Tata Motors unveils new commercial vehicles
"Transporters are very concerned; it is a large increase on a single day. But their ability to pass on the hike to their clients would depend on the market. If it remains the way it has been in the first half, it would be difficult," Tata Motors executive director for commercial vehicles Ravi Pisharody told reporters after launching six new heavy trucks here.
Noting that there is a lot of competition in the transport business, he said it is the load factor that makes the industry viable.
"They are looking at that...If the load factor goes up as we are seeing some improvement particularly in September and the government's reform agenda picks up steam, then there will be an increase in transportation of goods which will in turn lead to investment in infrastructure and the resultant increase in load factor," he said.
He said that Tata Motors expects a 15-20 percent surge in its commercial vehicles sales in the second half over the first half and pointed out that traditionally the second half is stronger, particularly the last quarter.