Illegal Mining Brings Down Truck Sales

It is really hard to say which thing might have an impact on the other. Now, could you have ever imagined that illegal mining and sales of trucks are
interconnected? As long as the (illegal) mining was rampant, till then the tippers were required in a great number. Now that the same has been cracked down, the tippers are no longer required in the same number. This has automatically reduced the demand for such specialized trucks.

Three states of India, namely Goa, Karnataka and Orissa have curbed illegal mining. These are the states of India which are rich in minerals. The curbing of mining has led to iron ore and manganese being affected. As the tippers’ demand faded away, so has the need to buy them. This has caused a dip in sales too.

At one point of time, there were about 1300 units sold monthly. The figure has reduced to only about 800 units per month. These stats are of Ashok Leyland, a company that stands at the second place to manufacture commercial vehicles. The sales have gone down somewhere between the region of 40 per cent and 50 per cent.

The information was given by Mr. Rajiv Saharia, the Executive Director, Marketing, Ashok Leyland.

By: Mrinal Ali Hazarika

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