Mr. Vimal Sumbly, Managing Director, Triumph Motorcycles commented on what the budget announcement means for the premium two-wheeler sector:
“ The Union Budget 2018 has announced several positive measures to provide growth impetus to the economy and to stimulate demand. The proposal to increase allocation in infrastructure development will create a solid foundation for long term growth. Increase in rural farm credit will boost sentiments in the rural areas, pushing demand in a variety of sectors including specific automobiles. Triumph Motorcycles as a brand has had a strong alignment with the Government’s Make in India initiative. This commitment led us to move from FTA to the CKD form of manufacturing reflective of our commitment to India as a market. The present budget leaves CKD manufacturers like us with a 5-10 per cent product cost escalation while leaving FTA manufacturers unaffected. A rationalisation of this increase for the entire sector would be critical to maintaining an even field for players present .”
