One year on, bus sales yet to gain traction after skidding due to Covid-19

icra, bus sales, Crisil Research, Crisil, as ET reported in September

Business was only recovering for Assamese bus operator Anjit Bora when the second surge of Covid-19 and the following clamp down on interstate and intercity travel forced his entire fleet off the roads making him wonder how he will pay the next round of salaries to his staff. “The situation in January and February was okay. But from March it is very bad. Before May 13, we could operate at 50% capacity, but I could still not pay full salary to our staff,” he said over the phone. Now, with the travel restrictions in place, Bora says, the engines have fallen silent on his fleet of 30 buses.

The situation is echoed by bus operators across the country. As they struggle to stay in business, buying a new bus is not on the list of consideration for most and that reflects in the sales estimates for buses for the ongoing financial year.

About 40,000 buses are expected to be sold in FY22, as per Crisil Research forecast. While that’s double of the 19,000 units sold last year, it’s still significantly lower from peak sales in FY17 when almost 100,000 buses were sold in India.

“The demand for buses is expected to remain the hardest hit with schools remaining shut, purchases by state transport undertakings being low owing to strained state finances, and tourist and intercity movement is only expected to pick-up post mass vaccination is achieved in the second half of the fiscal,” said Hetal Gandhi, director,

CRISIL

Research.

“Thus, despite near doubling of sales volumes in fiscal 2022, volumes are expected to remain at multi-year low,” she said.

The culture of work from home is not helping the case of bus makers either, said Shamsher Dewan, vice president and group head,

ICRA

Limited. “The bus segment would continue to remain the most impacted,” he said.

The situation is eerily similar to last year when lockdowns across the country to arrest the spread of Covid-19 had derailed the business of the travel industry, putting millions of jobs in jeopardy, as ET reported in September.

This is in sharp contrast to segments like passenger vehicles where the need for personal means of transport during the pandemic are driving up the sales.

Just like buses, passenger three-wheeler sales too have been hard hit due to the pandemic as people minimise the use of shared transportation. Three-wheeler sales dipped to just 216,000 units in FY21, less than that in FY03 and prospects for the ongoing year remain bleak, experts said.

Meanwhile, fleet owners like Bora and bus makers can only hope for a pick-up in vaccination in India so that business could return to normalcy.

News Related

OTHER NEWS

NREGA Sangharsh Morcha wants higher wages under scheme, more working days; writes to PM Modi

The Nrega Sangharsh Morcha has written to Prime Minister Narendra Modi requesting him to enhance wages under the Mahatma Gandhi National rural employment Guarantee scheme to Rs 600 per day ... Read more »

Delhi logs 39 COVID-19 cases, zero deaths

Delhi reported 39 COVID-19 cases and zero fatality on Tuesday, while the positivity rate stood at 0.06 per cent, according to the city government’s health bulletin. The cumulative case tally ... Read more »

Ist der Kompaktcamper 97.000 Euro wert? - Tonke Van XL (2022) auf VW T 6.1 im Praxistest

Auf geht’s zum 48-Stunden-Praxistest. Ich starte am Redaktionsparkplatz und mache mich auf den Weg nach Hause, um alles für einen Wochenendausflug in den Schwarzwald einzuladen. Das Ausparken auf dem verwinkelten ... Read more »

Karnataka govt considering law to regulate religious conversion: Home Minister

The Karnataka government was considering enacting a law to regulate religious conversion, as a ruling BJP MLA said his own mother has converted to Christianity falling prey to inducement, state ... Read more »

Bharat Biotech's Suchitra Ella says vaccines shouldn't be a barrier to enter any nation if approved by national regulatory authorities

Vaccines should not become a barrier to enter any nation, Suchitra Ella, Joint managing director, Bharat Biotech said on Tuesday as the UK declared that fully vaccinated Indians travelling to ... Read more »

UAE welcomes regional rivals at major natural gas conference

Energy officials from Qatar and Turkey, long-standing foes of the United Arab Emirates, descended on Dubai along with hundreds of other executives on Tuesday, flocking to the world’s largest gas ... Read more »

Banks may not be pricing their risks adequately, says new report from SBI Research

RBI‘s policy of providing abundant liquidity may have resulted in banks inappropriately pricing their lending risks, according to a report by SBI’s research team. “A back of envelope estimate suggests ... Read more »

Market Movers: ITC rides the momentum wave as metal stocks regain some ground

MUMBAI: Whisper it, but ITC just hit a 52-week high! Yes, ITC, the stock that never moves, the stock whose investors deal with heartbreak with memes, managed to hit a ... Read more »

Banks Board Bureau invites applications for post of Deputy MD in Exim Bank

The Banks Board Bureau (BBB) has invited applications for the position of Deputy Managing Director of Exim Bank of India (Exim Bank). The Bureau invites applications from qualified candidates for ... Read more »

Fire at building near IIM Bangalore, several feared trapped

Representational image A fire broke out in Bengaluru on September 21 at a building located close to IIM Bangalore, reports said. No casualties were recorded by the time preliminary reports ... Read more »

French President Emmanuel Macron discussed Indo-Pacific co-operation with PM Modi

File image of French President Emmanuel Macron (Image: Reuters) French President Emmanuel Macron discussed on Tuesday co-operating over the IndoPacific region with Indian Prime Minister Narendra Modi, as France deals ... Read more »

Biggest gainers & losers of the day: GR Infra soars, BLS Intl' tanks 10%

New Delhi: The domestic equity market staged a smart afternoon recovery on Tuesday, thanks to strong buying in metals, IT and FMCG shares. Positive global sentiment boosted investors’ morale as ... Read more »

Muzaffarnagar riots: Court fixes September 24 for framing of charges against ex-UP minister, 9 others

A court on Tuesday fixed September 24 as the date to frame charges in a Muzaffarnagar riots case against former Uttar Pradesh minister Saeeduzama and nine others. The former minister, ... Read more »

How cheaply can I buy a used electric car?

You’ll need at least £5,000 to buy a used electric car, but think twice before reaching for your wallet. Because while some cars grow old gracefully, an ageing electric car ... Read more »

Tech View: Nifty50 rebound encouraging but index vulnerable to selloffs

NEW DELHI: Nifty50 on Tuesday staged a strong rebound and formed a Bullish Hammer candle on the daily chart. Analysts said the recovery from near a short-term moving average was ... Read more »

Sivakasi, the fireworks nerve centre keeps fingers crossed as Delhi bans bangers

A Robot. Anyone seeing him at work may easily mistake him for a machine in action, picking up small, shining white packs of chemical compounds and wrapping them up in ... Read more »

F&O: Buy on dips puts Nifty back on winning track; VIX declines too

Nifty opened positive on Tuesday but breached previous day’s low in the initial half of the session. However, it recovered well by more than 250 points from its intraday low ... Read more »

Centre allows IAS, IPS officers to retain gifts received from foreign dignitaries

The Centre has amended over a 50-year-old rule to allow IAS, IPS and IFoS officers to retain gifts received from foreign dignitaries while being members of the Indian delegation, according ... Read more »

Nitin Gadkari pitches for fixed driving hours for commercial truck drivers

To reduce road accidents, Union minister Nitin Gadkari on Tuesday pitched for fixed driving hours for commercial truck drivers similar to that of pilots, as well as on-board sleep detection ... Read more »

Mahant Giri death case: Disciple Anand Giri booked for abetment of suicide

Uttar Pradesh Police on Tuesday lodged a First Information Report (FIR) against Anand Giri, the disciple of Mahant Narendra Giri, chief of Akhil Bharatiya Akhara Parishad, who was found dead ... Read more »

2021 Land Rover Defender 90 Off-Road Review | No Time to Dry

For Land Rover fans, the availability of the short-wheelbase Defender 90 model has been a long time coming. I got a chance to sample one for a brief, on-road drive ... Read more »

India's largest e-ticketing platform IRCTC fixes bug after school student raises alarm

The Indian Railway Catering and Tourism Corporation Ltd. (IRCTC) fixed a bug on its e-ticketing platform after a plus two lad from the city raised an alarm over the presence ... Read more »

PM Modi, US President Biden to meet in Washington on Sep 24

Prime Minister Narendra Modi and US President Joe Biden are expected to deliberate on ways to bolster bilateral ties in trade, investment and defence and security in their in-person talks ... Read more »

New airport terminal at Leh likely to become operational by December 2022: Aviation minister

The new airport terminal in Leh is likely to become operational by December next year, Civil Aviation Minister Jyotiraditya Scindia said on Tuesday. This was conveyed by Scindia to Ladakh ... Read more »

Indian foreign minister Jaishankar urges UK to resolve COVID quarantine dispute

India’s foreign minister on Tuesday urged Britain to remove a rule requiring Indians visiting there to quarantine even if they are fully vaccinated. India’s Covishield vaccine, developed by AstraZeneca and ... Read more »

Skoky na lyžích přicházejí o svého rekordmana. Schlierenzauer ukončil kariéru

© www.vancouver2010.com Skoky na lyžích (ilustrační foto) V posledních letech ale přeci jenom sláva Gregora Schlierenzauera ustoupila do pozadí, například v poslední sezóně 2020/21 se mu tolik nedařilo a nyní ... Read more »

Lotus reveals new electric car architecture that can offer up to 650kW

© Provided by Independent Online (IOL) HETHEL, ENGLAND – Lotus recently unveiled its new Emira, which is said to be the British sportscar maker’s last-ever combustion engined car. Going forward ... Read more »

Mswipe's lending business appoints Tanya Chadha as COO

Mcapital, the lending business of Mswipe, has announced the appointment of Tanya Chadha as its chief operating officer (COO), said a statement issued today. With over 16 years of experience ... Read more »

UP govt to set up 'Electronic Park' near Noida

After Toy Park, Film City, Medical Device Park and Leather Park, the Uttar Pradesh government is gearing up to develop an ‘Electronic Park’ for electronic devices and accessories along the ... Read more »

Sensex reclaims Mt 59K as investors rush to buy beaten-down sectors

NEW DELHI: After a late buying in beaten-down sectors, benchmark indices climbed higher, breaking two-day losing run on Tuesday. Realty names were under the spotlight after Karnataka government reduced stamp ... Read more »

R-value drops below 1 in mid-September

R-value, which reflects how rapidly coronavirus pandemic is spreading, dropped to 0.92 by mid-September after spiralling over 1 by August-end, according to researchers. However, the R-values of major cities, Mumbai, ... Read more »

Nurse to doctor ratio in India estimated to be 1.7:1 on basis of NSSO data: Report

The nurse to doctor ratio in India is estimated to be 1.7:1 on the basis of NSSO data, while the ratio of allied health workers to doctors is estimated to ... Read more »

New Audi e-tron GT to be launched in India tomorrow

© Aditya Nadkarni New Audi e-tron GT to be launched in India tomorrow – The Audi e-tron GT will be the second electric offering from the brand in India – ... Read more »

DRI seizes heroin worth Rs 20,000 crore from Afghanistan at Mundra Port

Mundra Port is controlled by the Adani Group (File image: Wikimedia Commons) The Directorate of Revenue Intelligence (DRI), acting on an intelligence input, has seized nearly 3,000 kg of heroin ... Read more »

Police caught more than 200 appending drivers from a coach: ‘You throw out a fishing rod and you have a bite'

A special police team caught the offenders from a coach. Unobtrusive police cars then pulled them off the road. “The number of drivers who make mistakes is many times greater.” ... Read more »

Yamaha drives in new 155 cc scooter Aerox 155, updated YZF-R15 range in India

India Yamaha Motor on Tuesday said it has launched an all-new 155 cc scooter model Aerox 155 in the country priced at Rs 1.29 lakh (ex-showroom Delhi). The Japanese two-wheeler ... Read more »

Realty stocks in demand after Karnataka cuts stamp duty

New Delhi: Real Estate shares were buzzing on Tuesday as the Karnataka Government slashed the stamp duty by 2 per cent on affordable flats. The State Legislative Assembly passed an ... Read more »

HC asks Centre, Delhi govt to respond to plea for electricity connection for migrants from Pakistan

The Delhi High Court Tuesday sought replies from the Centre, Delhi government and Tata Power on a plea seeking electricity connection for nearly 800 Hindu migrants from Pakistan and are ... Read more »