Rent-a-car industry geared to cater to boom
Local industry generates US$ 20 to 30 million:
The growth momentum expected in the tourist sector would be an
impetus for the rent-a-car industry development. The peaceful
environment has created growth opportunities for the rent-a-car industry
and with the realization of true potential in the tourist sector the
industry will blossom in the near future, President of the Rent-A-Car
Association Kishan Perera told Daily News Business.
industry generates US$ 20 to 30 million annually and has the capacity to
increase revenue further with the country’s economic growth.
Transport is key to develop industries and the facility provided by
the rent-a-car industry is essential in this regard.
The industry generates direct and indirect job opportunities and
needs to be recognized as part of the tourism wider body,” he said.
In a country where the public transport system is in the development
stage, an industry of this nature could play a pivotal role. The
Government should provide duty concessions and tax relief for the
industry as it has potential to contribute more to the economy. The use
of new vehicles to provide rent-a-car facility would minimize cost on
repairs and also be environmental friendly, Perera said.
The rent-a-car industry needs to be streamlined and made popular
among the corporate sector and individuals. The industry strives to
maintain professionalism, best practices and standards. It also has a
code of conduct for its drivers to ensure proper standards, he said.
Sri Lanka could be an industrial hub in the region and needs to set
high industrial standards. The country also requires a proper road
network as the growth potential in the rent-a-car industry is high.
The industry will benefit by a proper fleet management and should
look in to improving its reach in the tourism sector. It is also
important to educate road users on discipline, he said.
“We have an association of 11 member organizations under Rent-A-Car
Association (RACA). It is a collective body representing the
professional rent-a-car service providers in Sri Lanka and is committed
to offer a variety of services to the public including self drive car
rental services for the foreign and local tourism sector,” he said.
The association is in the process of a membership drive.
We are also in the process of sharing information in a proactive
manner to curtail thefts and criminal activities to minimize the risk
for the benefit of the industry, he said.