Straight Drive

Bhushan Mhapralkar

GST has rolled out amid much anxiety and trepidation. It follows within a year of demonetisation, the effect of which is yet to subside. CV sales in April and May 2017 have not provided a reason to cheer. If pre-buying happened in February and March 2017, the last two months have shown that transporters are in a wait and watch mode. It will take time before a clear picture emerges. For the CV industry, the last eight months have resulted in not two, but three disruptive changes. Freight rates along trunk routes have remained constant after a three to four per cent rise in March 2017. If the daily revision of fuel prices has modified the way transporters measure their operations, the arrival of GST has ensured that the very manner in which they conduct business changes. Margins are under pressure, and despite GST expected to have a positive effect on the transportation industry. Octroi and LBT posts have disappeared. Border check posts should disappear as the influence of e-way bills grows. A new rare period has just begun, and with a hope that strong growth will follow.

new rare period has just begun, and with a hope that strong growth will follow.”