Automobile industry captains have welcomed the sops announced by finance minister Nirmala Sitharaman on Friday to revive the sector that is going through its worst sales decline in almost two decades. “The government has done the maximum it could have to revive demand,” said RC Bhargava, chairman of Maruti Suzuki, the country’s largest carmaker. “The hike in registration fees has been deferred. The ball now lies with the state governments. The nine-odd states which have raised road taxes should take cue from the Centre’s approach towards industrial development and roll back the huge increases,” he said. Measures to boost automobile industry included deferring the revision in registration fee till June 2020, allowing additional 15% depreciation on all vehicles purchased till March next year, lifting a ban on purchase of new vehicles by government departments, and clarifying that BS-IV vehicles bought this year can ply on the road for their entire period of registration even after Bharat Stage VI emission norms get implemented next year.

(Economic Times)