of West Bengal; Amitava Roy, Commercial Business
Head (East), Maruti Udyog; Jalaj Gupta, Regional Manager (East)
- PCD, Tata Motors; and Ashim Bhowmick, Regional Manager (East),
Hyundai Motor India.
The day began with a welcome address by Om Prakash Agarwal, Chairman,
Motor Industry Association, Kolkata and State Chairman, West Bengal,
FADA.
Binod Agarwal, President, FADA adding his words of welcome, briefed
the distinguished guests and participants on the history, role and
activities of FADA. Touching upon the current automotive scenario
and salient features of the recent Budget, President welcomed the
excise duty cut in respect of small passenger cars and hoped that
excise duty on all passenger cars across the board would be rationalised
at 16% at par with other categories of vehicles.
An Interactive Session with the Principal Secretary (Transport)
and Additional Commissioner of Police, Government of West Bengal
and an Open House Session with a panel comprising representatives
of Maruti Udyog Limited, Tata Motors Limited and Hyundai Motor India
Limited following thereafter, witnessed a lively discussion on various
issues of concern to retail automobile trade.
Sumantra Chowdhury in his address highlighted the steps taken by
the West Bengal Government to ease the traffic congestion, including
construction of a number of flyovers and improvement of roads. Referring
to the issues specific to automobile sector, he said that the Supreme
Court having cleared the decks, the West Bengal was in the process
of finalising agencies for introduction of High Security Registration
Plates (HSRP).
He added that the West Bengal was the first state to introduce Smart
Card for registration of vehicles, and assured that name of financier
in whose favour a vehicle was hypothecated would be reflected in
the Smart Card if it did not appear already. He also spelt out the
other measures being contemplated by the West Bengal Government
to improve the vehicular traffic, road safety and environment pollution
in the city of Kolkata, chiefly-
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Inspection
of vehicles for registration, at the dealership showrooms
instead of the vehicles being taken to RTO; |
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Installation
of digital camera along with the pollution checking machines
so that the photograph of number plate of the vehicle also
appears in the PUC Certificate; |
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The
State Government being competent to prescribe age of vehicles
to go for appeal against the High Court order, to enforce
the ban on plying of + 15 year old commercial vehicles. |
Principal Secretary (Transport) agreed to consider after the elections
in West Bengal, the suggestions for (i) Delegation of registration
of non-transport vehicles to automobile dealers based on the schemes
in vogue in Delhi and Rajasthan; (ii) Authorising automobile dealers
having the requisite equipment and technical competence to carry
out the inspection and to issue the fitness certificate in respect
of transport vehicles; and (iii) Constitution of a committee at
the State or city level, composed of the transport officials and
other stakeholders including automobile dealers, to address and
sort out the day-to-day issues and problems of mutual concern.
S N Sarkar, Additional Commissioner of Police, while interacting
with the participants, pointed out the growing complexities of policing
the city of Kolkata, including managing the vehicular traffic. He
said that road to surface ratio in Kolkata is just 6%. Unlike New
Delhi and other modern cities, Kolkata is not a planned city and
does not have space for road addition. As such, fast-moving and
slow-moving vehicles jostle for a limited road space. Kolkata traffic
police was therefore working for bringing about improvement in vehicular
traffic through better traffic management and engineering, he added.
The Open House Session with three panellists - Amitava Roy, Jalaj
Gupta and Ashim Bhowmick, representing manufacturers, was marked
by intense and absorbing deliberations. Major issues raised during
the interaction included: Shrinking sale margins of automobile dealers;
Dealer Retention & Satisfaction; and Workshop revenue not matching
up to the vehicle sales & population due to improving quality standards
of vehicles and their components as well as consumables like lube
oil.
The panelists assured that the manufacturers were equally concerned
about the viability and financial health of their dealers. Most
of the manufacturers reviewed the business plans of their dealers
from time to time. They expressed the view that while, at times,
there are compelling reasons for the manufacturers to offer discounts
and freebies, it is the better understanding among dealers, which
will help bring about discipline in the market place and rein in
discounts.
Pradip Kamdar, Vice President, FADA proposed a Vote of Thanks for
the distinguished guests and participants for their making it convenient
to attend the meeting.
In the afternoon, immediately after lunch, FADA Council held its
227th meeting at the same venue. Among various matters considered,
the Council reviewed the outcome of Auto Summit 2006. The progress
of recent initiatives of FADA, viz. (i) 'Helpline Service' for members,
and (ii) Pilot Project under which the certificate/diploma courses
have been started by FADA in association with Ind Search at Pune
to cater to the manpower needs of automobile dealerships, was also
reviewed. Keeping in view that these initiatives aim at helping
and benefiting the automobile dealers immensely, Council decided
to go ahead and expand these programmes. It was decided to the launch
the training courses at Mumbai from July 2006 and thereafter at
other places in the country gradually. Members were requested to
look out for suitable institutions in their areas for tie-up with
FADA for the phased launch of courses across the country. |