Honda Motorcycle & Scooter India, India’s No. 2 two-wheeler OEM, declared relief initiatives to help its manufacturing. And so service sector partners throughout India as the national lockout moves into its third week.
With its unparalleled size and resulting national lockout. The group claims COVID-19 has seriously disrupted the market stability of distributor partners. Who were still under tremendous pressure as a result of the 16-month slump in demand in the sector.
So, addressing how Honda aims to assist its distributor partners in these turbulent times. In these difficult times, Honda 2Wheelers India has provided a robust financial support program to its dealers.
About Assistance Plan:
The assistance plan will ultimately provide our distributor members. With instant funding and we are sure their market continuity pressure. It will be comprehensively relieved and cash flow strengthened. Honda must also pay the interest burden of the BS-VI car inventory. On all its distributors for the full 21-day lockout period. So, offering more significant assistance.
Additionally, the announced support initiatives involve advance payments of discounts. And reimbursements through the 3 functions (sales, service and spare parts). Buyback of all BS-IV inventory lying unsold with few dealers mainly in Delhi NCR area; and also completely bearing the interest expense of BS-VI inventory (physical and transit). With the dealers for the 21-day nationwide lockdown.
With every two-wheeler sold, the OEM also offers extra selling benefits with qualifying distributors and dealer staff. And also the reimbursements. Earlier, the two-wheeler manufacturer had announced a two-month extension of the timetable to customers. Whose free service and promise were planned during lockdown (March 15 to April 15).
Honda says it has released on-time payments amounting to approximately Rs 1,700 crore to all its vendors. With distributors and service providers. This further eased the cash crisis faced by its business partners. Due to the abrupt condition of the COVID-19 lockout and helped them. With the prompt payment of March wages to their employees and vendors. HMSI plans to disburse assistance payments by 15 April.