Dealers demand reviewing policy for used cars import

Dealers demand reviewing policy for used cars import

KARACHI: Car dealers have said that due to restrictions on import of used vehicles the business of car sales has suffered terribly and many showroom owners have shut down their businesses.

Chairman of Automotive Traders & Importers Association Karachi (ATIAK) Muhammad Kamran Khan and President ATIAK Ch. Aamir Ali Khan have requested the Karachi Chamber of Commerce & Industry (KCCI) to support the car dealers.

They said that due to severe curbs imposed on the imports of used cars particularly the amendment in the Import Policy Order 2016 in which clearance of cars through foreign exchange has been made mandatory, the car sale business has suffered terribly and dozens of car dealers in various localities have shut down their businesses.

They also sought help of the KCCI in getting their parking issue resolved as not a single vehicle belonging either to showroom owners or walk-in customers was being allowed to get parked outside any showroom which terribly affects their businesses.

Chairman ATIAK Muhammad Kamran Khan pointed out that the situation has created a lot of problems not only for the car dealers but also for many other allied businesses including the denting and painting workshops and mechanics etc., rendering thousands of people jobless.

Chairman ATIAK stated that the importers of used cars pay billions of rupees each other in shape of taxes and custom duties but the restrictions on imported cars have brought many businesses on the verge of complete collapse whereas the government was also losing billions of rupees being generated through custom duties and registration of imported vehicles.

“The entire strategy needs to be reviewed and relief has to be provided hence, KCCI, being the premier trade body, must come forward to help out and save car dealers”, he added.

Speaking at a meeting during the visit of ATIAK delegation to KCCI, Chairman and President ATIAK said that relocating showrooms outside Karachi was not a feasible option as not a single customer will come all the way out of city beyond Sohrab Goth to buy cars mainly due to security concerns hence, the relevant authorities will have to come up with some other feasible option in which relief has to be ensured for perturbed showroom owners.

Earlier President KCCI Agha Shahab Ahmed Khan, while welcoming the ATIAK delegation, said that under Businessmen Group’s policy of Public Service, the Karachi Chamber has not only been serving the entire business & industrial community without any discrimination but also all other citizens of Karachi who have been facing hardships and climb the Chamber’s stairs to seek assistance.

He assured the ATIAK delegation members of KCCI’s full support and cooperation so that numerous issues being faced by the car importers and dealers could be resolved as per aspiration of the stakeholders. “We are available for any kind of assistance 24/7 to the entire business and industrial community of Karachi without any discrimination of cast, creed, color or even size of the business”, he added.

Referring to concerns by ATIAK delegates over parking issue, Agha Shahab Ahmed assured that DIG Traffic will be invited so that the parking issue being faced by car dealers could be particularly discussed and resolved.

He was of the view that instead of imposing parking restrictions and creating other problems for showroom owners, the authorities should devise some kind of an effective strategy and come up with a permanent solution in consultation with all stakeholders as the car dealers also contribute billions of rupees every year to the national exchequer in shape of taxes and duties hence, they must get an enabling business environment in return.

Speaking on the occasion, Chairman KCCI’s Special Committee for Small Traders Majeed Memon advised the ATIAK delegates to maintain close liaison with Karachi Chamber, become members of numerous subcommittees and participate in subcommittees’ meetings in order to actively highlight and bring issues to KCCI’s notice so that the same could timely be taken up with relevant authorities and amicably resolved.