Auto component manufacturers’ body ACMA on Thursday welcomed CCI’s order on automobile spare parts, saying it is critical to create an open market to benefit end consumer as the number of vehicles in India increases.
“As the vehicle parc in the country grows, it is critical to create an open market which is in the best interest of the end consumer,” Automotive Component Manufacturers Association of India (ACMA) Director General Vinnie Mehta said in a statement.
Stating that regulatory frameworks have been established in Europe and in pats of US regarding the issue, he said: “The aftermarket in India is plagued with counterfeit and spurious components; allowing larger number of organised players in the market will not only improve the product offering but will also enrich the customer experience of vehicle ownership, thus positively impacting the overall image of the automotive industry.”
On August 25, 2014 the Competition Commission of India (CCI) had issued an order on regarding trade practices of select OEMs covering aspects, including procurement and sale of spare parts from component manufacturers and after sales service.