When the recently-announced vehicle scrappage policy comes into force in India, around 3.5mn vehicles are expected to be scrapped under it in the state of Kerala, as per media reporting citing data by the Motor Vehicle Department.
The policy demands to scrap vehicles that are older than 20 years. In Kerala, there are over 3.5mn vehicles that come under the criteria, including 70pc two-wheelers and 22pc four-wheelers. Of the total vehicle figures for scrappage, around 5pc is autorickshaws and goods vehicles, while buses represent only 1pc.
When the law is implemented, Kerala will be one of the largest vehicle scrap markets in the country. Currently, there are around 14.18mn vehicles in the state.
The new vehicle scrappage policy is expected to be introduced in April 2021 and will come into force from April 2022, as per media reports.