TIL Desk/Business/New Delhi/ The regulatory burden is the highest on small cars, a key segment of the Indian automobile industry and having a uniform tax structure across all segments of vehicles will not augur well for the sector growth, according to Maruti Suzuki India chairman RC Bhargava.
He also said India’s economic growth rate could be higher if the manufacturing sector grows fast, which ‘unfortunately’ has remained a laggard despite the best efforts of the Narendra Modi-led government at the Centre due to implementation gaps at the ground level.
“The burden of regulatory changes on the small cars is far higher than the regulatory burden on big cars and that is changing the whole market behaviour. “People who are buying small cars are not buying small cars in near the same numbers. “Personally, I think it’s not a good thing, either for the car industry or the country,” Bhargava said in an interaction on Monday evening.
