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Rajasthan dealerships halt sales over Government's free helmet rule

23 April 2016, 02:05 PM BikeWale Team
Rajasthan dealerships halt sales over Government's free helmet rule

Dealerships in Rajathan have indefinitely suspended sales of two-wheelers as a mark of protest over the Government's new regulation requiring dealerships to offer ISI-marked helmets free of cost to every buyer.

Since March 29, Rajasthan's transport department had asked dealerships to provide two helmets, one for the rider and other for the pillion, with every two-wheeler sold by them. The new rule also made it compulsory for the helmet sales receipt to be procured at the time of the vehicle's registration.

While this might seem like a very constructive move, two-wheeler dealerships have been attacking the rule, saying that it leads to a loss of margin. Averaging over 85,000 two-wheelers a month, Rajasthan is one of the biggest two-wheeler markets in the country, and accounts for over six per cent of total two-wheeler sales. As such, this halt in sales is sure to make a noticeable dent for the Indian two-wheeler industry, making it necessary for the dealerships and Government to strike up a deal as soon as possible.

Expressing discontent over the new rule, Sai Gridhar, secretary, Authorised Motor Vehicle Dealer Association (AMVDA) said, "We are writing to the minister informing him about the decision to stop sales of two-wheelers across the state from tomorrow till the decision is revoked. We want either the government to take back the decision or the manufacturer to provide us with helmets."

Source: ETAuto

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