SIAM welcomes Guidelines for setting-up an Authorised Vehicle Scrapping Facility

Society of Indian Automobile Manufacturers (SIAM) welcomed the Draft Guidelines released by the Ministry of Road Transport & Highways (MoRTH) for setting-up of Authorised Vehicle Scrapping Facility (AVSF) in the country.

Mr Rajan Wadhera, President, SIAM said, “The automobile industry wholeheartedly supports the Vehicle Scrappage initiative of Government of India. The Draft Guidelines will help in establishing organised vehicle scrapping facilities in the country and will lead to increase in the latent demand for end-of-life vehicles available for scrapping. Such facilities will operate in an environmentally friendly manner having essential infrastructure and necessary compliances/approvals from government departments. Vehicle Scrappage initiative of the government will not only help in removing old and polluting vehicles from roads, but will also increase the demand for new vehicles having better emission technology, meeting superior safety standards and at the same time lead to savings of fuel, foreign exchange, raw material, etc.”

Automobile industry keenly awaits an incentive based Vehicle Scrappage Policy also from the government, which will help fleet modernisation on a regular basis.