The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

THE Bahamian auto industry is still struggling for survival, the Bahamas Motor Dealers Association's (BMDA) president telling this newspaper: "It's not business as usual."

Coming off the recent Car Show, Fred Albury told Tribune Business: "Regarding the car show put on by the BMDA recently at the Mall at Marathon, I have circulated your request to the dealers who participated for their review and advice. However, our group of companies, Executive Motors, Omega Motors and Quality Auto Sales saw an improvement over last year by way of completion of sales and deliveries to clients. While it is a long way off from past shows of five years ago, it was an improvement over last year."

Mr Albury added: "We feel that there is some pent-up demand for new vehicles and, with the recent reduction in import duties on some models with smaller engines, there was more interest in those particular models which is exclusive to a few dealers.

"Also, the market has shifted to smaller SUV-type vehicles with engine sizes that fall within the new duty structure and the demand was strong there. It is hoped that consideration be given to a review of this lower duty to include a few more engine size, be it at the same level or another level, but lower than the present rate of 65 percent so as to assist those dealers who presently do not have any vehicles in the specified category as laid out in this year's national budget, which is 1.5 litres and under. There is hope that a category for engine sizes from 1.5 litres up to 2.0 litres can be obtained so that all dealers can have a horse in the race at the end of the day."

Still, Mr Albury warned that the industry continues to struggle. "Overall, the new car industry still struggles to keep its head above water as it is not business as usual," he added.

"For us, focus shifted to other revenue streams via our service and parts departments in order to help support our new car sales. The slowdown in new car sales over the years has had an impact on the insurance and banking industry as well. Fewer car loans and few full coverage insurance policies sold."