DIMO in strategic partnership with SLIC
Diesel and Motor Engineering PLC (DIMO) recorded a 500 percent growth
in sales of all categories of vehicles following the reduction in import
duty, said Chairman and CEO, DIMO, Ranjith Pandithage.
He was speaking at the launch of DIMOs partnership with Sri Lanka
Insurance Corporation (SLIC) to offer an exclusive motor insurance
solution for DIMO vehicle owners.
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Managing Director/CEO,SLIC, Mohan De
Alwis exchanges the MoU with Chairman/CEO, DIMO, Ranjith
Pandithage flanked by Director, SLIC, Piyadasa Kudabalage
and Deputy CEO, DIMO, Gahanath Pandithage. Pic:Sumanachandra
Ariyawansa |
He said there was a marked increase in sales of all categories of
vehicles due to the duty concession and added that sales would hit a
record growth by the end of this year.
"The luxury vehicle market has not shown a significant growth as the
other category vehicles.
Sale of Mercedes-Benz has been around 300-400 a year", Pandithage
said. Sri Lanka sells less than 1000 units of luxury vehicles a year
while over 4000 units of the luxury category is sold in Singapore.
Pandithage said the demand for DIMO Batta has been high and sales
have been over 1000 units during the past months.
DIMO faced a tough time last year due to the high import duty
structure for vehicles. Sales which were badly affected during the first
two quarters picked up in the last quarter.
Pandithage said DIMO has set up a branch in Jaffna which has been a
traditional market of the company.DIMO has been in the vehicle market
for the past 70 years and has partnered with world's leading brands.
DIMO has planned to expand its reach by setting up more branches in the
country. The company currently has around 15 branches throughout the
country.
Managing Director, SLIC, Mohan De Alwis said insurance in the motor
segment has recorded a significant growth in recent months due to the
concessions given to import vehicles. "SLIC expects a 10-15 percent
growth in insurance in the motor segment by the end of this year", he
said.
Growth in Sri Lanka's vehicle market had been stagnant in past years
due to staggering import duty which had been higher compared to many
countries. Vehicle dealers faced some of its worst times due to the
drastic reduction in sales.
De Alwis said the strategic partnership will benefit all SLIC motor
policyholders with DIMO with the assurance of safety and quality
standards. "SLIC officers will be deployed in all DIMO branches across
the country to provide speedy and cost effective service to
policyholders", he said.
SLIC motor policyholders will receive priority service at DIMO to
repair and release the restored vehicles in a short time guaranteeing
maximum customer convenience.
LF
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