Automobile registration up 24pc

KATHMANDU, APR 30 -Registration of automobiles increased 24 percent in the first nine months of the current fiscal year, according to the Department of Transport Management.In the period between Mid-July 2012 and mid-April 2013, 159,532 vehicles, including two- and four-wheelers, were registered in the country. The figure was at 129,039 units in the same period last fiscal year.

Over the review period, motorcycle imports rose 22 percent to reach 135,482 units. The construction equipment segment posted a heavy growth of 166 percent in registration numbers, while the passenger car registered saw the lowest growth of 9 percent. The growth in registration of vehicles in all segments also pushed up the government’s revenue collection. The department collected Rs 3.6 billion in vehicle taxes, exceeding the target of Rs 3.4 billion for the first nine months.


Department officials and automobile traders attributed the growth in import and sales to easy bank financing facilities and expansion of road networks in rural areas. “One can easily get auto loans at low interest rates these days,” said Sarad Adhikari, technical director at the department, adding that the registration of bikes and other four-wheelers, except for high-end cars, witnessed a remarkable growth.

In the nine-month period, 7,193 passenger cars were imported into Nepal. Saurav Jyoti, president of Nepal Automobile Dealers’ Association, sales of cars costing less than Rs 3 million were on the rise. “However, import and sales of luxury cars made in third countries (countries other than India) have declined,” he said.

A majority of automobile products arriving in the local market are manufactured in India.

Traders said easy financing and the reduction in interest rates helped boost automobile sales, especially after September 2012. The interest rate on auto loans, which used to be at around 18 percent, has now come down to 10-12 percent.

Registration of new vehicles in bus, minibus, microbus, trucks, pick up van, tempo and power trailer categories also posted a double-digit growth, according to the department. In the review period, 2,326 units of buses were registered—up 69 percent compared to the same period a yeat ago.

Even as the overall vehicle registration posted growth, registrations in Mechi, Sagarmatha, Janakpur, Rapti and Seti zones declined. Bagmati Zone topped list with 52,004 vehicle registrations, including 7,973 four-wheelers. Narayani and Lumbini registered 34,269 and 25,078 vehicles, respectively, while Seti registered the lowest 409 vehicles in the first nine months.

Zone-wise registration
Zone    2012-13    2011-12    Change %
Mechi    4,676     5,045     -7.31
Koshi    23,118     17,571     31.56
Sagarmatha     2,896     3,355     -13.78
Janakpur    618     5,142     -87.98
Narayani    34,269     28,047    22.18
Bagmati    52,004     42,576     22.14
Gandaki     9,076     7,106     27.72
Lumbini    25,078     11,310     121.73
Dhaulagiri    745     577     29.11
Rapti    578     3,996     -85.53
Veri    4,757     3,309     43.75
Seti    409     811     -49.56
Mahakali    1,308     194     574.22

Category-wise registration
Category        2012-13      2011-12
Motorcycle        135,482    111,135
Passenger car    7,193    6,620
Power trailer         6,609    5,967
Pick-up van        4,020    1,998
Heavy equipment    2,544    956
Bus        326    1,380
Microbus        17    89

(Source: Department of Transport Management)