An auto industry monitoring committee meeting is scheduled to be held on 1st April 2022 where the issue of increasing prices of brand new cars in Pakistan will be discussed.
Car prices are being revised with an interval of almost every three months since last couple of years and two increments have already been made within the first 3 months of this calendar year. Auto consumers of Pakistan continue to suffer from delayed deliveries, frequent price revisions, premium/ on money and lack of choices among affordable cars in the market.
However in order to deal with this, government had introduced new Auto Industry Development and Export Policy (AIDEP 2021-26) in December 2021 with several clauses aiming to bolster the development of Pakistani automotive industry. But the most significant aspect was the formulation of Auto Sector Monitoring Committee which will be responsible for the following actions:
- Addressing consumer grievances, including delayed deliveries and ‘On Money’
- Safeguarding consumers on quality issues
- Implementation of WP-29 safety regulations
- Monitor minimum initial payment which must not exceed 20% of the price
- In case of non-compliance with policy, the committee will have the right to stop the incentives granted to the company
Members of this committee include representatives from the Engineering Development Board (EDB), Ministry of Commerce, Federal Board of Revenue (FBR), Competition Commission of Pakistan (CCP), Ministry of Science and Technology (MoST), State Bank of Pakistan (SBP), Pakistan Automotive Manufacturers Association (PAMA), Pakistan Association of Automotive Parts & Accessories Manufacturers (PAAPAM) and All Pakistan Car Dealers & Importers Association (APDA).
It is speculated that the prices of new cars may go up by another 10-15% before the beginning of new fiscal year. So what suggestions do you think should be discussed in this meeting in order to put a cap on rapidly increasing car prices in Pakistan, let us know with your comments.
A computer animation professional with over 23 years of industry experience having served in leading organizations, TV channels & production facilities in Pakistan. An avid car enthusiast and petrolhead with an affection to deliver quality content to help shape opinions. Formerly written for PakWheels as well as major publications including Dawn. Founder of CarSpiritPK.com