GST IMPACT ON USED VEHICLE AND EQUIPMENT INDUSTRY

Hailed as one of the most significant economic reforms since India's independence, the Goods and Services Tax (GST) is a potential game-changer for the economy. While the legislation is yet to sail through the choppy waters of centre-state relations, its wide-ranging implications for a host of sectors are already under the scrutiny of the media and the commentariat. Given the pivotal space the automobile sector occupies in the Indian industry universe, it's natural that the GST's impact on it will have reverberations across the economy as a whole. Seeing the media reports surfacing in the recent past, one can easily judge the GST to be one of the most phenomenal changes sharply impacting the Indian economy.

GST is another type of indirect tax such as VAT and others but one that endeavors to bring the much needed tax uniformity in a developing nation like India. When the GST bill becomes active, reportedly in April, 2017, it is going to put together all the direct as well as indirect taxes levied currently into one flat consolidated tax to be applied evenly across the nation. Its impact on India's automobile industry will certainly be evident for it will entirely change the industry's price scenario.

As per media reports, the implication of GST is to result in a considerable 10% reduction in the prices of small car segment while a mere 2% for that of the SUVs and other luxury cars. This is supposedly to be the outcome of a flat tax rate application of 18-20% for the cars under 4-meter and that of 40% for the ones over 4-meter. This is opposed to the current differential figures of 12.5% excise duty for small cars, 24% for mid cars, 27% for luxury cars and 30% for the SUVs. 

While GST brings home great news for the small car segment and the new car buyers alike resulting from a significant drop in prices, the used car market is bound to suffer the impact of this plausible rise in the sales of new car market. Buyers will then be supposedly more inclined in the purchase of new cars, thus, flooding the used car market with relatively much less demand for them. This surplus supply of used car is to put dealers in a difficult situation of offering much lower prices for the used cars, resulting in losses overall. Consequentially, the resale value of cars is expected to go down by a good 10-15% owing to a highly competitive environment due to the high sale of new cars and increased pushing in of the used cars in the market.

Thus, while the post-GST era will see a flourishing time for the purchase of both new and used cars, it isn't going to benefit the sellers of used cars in any way.

This imbalance in the car prices that will be created post the implementation of the GST will have a vital impact on the automotive industry as well as the equipment industry as a whole. Where the new car segment will abruptly witness higher demand which can in turn will positively effect the auto equipment market but can also drastically put immense pressure on the equipment dealers which may even result in diminished quality. Also, the same debate of an adverse impact on roads and traffic as at the time of launch of Tata's Nano still holds true with a great number of two-wheeler segment expectedly shifting course to small cars.

As for the automotive and all the other major sectors of the economy, any drastic change brings in its own share of benefits as well as challenges for one and all from time to time. No set of predictions and preparations can put away the necessary rigid and pivotal consequences it can create in the long run. And yet there are major concerns to the final activation of the GST bill and more on its appropriate and uniform implementation in the entire economy alike. While the GST may have certain poignant aspects, eventually it all boils down to the manner in which it is applied and accepted in the market by both dealers and buyers in their capacity for it to become more of success, good news for the market.
For Your Requirement 

If  you are looking to purchase or dispose any kind of used vehicles in India, simply submit your requirement and get a call back from Shriram Automall to assist you further.

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Shriram Automall Ongole 2nd Anniversary

 Shriram Automall Ongole 2^nd Anniversary

Shriram Automall Ongole will be celebrating its 2^nd business anniversary on 18^th Oct 2016.

Have a look at the glimpse of 2 successful years.

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WHAT MAKE BIKES A SUCCESS ON ROADS?

When you image a road, what do you think? Cars, busses, bikes, pedestrians and traffic, yes traffic and that is the part that he hates the most while we are on road. In this situation it’s the two-wheelers that come in handy to ride as we all have seen bike riders efficiently makes sharp cuts in traffic and even follows the left lane to get out of the heaviest traffic jams as well. 

Riding the best model of two-wheels, bikes easily get its way into everyone’s dream. Be it any age-group, you’ll find thousands of riders, who simply love dedicating their major time towards driving. Bikes are any day affordable in comparison to a car. So, a higher price prevailing within the cars segments is one of the major reasons diverting auto lovers towards bikes. A used bike is also a lucrative option due to its even lower cost.

Here are some of the key points on how bike comes in handy in your life & of course the roads:

·         Bikes are easy to ride and we all know how much we like to ride our bikes on empty roads, even in traffic jams and even get out as a pro.

·         Maintenance of a used bike is very low in comparison to a car. Your pockets need not to be too heavy for its maintenance.

·         Bikes are super fuel efficient, even a couple of liter of fuel will serve for the entire day for you.

·         In case of loans required, it is quite a hassle-free and speedy process for the loan approval for used bikes. Even the repayment is quite flexible. The duration ranges from 12 – 48 months.

·         In fact, a post-dated cheque is also accepted in a used bike loan. EMIs are quite easy.

So, now if you are planning to get a used bike for yourself, we recommend you Shriram Automall India Limited (SAMIL). The company offers multiple line-ups of pre-owned bikes at an amazing price through its multiple bidding platforms – Physical Bidding, Online Bidding, One Stop Classified Kiosk and Private Treaty. 

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TOP ALTERNATIVE FUELS AVAILABLE TODAY FOR YOUR VEHICLE

                                                                                                                

Reference - http://all-electric-vehicles.com/ 

The fact is not unknown that petrol & diesel costs a bomb (surely in India) and are very scarce in nature. As per the latest reports Earth has nearly 1.688 trillion barrels of crude, which will last 53.3 years at current rates of extraction. What will happen when we have exhausted all the reserves of petrol?

Through this blog we try to answer this question that have a huge impact on our future:

Scientists and engineers all over the world are looking for alternate fuel options other than petrol & diesel, and the results are very encouraging, here we present you a list of alternative fuel options available today for your disposal.

Hydrogen – Yes hydrogen as a fuel will very well power your vehicle. Hydrogen can actually fuel two different types of cars: fuel cell vehicles and vehicles that have an internal combustion engine that's been engineered to use hydrogen instead of petrol.

Hydrogen can very well be used to create electricity that in turn can power your vehicles electric engine. So other then electricity, your car batteries can also be powered by hydrogen.

In a hydrogen combustion engine, the car uses an internal combustion engine just like a petrol-powered car, but instead of petrol, hydrogen is the fuel source. Instead of harmful CO2 emissions produced by cars running on petrol, again, hydrogen cars produce only water vapor.

Electricity – Today we hear new of almost all car manufacturers producing electric vehicles in wake of cutting the CO2 emission rate down to a considerably less amount.

With the latest development & entering of a breakthrough companies like Tesla the shortcoming of buying an electric vehicles is now talk of the past. The new batteries (lithium-ion batteries, to be exact) are the same kind that powers your cell phone or laptop. They charge quickly and last longer too.

Biodiesel – Yes you heard it right biodiesel which is made by cooking oil and grease can power any vehicle with diesel engine. In order to power the car, the oil and grease need to be converted into biodiesel through a chemical process.

The process is Do-It-Yourself and is used by a number of biodiesel enthusiasts who like to make the fuel for their car at home. However, there is a little risk involved with the process. If you get it wrong, you could do a lot of damage to your vehicle (not to mention your house and yourself).

Ethanol – Popularity of ethanol as an alternative fuel is on the rise, in fact ethanol is sometimes added to petrol in summers in order to cut emission rate. Ethanol is a type of alcohol that's made from plant matter. In the United States it's commonly made from corn, while in other countries, like Brazil, it's made from sugar cane.

There are a number of manufacturers that offer their cars with flex-fuel engines. These engines can run on either standard gasoline from the pump or E85 ethanol, a fuel blend that's 15 percent gasoline and 85 percent ethanol.

Liquefied Natural Gas – It’s a type of fossil fuel that is found between layers of underground rocks. It is extracted by the similar method of drilling also used to extract petrol. Natural gas is available in abundant and burns cleaner than oil or gasoline. The natural gas that you may use to cook your food and heat your bathwater is natural gas in a very low-pressure form.

In short today surviving in a world without petrol & diesel is possible, thanks to the all new technology and research carried out in labs all over the world. You may choose to power your vehicle by anything but make sure you have understood the process and its consequences whole heartedly.

Meanwhile if you are looking ahead to buy a used car with CNG kit option, you may visit Shriram Automall; the company offers widest range of pre-owned cars at optimal price for its customers.

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Shriram Automall Launched in Hyderabad

SAMIL  Launched in Hyderabad

Spread across 15 acres, this is the 11th Automall in the country.

Buying a used car isn't as difficult as it used to be earlier, but the same cannot be said about commercial vehicles. Though there's neither a shortage of dealers nor a problem in availability of pre-owned vehicles, people are still apprehensive when investing in used commercial vehicle, mainly because of the lack of trust. To take care of all that, Shriram Transport Finance Company launched Automall. After establishing 10 such Automalls in difference parts of the country, they have finally set up one in Hyderabad. 

Spread across 15 acres, this Automall not only helps customers buy pre-owned commercial vehicles and agricultural equipment, finance and insurance is too taken care of here. Also at the Automall Hyderabad, two new service Shriram One Stop and Shriram New Look are introduced. Shriram One Stop is a touch screen computer based database, which gives information about the various used commercial vehicles on sale, while Shriram New Look is where refurbished trucks can be bought. 

And thats not all, tired drivers and cleaners can avail the parking services available at Automall too.

The brand plans to expand their network to 60 major cities in 2013. This should bring relief to a lot of fleet owners and small businessmen who haven't yet explored the benefits of pre-owned vehicle market.

For more info read more at  http://www.indiainfoline.com/Markets/News/Shriram-Transport-launches-Indias-11th-Automall-in-Hyderabad/5546525292

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