New Law To Implement By Government To Licence Delers.

[Sylvi]

Members,

Today Lankadeepa paper says that Government is going to implement very big license fee to vehicle importers

Categorizing new vehicle and used vehicle importers.Two license fees.

Free economy implemented thirty five years ago will be no more for automobiles.

So that individual cannot import a vehicle for his use.

When this law is implemented only very few big time importers will be able to survive with high license payment.All small timers will eliminate.

Further more the importer will have to service the vehicle for some time.

Like to have comments from A/L MEMBERS of new law coming to effect in near future.

Sylve Wijesinghe.

[dpbatagoda]

Another stupid decision. Is this a democratic country?

[rangerover]

If the licencing is subject to certain conditions such as; compulsory warranty, free servicing, and other quality control procedures it might have its own little positives that help regularize the importation of used cars to Sri Lanka.

I'm in no way implying that this licencing scheme is something good, its quite the opposite. But if it is already implemented, at least it should encompass buyer specific benefits as well.

[JadeyBlitzen]

I think this was previously discussed in AL. and the license fees were 10mn for used cars and 50mn for brand new cars. what's the point of making a fuss about this law? Its not like the government ever listens to us anyway. Instead we should look at how we can tackle the problem.

See if a seller can shift 1-2 cars a week they can cover up the cost by adding 100-200k to the price. The prices will go up anyway once the law is implemented. and this is actually a nice incentive to sell more cars.

small importers can switch to selling used cars. with so many parts available they can easily bring a neglected car to a good state and sell it at a decent profit.

As for the buyer what's wrong with personally selecting a car and importing it through a renowned seller? recently someone I know selected and imported a premio through a*toland and they charged only 290k iirc for their services.

[Sylvi]

Another stupid decision. Is this a democratic country?

'dpbatagoda'

We are going back to 1962/1977 Era with very few motor vehicle came in and this is to eliminate small timers import and sell 100000.00 Rupees less than big time importers. At the moment Srilanka is having plenty of vehicles. unsold vehicles if you go around will be more than 10000 on all sales centers. This may be to control imports. Big timers had made their money opened up Island wide network of sales centers.They can effort to pay high license fee. do not know what duty reduction they will get after paying such high license fee.

Sylvi Wijesinghe.

You say our country is a democratic country. But what is happening is opposite to that.

[Sylvi]

I think this was previously discussed in AL. and the license fees were 10mn for used cars and 50mn for brand new cars. what's the point of making a fuss about this law? Its not like the government ever listens to us anyway. Instead we should look at how we can tackle the problem. See if a seller can shift 1-2 cars a week they can cover up the cost by adding 100-200k to the price. The prices will go up anyway once the law is implemented. and this is actually a nice incentive to sell more cars. small importers can switch to selling used cars. with so many parts available they can easily bring a neglected car to a good state and sell it at a decent profit. As for the buyer what's wrong with personally selecting a car and importing it through a renowned seller? recently someone I know selected and imported a premio through a*toland and they charged only 290k iirc for their services.

'JadeyBlitzen',

Yes your suggest small timers to buy run down vehicles and repair them to be road worthy and sell at a profit. This a very good proposal few decades ago this Repairing vehicles was a good business. There were lot of people was living from that. Repair Garages was full in Colombo city. There were people who used find vehicles which are not in use and deal to buyers who repair and sell. That was a industry during that time. Many people used to go to north and drive down Morris minors they go their in Austin vehicles sell them.

Sylvi Wijesinghe.

[dpbatagoda]

'JadeyBlitzen',

Yes your suggest small timers to buy run down vehicles and repair them to be road worthy and sell at a profit. This a very good proposal few decades ago this Repairing vehicles was a good business. There were lot of people was living from that. Repair Garages was full in Colombo city. There were people who used find vehicles which are not in use and deal to buyers who repair and sell. That was a industry during that time. Many people used to go to north and drive down Morris minors they go their in Austin vehicles sell them.

Sylvi Wijesinghe.

Hi, this will definitely increase the vehicle prices. Also this will create monopoly in the market. Can't expect good service from big car sales. Even they are not showing original JAAI certificates and lot of vehicles are either repaired or repainted here or from agents in Japan. To maixmize profits they do all the unethical activities such as changing ODO meter etc etc.... I have lost faith in these big car sales as I have used many vehicles bought from them and most of them are ODO changed.

E.g. I bought Nissan FB15, it had only 12000 and at 20,000 I had to replace rear hubs, front CV joints.

Another example, I bought CR41 with ODO meter 60000Km from biggest sale in Sri Lanka and after 5000kms I had to replace front suspension and garage guy told this is diffidently more than 100,000Km.

Because of these, lot of people used to go for small importers or they bought down vehicles for their names from Japan directly. This has caused big suppliers suffering.You can still find cars bought more than 1 year ago are still in these sales. How can we keep faith on them?

[miniace]

Very sadly all these moves are effecting automobile industry and good imports. Sadly many believe these moves will take "Rata Perata" and will bring all "Suba Anagathayak".

MINIACE

[dpbatagoda]

Very sadly all these moves are effecting automobile industry and good imports. Sadly many believe these moves will take "Rata Perata" and will bring all "Suba Anagathayak".

MINIACE

You are right MINIACE. Some people are in dream worlds. Government is going to tighten the imports, this will not make country in right direction. Look at countries like Malaysia and take example from them.

[Sylvi]

Members,

Local car manufacturer cannot give a vehicle immediately. have to be in the waiting list for 3 months or more. They play with prospective buyers funds.

Some local entrepreneur should negotiate to assemble with a foreign country a car plant as the demand is for small 4 seats and medium 5 seats

Vehicles. At the same time they should assemble a utility small van for small timer business men.

Locally manufactured van by the local assembler looking nice out side, but according to users inside is not done up to the stranded door handles give away within no time front dash board is also not up to the slandered. Engine and gear box I think it is Italian.

Some solution has to done for our automobile industry cannot depend on foreign imports. Like few countries in the east it is time to think of a fully automated vehicle assembly plant. If we produce extra Vehicles more than our requirement then we can export same.

Sylvi Wijesinghe.

[vishkid]

This new regulation would hv made sense if the customer was being taken for a ride by all the small timers and 'personal importers' around. For the most part, they weren't. They were offering lower cost and personal attention and that resulted in the shift from big timers to small timers. Only thing those new guys could not provide was a comprehensive after sales - but look, which big car sales offers a satisfactory deal on that?

This is just a law to dupe vehicle buyers, limit their choice and enable a few to make more money which I'm sure will be channelled to those in power. This govt has a history of such f-up legislation.

We are already talking about 'we don't give a shit' attitude of some agents in these forums - because they hv the demand and they control the supply. I'll be damned if the same thing does not happen to the recon car market after this.

[priyanka]

Members,

Today Lankadeepa paper says that Government is going to implement very big license fee to vehicle importers

Categorizing new vehicle and used vehicle importers.Two license fees.

Free economy implemented thirty five years ago will be no more for automobiles.

So that individual cannot import a vehicle for his use.

When this law is implemented only very few big time importers will be able to survive with high license payment.All small timers will eliminate.

Further more the importer will have to service the vehicle for some time.

Like to have comments from A/L MEMBERS of new law coming to effect in near future.

me

Sylve Wijesinghe.

i also read the article on LANKADEEPA

it says the new law will not affect personal imports.........

if it is true, i dont think there will be a huge problem as nowadays people are aware about the import procedure, so they can open a LC under

their name and get down the car, they want

Edited May 1, 2012 by priyanka

[The Don]

Sadly many believe these moves will take "Rata Perata" and will bring all "Suba Anagathayak".

MINIACE

This I believe is probably the biggest problem we as a country face. But I guess that is democracy.

Edited May 1, 2012 by The Don

[Monticarlo]

Gov is trying to make money. That's all.!

[dpbatagoda]

Any updates on this law? As I heard it's not finalized yet as there are objections from many parties