Vehicle importers in disarray: no promised concessions yet from Govt.

As a gesture of support to the COVID -19 Health & Social Protection Fund, a monitory donation of Rs 10 million was handed over to Prime Minister Mahinda Rajapaksa recently by Vehicle Importers’ Association of Sri Lanka (VIASL). Here President VIASL Ranjan Pieris hands over the cheque to Prime Minister Mahinda Rajapaksa

 

Vehicle importers have not received any envisaged waivers or concessions promised so far by the authorities, Vehicle Importers’ Association of Sri Lanka (VIASL) President Ranjan Pieris told Daily News Finance yesterday.

He questioned as how to clear the imported vehicle now piled up in Hambantota and Colombo harbours when the banks have failed to deliver the instructions given by the Finance Ministry till date.

Pieris said vehicle importers operate on short time loans (STL). With the lockdown and curfew, their showrooms had run out of business for over two months. Without business, he questioned as to how they could settle those STL’s. He said without sales car importers were unable to settle STLs and have got into severe financial difficulties. The VIASL President questioned under such a scenario, the rationality of authorities asking them to clear the imported vehicle form the ports in such a hurry. Pieris regretted to note that the commercial banks have failed to cooperative and deliver the much need loan facilities to vehicle importers at this hour of need.

Meanwhile, the VIASL President said prices of all vehicles have increased by 10 to 15 percent due to the fact that the value of the Yen and dollar has been on the rise since March 20.

He said due to the exchange rate increasing in a unprecedented manner, small vehicles used by middle class which came under the CC 1,000 category and had been exempted from luxury tax, has now became liable to the luxury tax shattering the dreams of middle class car buyers.

Pieris said considering the fact that their showrooms have been closed for over two months due to the quarantine curfew, the association requested the government to exempt the inertest levied on bank loans for at least that period.

He however said that it was regrettable that they have not received a positive response from the banks in this regard and no such waivers had been received. Pieris therefore urged the government and Finance Ministry to avail the promised waivers and concessions vehicle importers without further delay.

 

• Tweet
• Share
• Share
• Share
• Share