There is an atmosphere of economic slowdown in the country. The most impact of this slack is being seen on the auto industry. Sales in this industry have been halted for the past 10 months. Due to this, auto companies have also reduced production. Meanwhile, Finance Minister Nirmala Sitharaman blamed taxi aggregators like Ola and Uber for the sluggishness in the auto industry.
Finance Minister Say…
Finance Minister Nirmala Sitharaman said that nowadays people like to use Ola-Uber. The Finance Minister said, “The automobile industry is getting affected by the changes in BS6 and the thinking of people, people are now preferring Ola or Uber instead of buying a car”. Reactions are coming. But the question is that if the trend of people has increased towards Ola or Uber, then how is the condition of these companies. Let’s know in this report ..
Ola in loss Since long
If you talk about Ola, it has been running in deficit for a long time. According to news agency PTI, in fiscal year 2018, Ola has incurred a net loss of Rs 2,842.2 crore. In the previous financial year, Ola had a net loss of Rs 4,897.8 crore. However, in FY 2018, the company’s revenue grew by 61 per cent and reached Rs 1,380.7 crore. However, the worldwide loss-making US company Uber has made modest profits in India during the financial year ended in March 2018. Uber has suffered its biggest quarterly loss in the month of August this year. Please tell here that the latest figures of Ola and Uber India have not been released yet.
Slow Growth Rate
In a report in the Economic Times last June, it was claimed that the growth rates of Ola and Uber have slowed down. It was then reported that during the 6 months, the daily rides of Ola and Uber have increased by only 4 percent. Earlier the daily rides were 35 lakhs which is now around 36.5 lakhs. Another sign of slowing down of the business of Ola and Uber is coming from commercial vehicle registration. For example, in Maharashtra, in 2017-18, 66 thousand 683 tourist cabs working for Ola and Uber India were registered, but this number came down to 24 thousand 386 in 2018-19.
Let us tell you that due to the slowdown in the auto sector, the domestic market saw a decline of 23.55 percent in vehicle sales in August. Such a decline was seen earlier in December 2000, when sales had fallen by 21.81 percent.