Imported cars are a rarity in India thanks to the more than 100 per cent tax that accompanies such products. They will continue to be a rarity if Indian Govt continues to impose such high taxes. But hey I don’t have a problem with that, but I do have a problem with Govt charging similar high tax on hybrid cars which have better mileage (by almost 40 per cent) compared to conventional petrol cars.
Honda Toyota launched hybrid version of two days back and it was priced at Rs 21.5 lakh. If not for the taxes, the price would have been around Rs 11 lakh which makes it affordable for more number of people if not all. Isn’t it possible for Govt to reduce taxes for hybrids at least till the start producing such vehicles in India?
None of the automobile companies in India have started manufacturing hybrid vehicles as such; yet excise duty has been slashed to 14 per cent from 24 per cent. So isn’t it logical to allow imported hybrids at lower duty until production of hybrids domestically begins? Shouldn’t Indian Govt be offering incentives to people using hybrid cars? While world over Govts are taking serious steps towards energy conservation why is Indian Govt so lax about it? Why don’t they think about the amount of money they could save if more and more people start using such cars.
As of now the car is affordable only for the rich who, to be honest, won’t be as bothered by the hike as much as a normal Indian.