Year End Statement by Industry Leaders

Mr. Vinkesh Gulati – President, Federation of Automobile Dealers Associations (FADA),

Mr. Vinkesh Gulati – President, Federation of Automobile Dealers Associations (FADA),

“2020 was an unprecedented year for the entire world and Indian Auto Industry was not left untouched. As the year draws to a close, we believe that the worst is now behind us and the entire eco-system now needs to make collective efforts in reviving the economy. While the Government is keeping an eye on limiting the spread of Covid, Pharma companies are making all possible efforts to roll out the Vaccine. All these efforts will be pivotal in bringing economy back on track.

 Even before Covid hit us, Auto Sales were slowing for the entire year of FY19-20. For the first time in history, we saw zero sales in April’20 but since unlocking began, we are also witnessing one of the best V Shaped recoveries aided by good monsoon, better harvest, festive demand and marriage season, though on a yearly basis there is still some degrowth. Tractors have particularly done well thus showing Bharat kept India moving. Lately we have seen good pent up demand in Passenger Vehicles and hopefully it will stay as safer mobility due to Covid and new launches in the new year will keep the demand going. While the Industry will witness an overall degrowth of around 20-25% on FY basis, things will start looking better beginning April aided by lower base of last year.

 Covid has taught us to make tough choices to ensure our dealerships survive. Decisions such as rightsizing, financial prudence and adapting to the new normal were difficult but have eventually resulted in robust business models and improve efficiency. We are a resilient Industry and automobiles remain an aspirational purchase. Despite the current challenges, we are now at the cusp of entering exciting times as India will once again increase its momentum to achieve the 3rd position globally in PV segment as the entire Industry will work towards achieving this goal.”

Sunil Bohra, Group CFO, UNO MINDA Group

Mr. Sunil Bohra, Group CFO, UNO MINDA Group

“2020 has been a roller coaster ride with the Global economies witnessing its worst phase in many decades. India too saw an unprecedented change in consumer behaviour. Technology took centre stage. The adoption of technology during the pandemic due to social distancing norms was a big change.

And now with the easing of restrictions and steps being taken to revive the economy, the economic clock has started ticking in the upward direction. The last few months have been very encouraging for the auto sector and the recent festive season has given a significant push towards growth.

We expect 2021 to be a year of hope and optimism. Strategic long-term government plans and policies will play a key role in reviving the market and regaining customer confidence. The industry may witness a sharp recovery, as a clear sign of revival was noted in the past few months. With OEMs planning a slew of launches in 2021, it is a positive sign and will boost confidence among customers, giving a much-needed push to the automobile ecosystem.

At Minda Industries, we are making all possible efforts to sustain the momentum, focussing on product development, offering best service to our OEM partners and following the government’s Covid regulations and restrictions. We are already operational across manufacturing lines, operating close to or better than pre-Covid levels and all set for the post-Covid era.”

Mr. Anuj Kapuria – Founder & CEO at Hi-Tech Robotic Systemz LTD

Mr. Anuj Kapuria – Founder & CEO at Hi-Tech Robotic Systemz LTD

“This year 2020 has totally changed not just the consumer behavior but also how organizations view their supply chain and related digitization and automation needs. There will be a significant rise in the adoption of AI and Robotics in the coming year, perpetuated by the social distancing norms, contactless deliveries and higher productivity along with less manpower dependence. While the vaccine availability will ease and smoothen the restrictions in business operations, it is AI and Robotics that will lead the way in heralding the new normal.”

About Neel Achary 19292 Articles
Neel Achary is the editor of Business News This Week. He has been covering all the business stories, economy, and corporate stories.