The automobile sector in Odisha is bracing for a short-term slowdown as panic buying of fuel across the state begins to burden consumer sentiment. Dealers in Bhubaneswar and Cuttack report a sharp drop in enquiries and fresh bookings over the past few days.
Consumer Uncertainty Impacts Sales
Experts said uncertainty over fuel availability and rising queues at petrol pumps have prompted buyers, especially first-time owners of cars and two-wheelers, to think deeply on their purchase decisions. The fear and anxiety among buyers are likely to impact the sector in the near future, they added.
Ajay Agarwal, a dealer associated with a leading passenger car brand in Bhubaneswar, said, “Over the last three to four days, walk-ins have fallen by nearly 30 to 40%. Many potential buyers are adopting a wait-and-watch approach due to the prevailing fuel situation.”
Two-Wheelers Worst Hit
Two-wheeler dealerships, which largely depend on daily commuters and first-time buyers, appear to be the worst hit. Mahendra Sahoo, a salesperson at a two-wheeler showroom in the city, said, “Footfall in our showroom has decreased this week. Customers are hesitant to invest in a new vehicle when fuel availability itself looks uncertain.”
According to sources, dealerships have reported a 30 to 40% drop in enquiries in the past few days. Bookings have come down by nearly one-third in entry-level segments. Motorbike sales are seeing the sharpest decline in footfall, and commercial vehicle enquiries have slowed down significantly amid operational concerns.
Expert Views on the Slowdown
Experts say that the impact could deepen if the situation persists for another week. Ritesh Das, an auto industry analyst, said, “The automobile sector is closely linked to consumer confidence. Panic buying of fuel creates a perception of scarcity, which in turn discourages spending like vehicle purchases.”
Commercial vehicle operators and small business owners are also holding back. Prakash Puhan, a vegetable vendor at Bomikhal, said, “If diesel supply is uncertain, why would I invest in a new goods vehicle? After depending on rented transport, I finally decided to buy a vehicle of my own, but now I am rethinking my decision.”
Optimism for Recovery
Industry insiders in the meantime remained optimistic about the slowdown, considering it to be a temporary one. “Once fuel supply normalises and panic subsides, it is likely that there will be a rise or at least normal demand. The fundamentals of the market remain strong,” Das added.
