ACMA pitches for aftermarket standards in Motor Vehicles Act

The Automotive Component Manufacturers Association of India (ACMA) plans to take up with the new government a proposal to incorporate aftermarket standards in the Motor Vehicles Act.

This move is aimed at preventing spurious and counterfeit products from finding their way into on-road vehicles, making them susceptible to accidents. Moreover, these aftermarket standards are expected to ensure safe and emission-free auto components for the sector.

The apex component industry body had held talks with the ministries of road transport and highways, heavy industries and consumer affairs of the UPA government as well as the Bureau of Indian Standards (BIS) and the Automotive Research Association of India (ARAI) in connection with defining the necessary standards. The issue involves incorporating 21 critical auto components in the standards in compliance with ARAI norms and harmonised with BIS standards.

Speaking at a media meet in New Delhi on June 11, Soumitra Bhattacharya, chairman of the consumer affairs committee and joint MD, Bosch, said: “At present there is no mandatory standard for products sold in the aftermarket. So there are a lot of challenges in reducing road accidents.” He pointed out that amongst emerging markets, India is one of the most vulnerable countries  in terms of road safety and the loss of lives. Reported fatal accidents are in the region of 130,000 annually and counterfeit parts account for a fifth of them.

India has the highest number of road accident deaths globally. The proportion of fatal accidents has increased since 2003 from 18.1 percent to 25.1 percent in 2012. Comparing the 13-15 vehicle parc per 1,000 inhabitants in India with Germany’s 550 vehicles per thousand and USA’s 650 vehicles per 1,000 ratio, Bhattacharya said that the number of fatal road accidents in India is extremely high compared to the 5,000 fatal deaths per annum in Germany.

ACMA is, therefore, pushing for enforcement of existing statutes and laws, making selling of spurious parts a cognisable and non-bailable offence on the lines of that followed in the pharmaceutical industry. Incidentally, North and East India are the largest markets of counterfeit parts in the country.

“Combating counterfeiting in auto parts calls for a more focused attention in connection with safety of drivers, occupants of vehicles and third parties on the road,” said Sriram Viji, co-chairman, consumer affairs committee  and executive director, Brakes India.

The most frequently counterfeited parts are diesel filters, spark plugs, brake linings, ball and taper bearings, gaskets, seals among others. Of the total Rs 330,000 crore aftermarket, fakes account for almost 36 percent. However, some fake parts have reduced due to advancement in vehicle technology and new-generation products in the passenger vehicle segment.

ACMA is also pushing for a crucial role by insurance companies in preventing use of spurious parts. It has proposed that any product identified as spurious should not be liable for insurance claims, hoping this will deter those who buy such products.