After an extraordinary FY2020-21, the CV industry is up for another extraordinary year it looks like. The second Covid-19 wave at the beginning of FY2021-22 has disrupted the acquired momentum. The macro economic indicators – the RBI’s original GDP growth forecast for FY2021-22 of 10.5 per cent as well as the Q1 FY2021-22 forecast of 26.2 per cent is unlikely to be met. The second Covid-19 wave has diverted attention from the economic revival in terms of the sequential month-on-month growth in most of the high frequency indicators like GST collections and PMI (Purchasing Managers Index). Lockdowns since April 2021 have been the way of life. The ensuing scenario has diverted attention from the rebound in electricity consumption and the rise of digital payments and electronic toll (FASTag) collections at highway toll plazas.
As efforts are made to tackle the second Covid-19 wave, the ground that the CV industry has covered post the first Covid-19 wave has been brought into question. The hard earned sales momentum has abruptly come to a grinding halt. With the second Covid-19 wave unleashing itself in the second week of April 2021, wholesale and retail numbers have crashed. The alarming growth of Covid-19 infections in the rural hinterland has had a profound effect. The direct impact on CV channel partners and transporter community is not hidden. The stock push by OEMs to retail channels in March 2021 has led to a stock build up of up to 45-60 days of inventory. Transporters have seen their utilisation levels plummet. Freight rates have declined – in April the fall was a good 20 per cent. The steep and unrelenting rise in fuel prices haven’t helped matters. The demand for 90 days loan moratorium is not unfounded. Neither is the 90 day interest support sought by dealers from their principals to neutralise their unsold inventory.
This story is from the July 2021 edition of Commercial Vehicle.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the July 2021 edition of Commercial Vehicle.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
PLASTIVISION - 2023
THE LATEST TECHNOLOGY, IDEAS, MACHINERY, AND ECO-FRIENDLY SOLUTIONS WERE ON SHOW AT PLASTIVISION 2023. PRAJAKTA CHAVAN POINTS TO THE DELIBERATIONS AND THE OUTCOMES THAT STOOD OUT IN THIS EDITION.
19TH EV EXPO 2023: Sustainable Transportation On The Cards
STAKEHOLDERS OF THE EMOBILITY OPPORTUNITY STEPPED UP WITH A FORWARD-LOOKING PORTFOLIO AT THE 19TH EV EXPO 2023. RICHA TYAGI PICKS THE STANDOUT DISPLAYS AS THE INDUSTRY CHALKS A VISION.
NEXT GENERATION TRACTION INVERTER: SAFE, EFFICIENT AND COMPACT
BORGWARNER HAS IMPROVED THE PERFORMANCE, INTEGRATION AND RELIABILITY OF ITS INVERTER TECHNOLOGY BY REDESIGNING THE POWER, COOLING AND CONTROL SYSTEMS AND SIMPLIFYING PRODUCTION.
SUSTAINABLE TECHNOLOGY
DANA INDIA IS CARVING ITS PATH TOWARD SUSTAINABLE DEVELOPMENT, MARKED BY STRATEGIC INITIATIVES. IN THIS PIECE, ASHISH BHATIA DETAILS THE COMPANY'S ENDEAVOURS AND COMMITMENT.
LIUGONG ADVANCES CEV PORTFOLIO
ASHISH BHATIA LOOKS AT HOW LIUGONG INDIA IS COMMITTED TO ADVANCING INNOVATION, SUSTAINABILITY AND CUSTOMER SATISFACTION IN THE CONSTRUCTION EQUIPMENT SECTOR.
MAHINDRA EXCELS WITH SUPRO PROFIT TRUCK
WITH SUPRO EXCEL, M&M IS CONFIDENT OF ENHANCING CUSTOMER PROFITABILITY IN THE SUB-TWO-TONNE SEGMENT. PRAJAKTA CHAVAN RANE HIGHLIGHTS THE USPS OF THE NEW ENTRANT.
VOLVO AND EICHER BUSES
SHAPING THE FUTURE OF PUBLIC MOBILITY
PM MODI UNVEILS AMBITIOUS NATIONAL HIGHWAY PROJECTS ACROSS INDIA
Prime Minister Narendra Modi has spearheaded a momentous push towards infrastructural development with the inauguration or foundation laying of 112 National Highway projects valued at approximately rupees one lakh crore.
CV TRENDS AT SIAT EXPO 2024
ARAI ORGANISED THE 18TH SIAT 2024. DEVEN LAD AND PRAJAKTA CHAVAN HIGHLIGHT THE PROGRESSIVE MOBILITY DEVELOPMENTS.
ACMA REASSURES CONTINUATION OF ROBUST GROWTH
ACMA REASSURES CONTINUITY OF ROBUST GROWTH IN THE CV ANCILLARIES BACKED BY STRATEGIC INVESTMENTS