India's quest to become a truly global automobile market could be hindered by the lack of skilled manpower at dealerships,the Federation of Automobile Dealers Association (FADA) said today. The increasing technological sophistication of new vehicles is posing a major challenge for dealerships,which also need to upgrade the skill levels of their manpower,FADA President Nikunj Sanghi said. Speaking on the sidelines of 47th annual meeting of FADA,he said: "To give global standards in sales and service,you need well trained manpower. India is truly becoming global. Both manufacturers and customers have global expectations from us". He also said dealers are also facing a huge challenge as margins in India have been the lowest compared to other global automotive markets. The gross margins for dealers currently in India are 2-3.5 per cent for four wheelers and 4-5.5 per cent for two- wheelers,Sanghi added. Commenting on the current market situation,he expressed concern that the slowdown witnessed in four-wheeler segment,mainly passenger cars,could also spread to two-wheelers which has so far been steady. According to figures released by the Society of Indian Automobile Manufacturers (SIAM),total domestic two-wheeler sales increased by 12.61 per cent to 10,56,906 units in July this years from the same month last year. On the other hand,car sales in July this year declined by 15.76 per cent to 1,33,747 units. "After a wonderful period for last two years we are getting into a slowdown,the sales will be less in this fiscal," he said,adding,fuel price rise,continuous hiking of interest rates and commodity price increase simultaneously was making it more difficult for the industry.
