Will elevate auto manufacturing in India to global standards
The announcement of a scrappage policy by the Central government is indeed a historic moment in the Indian automotive sphere and will go a long way in setting a new benchmark for India in the global context, said Venkatram Mamillapalle, Country CEO & Managing Director, Renault India Operations.
The scrappage policy will help the Indian automotive industry match international standard, besides offering a much-needed reprieve for the auto, steel and electronics industry that was needing resuscitation after the onslaught of the Covid pandemic.
Mamillapalle is of the view that scrapping of older vehicles should be done in a scientific and environment-friendly manner.
A 5 per cent rebate from automakers, and various incentives from the government, will encourage people to come forward towards replacement of their old vehicles.
The guidelines will prove to be a boon in the long run, drawing customers to newer and efficient vehicles and, in turn, help India elevate to becoming the hub of automobile manufacturing in line with the ‘Make in India’ initiative.
“We strongly believe this policy will kick-start the revival of the Indian auto sector and the overall economy,” said Mamillapalle.