According to a report on Moneycontrol, around 17,500 cars at over 350 dealerships are estimated to be damaged because of the recent Kerala floods. Flooded cars are usually very tough to repair and have to be scrapped at a very little value.
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With each car in Kerala having a ticket price of around Rs. 6 lakh, automobile dealers in Kerala have suffered huge losses from the recent calamity in Kerala. It is a big automotive market in the country with 2,45,000 cars being sold every quarter.
With the festive season just around the corner, dealers had stocked up vehicles in their storage as there is a huge demand for them around Onam and the festive season. Two-wheelers(scooters, -moped motorcycles) and agricultural vehicles like tractors, trucks and buses to have suffered massive losses during the floods. The state has more than 700 dealers of a variety of automotive brands.
There have been pictures surfacing online showcasing the aftermath of the floods. One can only see the roof of many vehicles which means that these drowned vehicles would be subject to heavy electrical and mechanical issues!
It will take around 6 months for these dealerships to get their business back to normal and we can expect the manufacturers to compensate their respective dealerships in one way or the other.
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