Unsurprisingly, Society of Indian Automobile Manufacturers (SIAM), is not too happy with the hike in prices of petrol and has requested the govt. to look into the matter and revise the prices of petrol in favour of road users.
SIAM said, “SIAM requests the government to reconsider its proposal for such a steep increase in the price of petrol and to seriously consider the option of a moderate increase in the price of diesel before it impacts the growth of the industry”.
As we had guessed, the manufacturers were quick to come with exciting offers and discounts on petrol powered cars as the buyer’s focus is fast shifting towards cars equipped with oil burners. Regarding this, SIAM said,“This is leading to a long chain of distortions, which will lead to sub-optimal use of resources (meant for petrol vehicles) unless appropriate market oriented policies are put in place”.
“The need of the hour is to bite the bullet by reducing the price hike on petrol and revising the price of diesel, which will bring in more revenue to government as well as some level of parity between the two competing fuels for automotive industry” SIAM said.