The sale of commercial vehicles has plummeted in the city if the available data is of any indication. In fact, there has been a decline in sales during the last three years.
The Commercial Taxes Department (CT), Vijayawada-II, collected only Rs. 213 crore during 2013-14 as against Rs. 276 crore collected in 2012-13. Incidentally, the department had collected Rs. 365 crore in 2011-12. \The CT Vijayawada-II covers Autonagar and other parts of the district where automobile business is concentrated.
There has also been a dip in the sale of trucks. A fall of Rs. 63 crore on sale of commercial vehicles was registered last fiscal. However, data pertaining to the number of vehicles sold by major commercial vehicle manufactures in the last financial year is not available.
Ashok Leyland and Tata Motors sold 6,607 and 8,800 trucks during 2012 and 2013, respectively. Their sales were 10,200 and 10,300 in 2011 and 2012, respectively. As a result, there is a fall of Rs. 89 crore in revenue in 2012-13 fiscal.
Various reasons are being cited by taxmen and transporters for drop in sales. The prime reason given is the steep hike in diesel prices. Prices of diesel have gone up by Rs. 7.50 to Rs. 8 per litre. More than 30 percent increase in toll fee was witnessed, Koneru Venkata Ramesh, a transporter.
The price of diesel was Rs. 44.52 per litre in July 2012, and it touched Rs. 51.99 in February 2013. A litre of diesel now costs around Rs. 60 per litre.
The prices of tyres doubled when compared to last two years, say transporters. Nylon tyres that were available at Rs. 24,000 a set two years ago crossed Rs. 36,000. The cost of radium tyres has shot up to Rs. 48,000 a set from Rs. 36,000.
The third reason for the fall in sale of commercial vehicles appears to be toll-gate fee. Transporters used to pay Rs. 2.20 per km earlier on highways. Now, they have to shell out more than Rs. 3.80 per km.
The apex court’s ban on sand and other mining activities has also contributed to the fall in sales.