Honda Motorcycle & Scooter India Pvt. Ltd. has announced multiple relief measures towards support sales and service business partners across India during the COVID-19 pandemic lockdown. The company says that COVID-19 has severely impacted the business continuity of dealer partners that were already under pressure due to the 16-month-long demand industry slowdown. In order to be specific, Honda says that it has done advance payments of incentives and reimbursements across the 3 functions (sales, service and spare parts). Moreover, the company has announced that it will buy back the unsold BS4 inventory lying unsold with few dealers majorly in the Delhi-NCR area. The company also says that it is also bearing the interest cost of BS6 inventory (Physical plus Transit) with the dealers for the 21-day lockdown.
Earlier, Honda had announced warranty and service period extension by two months to customers whose free service & warranty was scheduled during lockdown i.e. 15th March to 15th April. Honda has also claimed that it has released payments approximately amounting to Rs. 1,700 crores to its suppliers, dealers and service providers on time. Honda India foundation – the Corporate Social Responsibility (CSR) arm of Honda group companies in India pledged a sum of Rs 11 crore aid towards COVID-19 relief and preventive measures. Moreover, Honda Associates across all 5 Honda group companies had also voluntarily pledged to donate their 1-day salary towards the relief aid. Across India, Honda dealers have distributed free meals & food grains to the needy along with free masks & sanitizer and fund donation to the State and Central Government.
Yadvinder Singh Guleria, Director, Sales & Marketing, Honda Motorcycle & Scooter India said that in these challenging times, the brand has extended an exhaustive financial support package for its dealer partners. He further adds that the support package will effectively provide immediate liquidity to Honda’s dealer partners and he is confident that it will comprehensively ease their business continuity anxiety & improve cash flow. He concluded his statement by saying that providing yet another major support, Honda shall also bear the interest cost of the inventory of the BS6 vehicles at its dealers for the entire 21-day lockdown period.
Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.