Friday, April 13, 2018

Sector remains cautious and waits to invest

Despite the advancement of production, the level of idle motorcycle industry is still high. Companies remain cautious to invest and await confirmation of the trend to resume.
"We had six consecutive months with positive results. Everything indicates that the recovery is taking place, but we still don't have a clear reading of the future. In two or three months we will have a response from manufacturers, "said the President of the Brazilian Association of manufacturers of motorcycles, Mopeds, Scooters, and Bicycles (Abraciclo), Marcos Fermanian, in press conference.
The industry strongly impacted by the crisis in 2015 and 2016, began to show signs of recovery last year. The Executive Director of Abraciclo, José Eduardo Gonçalves, points out that the growth in sales, especially in retail, must pull production.
"We don't have updated data, but idleness has reached 60% in 2017. This should improve, the production features uptrend. If this performance continue, perhaps the sector has to revise the projection of annual growth. "
The balance of the first quarter of 2018 presented positive performance in production (12.2%), wholesale sales (8.4%), retail sales (4%) and exports (45.4%) compared with the same period in 2017.
"The first period of the year was more positive than we expected. But after years of booking fall, we're going to have prudence. We have elections ahead of us, there are many uncertainties and this generates uncertainty of how the market will behave. I don't know what's safe decision-making, "says Fermanian.
The entity has not disclosed figures on manpower, but revealed that there is a small movement of hiring. "We heard of the manufacturers that layoffs were estancadas. In 2016, there was a lot of fall and the beginning of 2017 was painful, with cuts and severance plans. Now, some signings are occurring and if the expectation is reached, will occur more effectively, "he said.
Among the methods of sale in retail purchases in cash and by Consortium grew, while that for direct credit to the consumer (CDC) had a fall of 7.5%.
"There was a reduction of credit offer, but now the banks are returning slowly to the segment. What happened is that there was a shortage of vehicles the consortia and this was prioritized pending ', explains the President of the entity. He believes that the retail numbers would have been even better if the stocks of some dealers had more products.
"The manufacturers are producing more to meet this demand. This is reflected in the formal license plates and not in stock "reports.
The President of Abraciclo says there's difficulty credit release for small motorcycles and that it is important to stimulate the sale by Consortium for consumers of classes C, D and e. "To these consumers, [the credit] is increasingly limited. And there is also competition from other consumer goods. There is a need to work to convince that the bike is important and can be acquired by Consortium. "
DCI - 13/04/2018
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