Mixed feelings, confusion as car sales restart

There were mixed feelings and some confusion as car dealerships reopened on Monday, following the Prime Minister’s announcement on Saturday. Customers interested in purchasing vehicles flocked to showrooms and dealerships.

At Massy Motors, sales manager Richie Seepersad said the dealership had put several measures in place to ensure safe running of the showroom, including sanitisation stations and temperature checks. He said there was a good turnout of customers during the day.

“Our staff is rostered, they’re not all here at one time, so we have limited staff in the office. We are only taking customers by appointment, so we don’t have a large number of people in the showroom at any point in time. We are encouraging our customers to interact through our virtual showroom to look at the vehicles instead of coming in.”

He said there was a good turnout of customers who had been waiting for the showroom to reopen, as well as those who had appointments.

“Test drives are only done by appointment and the customers come here. The vehicles are thoroughly sanitised before and after and we only have the driver and the sales rep in the vehicle, and we try to do things by appointment.”

Used Car Dealers Association president Visham Babwah said people had been coming in to purchase cars for a variety of reasons.

“A lot of people were coming in, although some of them still have to work out their financing. They said they were looking to purchase vehicles because of the crime rate and to avoid any possible exposure to covid19 while travelling. Others said they wanted to get vehicles for their children who were starting university or had gotten jobs.”

Babwah said once the vehicles he had in stock were sold, he was not sure customers would be able to buy more as the prices would go up. He said since government had reinstated taxes on used vehicles, this would make cars more expensive for used car dealers and their customers.

“Prior to January 2021, there was a tax exemption on cars of under 1,599 ccs so the cars were reasonably priced. But on January 1, 2021, the government reinstated all taxes on hybrid and electric cars, all the taxes were reinstated, and compounded with that, the permissible age of importation was moved from four to three years, taking the cost of a car closer to the price of a new one. This will make it difficult for us to buy used cars and to sell them once imported.”

Babwah had previously said that approximately 30 per cent of the association’s members would not be able to open on Monday. He said while they were ultimately able to reopen, he was not sure how long they would be able to stay open, based both on car prices and the inaccessibility of foreign exchange.

He called on government to remove taxes on hybrid and electric cars so customers would be able to afford vehicles.

ROC Pickup Parts Dealer owner Inshan Ishmael said inaccessibility of foreign exchange was the main reason he has not been able to purchase new cars since the year started.

“My yard is empty and it has been so since the beginning of the year more or less because we don’t get foreign exchange. Since last year I have been trying to pay a bill for US30,000 and unfortunately we have not been able to. I have a license for 200 cars and for the year I’ve brought in zero cars so far. Not only that, we bring in original parts for pickups and I have not brought in one container for the year thus far because we have not gotten foreign exchange.”

He said he had received several calls from parts dealers in the Bamboo area of Valsayn, who said they were confused about whether or not they were allowed to reopen.

“If you’re opening an industry, open the related industries too as well, for example the garages and the people who sell parts, because you cannot decide to open up half the industry, a lot of people are confused as to what is going on right now.”

Barry Pereira of Bobby’s Motor Supplies in Bamboo No. 2 said there was a steady trickle of customers coming in looking for parts. He said in addition to observing the health protocols, people were scheduled so there was no crowding.