Automobile Business Slumps during Peak Season

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Automobile Business Slumps during Peak Season

August 27: The automobile business, which is more vibrant between August to November, has collapsed this year. In the previous years, the automobile operators had a turnover of more than Rs 10 billion during this time period. However, due to the coronavirus pandemic and prohibitory order, this sector is struggling to sustain the business this year.

In August, the automobile sector used to be active in the previous years. The automobile dealers used to be busy preparing for NADA Auto Show, Dashain scheme and other programmes. Every year in August, before the arrival of Dashain, the Automobile Association of Nepal (NADA) used to organized the NADA Auto Show.

According to NADA chairman Krishna Prasad Dulal, the auto show used to run the automobile business till Dashain. However, due to the pandemic, the auto show will not be held this year.

The officials of NADA say that the automobile companies have no plans to come up with any discounts and schemes for Dashain due to the increasing infection and prohibitory order.

According to the companies, although the sales of four-wheelers were null during the lockdown, the sales of two –wheelers and four-wheelers were increasing.

The companies had expected some relief from the NADA Auto Show, but the prohibitory order has played the spoilsport.

Dulal says that the automobile entrepreneurs, who used to have transaction of around Rs 5 billion till Dashain in the previous years, have been seriously affected this year.

“NADA will not happen, but we can’t say what will happen during Dashain without analyzing the upcoming situation,” he said, adding, “If the government does not lift the restriction on automobile sales, the businessmen will have to abandon their business.”

 

 

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