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No slowdown, auto sector making hue and cry to get package from govt: CAIT

Citing an example of new vehicle launches, CAIT said companies have received huge number of bookings, which do not reflect any slowdown in the sector

Press Trust of India  |  New Delhi 

auto sector slowdown
The auto industry has been attributing the sales downturn to several factors like high GST rates, farm distress, stagnant wages and liquidity constraints

Traders body on Tuesday said there is no slowdown in the domestic automobile sector and the industry is making hue and cry only to get a package from the government.

The auto industry has been attributing the sales downturn to several factors like high GST (Goods and Services Tax) rates, farm distress, stagnant wages and liquidity constraints.

"There is no slowdown in the domestic automobile sector. They are saying this to get a package from the government," Confederation of All India Traders (CAIT) Secretary General Praveen Khandelwal told reporters.

Citing an example of new vehicle launches, he said have received huge number of bookings, which do not reflect any slowdown in the sector.

Talking about recent festival sales announced by global e-commerce firms like Amazon and Flipkart, Khandelwal demanded immediate action from the government to ban these mega sales.

He claimed that such firms are violating foreign direct investment (FDI) norms in the e-commerce sector.

"If the government does not take action, we will approach the court," he said.

He also said these e-commerce are allowed to do only B2B business but they are indulging in big advertisement campaign.

"These are not doing business, this is the business of valuation. They should give details of top 10 vendors in the last five years," he said.

He also said interest rates are high in India and global firms get loans at cheap rates.

First Published: Tue, September 17 2019. 14:20 IST
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