Latest news with #KinjalShah
Time of India
29-05-2025
- Automotive
- Time of India
Industry smells a jackpot as India's truck fleet hits 10-yr high
India's ageing fleet of medium and heavy commercial vehicles (M&HCVs) is expected to trigger a significant rise in replacement demand, as truck makers and analysts see fleet operators shifting towards newer, more efficient models with better technology and faster turnaround times. According to data from manufacturers and ratings agency ICRA , the average age of M&HCV trucks on Indian roads has touched a record high of 10 years. This is the highest it has been in two decades. The sharp increase in fleet age is a result of deferred truck purchases during the Covid-19 pandemic and weak sales in recent years. 'The elevated level of vehicle ageing was fuelled by deferment of new vehicle purchases by fleet owners during the pandemic period, and also with the domestic M&HCV (trucks) volumes staying flattish YoY in FY2024 and registering a 4% YoY decline in FY2025,' ToI cited Kinjal Shah, senior vice-president at ICRA. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Small Electric Car for Seniors in Iraq: Prices That Will Surprise You Electric Cars | Search Ads Undo 'With this, the average M&HCV vehicle age presently remains the highest in the past two decades, which along with the mandatory scrapping of govt vehicles older than 15 years from April 1, 2023, augurs well for replacement demand in the medium term,' she added. Manufacturers have already begun to prepare for what they expect to be a surge in demand. Shenu Agarwal, managing director and CEO of Ashok Leyland , said, 'The outlook for the truck industry in FY26 takes into account the all-time high ageing of the truck fleet which means fleet replacement will definitely happen.' He added that the expected increase in demand will be led by the M&HCV segment, 'because the fleet is higher vintage there.' Live Events Industry data suggests that between FY2010 and now, around 37 lakh trucks have been sold across BS0 to BS6 emission levels. In just the last four years, about 10 lakh BS6 trucks have entered the market, while another 8.5 lakh units of BS4 vehicles continue to operate. That means for nearly 50% of the trucks sold in the last 15 years, the average age is over 11 years — a clear indicator that a large chunk of India's commercial fleet is nearing the end of its useful life and ripe for replacement. Vinod Aggarwal, managing director and CEO of Volvo Eicher Commercial Vehicles , said, 'Replacement demand will be very strong particularly since with improved road infrastructure, the new trucks are running around 15,000 km to 20,000 km per month compared to around 8,000 km to 10,000 km that older trucks manage.' He also pointed out that newer trucks, equipped with telematics, are designed for more intensive use and faster turnaround times, which further increases their appeal. At present, replacement sales account for 60% of all medium and heavy truck purchases. While total sales in the segment have not yet rebounded to their peak of 2,95,000 units recorded in FY2019 — with FY2025 sales at 2,48,000 units — there are signs of improvement. 'The M&HCV segment is migrating towards higher tonnage and payload wise FY25 truck sales is 10% higher,' said Aggarwal. (with ToI inputs)
Time of India
29-05-2025
- Automotive
- Time of India
Truck companies eye demand boost with ageing fleet on roads
Photo/Agencies CHENNAI: India's old trucks will help the commercial vehicle industry pick up speed on the demand highway. The average age of medium and heavy (M&HCV) trucks on Indian roads is currently at its highest at 10 years. According to truck manufacturing companies, this ageing fleet will translate into a "significant" increase in replacement demand . According to Icra's estimates, the average age of M&HCVs increased to around 10 years in FY23-25 after registering a gradual increase over the past years. "The elevated level of vehicle ageing was fuelled by deferment of new vehicle purchases by fleet owners during the pandemic period and also with the domestic M&HCV (trucks) volumes staying flattish y-o-y in FY24 and registering a 4% y-o-y decline in FY25," said Kinjal Shah, senior VP, Icra. "With this, the average M&HCV vehicle age presently remains the highest in the past two decades," added Shah. Already truck manufacturing companies are taking note of this opportunity. "The outlook for the truck industry in FY26 takes into account the all-time high ageing of the truck fleet, which means fleet replacement will definitely happen. The demand pull will be predominantly in the M&HCV segment because the fleet is higher vintage there," said Shenu Agarwal, MD & CEO, Ashok Leyland. Vinod Aggarwal, MD & CEO, Volvo Eicher Commercial Vehicles said, "Replacement demand will be very strong, particularly since with improved road infrastructure, the new trucks are running around 15,000km to 20,000km per month compared to around 8000km to 10,000km that older trucks manage." Newer products, packed with telematics, offer more rigorous usage and faster turnaround time, he added. Currently replacement demand is 60% of the medium and heavy truck sales. However, overall sales have still not reached the 2018-19 peak of 2,95,000 units (it was 2,48,000 units in FY25). Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
28-05-2025
- Automotive
- Time of India
‘Ageing truck fleet will boost replacement demand in M&HCV market'
CHENNAI: India's old trucks will help the commercial vehicle industry pick up speed on the demand highway. The average age of medium and heavy (M&HCV) trucks on Indian roads is currently at its highest at 10 years. According to truck manufacturing companies, this ageing fleet will translate into a 'significant' increase in replacement demand as customers look for new technology and faster turnaround time from their vehicles. As per ICRA's estimates, the average age of M&HCVs increased to around 10 years in the FY2023-FY2025 period after registering a gradual increase over the past years. 'The elevated level of vehicle ageing was fuelled by deferment of new vehicle purchases by fleet owners during the pandemic period, and also with the domestic M&HCV (trucks) volumes staying flattish YoY in FY2024 and registering a 4% YoY decline in FY2025,' said Kinjal Shah, senior VP, ICRA. 'With this, the average M&HCV vehicle age presently remains the highest in the past two decades, which along with the mandatory scrapping of govt vehicles older than 15 years from April 1, 2023, augurs well for replacement demand in the medium term,' added Shah. Already truck manufacturing companies are taking note of this opportunity. Shenu Agarwal, MD & CEO, Ashok Leyland , said: 'The outlook for the truck industry in FY26 takes into account the all-time high ageing of the truck fleet which means fleet replacement will definitely happen.' by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Advanced Strategic Management IIMK ASMP Apply Now Undo The demand pull will be predominantly in the M&HCV segment because the fleet is 'higher vintage there,' he added. Industry estimates show that since FY2010, around 37 lakh trucks have been sold spanning BS0 to BS6 levels. In the last four years around 10 lakh BS6 trucks have been sold. There are another 8.5 lakh units of BS4 vehicles plying the roads. So for the balance around 50% of the vehicles sold in the last 15 odd years, the average age is more than 11 years. Not surprisingly, industry is gearing up for replacement demand to kick in. Vinod Aggarwal, MD&CEO, Volvo Eicher Commercial Vehicles: 'Replacement demand will be very strong particularly since with improved road infrastructure, the new trucks are running around 15,000 km to 20,000 km per month compared to around 8,000 km to 10,000 km that older trucks manage.' Newer products, packed with telematics, offer more rigorous usage and faster turnaround time, he added. Currently replacement demand is 60% of the medium and heavy truck sales. And while overall sales have still not reached the 2018-19 peak of 295,000 units (it was 248,000 units in FY25), the payload is going up. 'The M&HCV segment is migrating towards higher tonnage and payload wise FY25 truck sales is 10% higher,' said Aggarwal. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
News18
18-05-2025
- Business
- News18
Want To Support Your Retired Mother? SCSS Lets You Gift Rs 30 Lakh Without Any Tax
Last Updated: SCSS: Any gift from a son or daughter to their senior citizen mother for investment in SCSS is tax-free under Section 56 of the Income Tax Act. SCSS: A Win-Win for Tax Saving and Retirement Planning SCSS: Planning to secure your mother's retirement while looking for an option to save taxes as well. You can gift your senior citizen mother up to Rs. 30 lakhs for investment in the Senior Citizens' Savings Scheme (SCSS) FDR. This regular interest income helps her stay self-reliant in her old age. CA Kinjal Shah, Secretary BCAS has decoded SCSS scheme and its tax implications. Senior Citizens' Savings Scheme (SCSS) – Key Highlights SCSS is a government-backed fixed deposit scheme offering assured returns for senior citizens. Eligibility: – Individuals aged 60 years and above. – Individuals aged 55-60 years who have retired under Superannuation, VRS, or Special VRS. – Retired Defence Services personnel aged 50 years and above (excluding civilian employees). The account can be opened individually or jointly with a spouse. You can deposit a minimum of Rs 1,000 and a maximum of Rs 30 lakhs, in multiples of Rs 1,000. The tenure is 5 years from the date of account opening. The account can be extended for an additional 3 years after maturity. Interest is payable quarterly on the first working day of April, July, October, and January. Interest does not accrue further if it is not claimed. The account can be closed prematurely after one year, subject to specific conditions. Investment Deduction (Section 80C): Deduction up to ₹1.50 lakhs is available in the year of investment. Interest Income: The interest income is taxable. Interest Deduction (Section 80TTB): Deduction up to ₹50,000 can be claimed on the total interest earned from deposits in banks, post offices, etc., including SCSS. Tax Implications Under SCSS Any gift from a son or daughter to their senior citizen mother for investment in SCSS is tax-free under Section 56 of the Income Tax Act. How to Open an Account SCSS accounts can be opened at public and private sector banks or post offices. To open an account, fill out the application form and submit your PAN card, address proof, and passport-size photographs. Deposits below ₹1 lakh can be made in cash, while amounts above ₹1 lakh must be made by cheque. Upon successful submission, an SCSS account will be opened, and a passbook will be provided. First Published: May 18, 2025, 11:18 IST
