24/07/2011
Green light for used car dealers
By Anna Ramdass [email protected]
(Story Updated: Jul 22, 2011 at 12:55 AM ECT )
Cabinet yesterday gave the green light to foreign used car dealers to import older vehicles into the country to make them more affordable for consumers.
Trade and Industry Minister Stephen Cadiz said yesterday the ministry presented the Cabinet with a draft policy on the foreign used car industry and it was agreed that these dealers could now import cars that are six years old.
"Cabinet has now agreed to bring the age of the vehicles from four years which is the current, to six years inclusive of the current year of importation," said Cadiz at the post-Cabinet press conference at the Prime Minister's office, St Clair.
He said under the current legislation any vehicle over five years old is mandated to undergo pre-registration inspection, therefore cars that are more than five years old will be checked before they are licensed.
Cadiz said a warranty system will be put in place whereby dealers must give customers a three-month warranty on foreign used vehicles sold.
"What we want to ensure...as the consumer drives the vehicle out of the yard the engine doesn't seize up, the transmission doesn't fall out into the road, (or have) major mechanical failure," he said.
The ministry will establish an administrative arrangement between the Trade Licensing Unit of the Ministry of Trade and Industry and the Consumer Affairs Division to monitor complaints against foreign used dealers.
He said it was not envisaged that there will be any major impact on the environment through the importation of older cars.
Cadiz said the current quota of 13,500 cars being imported in the used car industry will remain in place until it is reviewed again in 2013.
Photo Attached: CUSTOMER PROTECTION: Trade and Industry Minister Stephen Cadiz at the post-Cabinet press briefing at the Office of the Prime Minister, St Clair, yesterday. —Photo: Roberto Codallo