Car Scrapping in India

The scrapping of cars in India is not an organized activity. One has to get in touch with the local scrapyard people or to the local garage people of nearby area. Cartiff making effort to make car scrapping an organized business.

In a bid to curb air pollution, the Indian government recently announced the scrapping of diesel vehicles that were older than 15 years across the country. Streamlining the same, the Society of Indian Automobile Manufacturers (SIAM) stated that the government needs to adopt a policy to scrap old vehicles in order encourage owners.

SIAM suggests that the government needs to provide incentives to vehicle owners who choose to scrap their 15-year-old vehicles. In developed nations like the US, the government offers incentives and tax benefits while buying new cars in exchange of scrapping their old cars and a similar policy needs to be implemented in India as well to encourage more scrapping of old vehicles.

What the scrapping policy ensures is that more and more owners would move towards showrooms to purchase a new car. Before the policy goes into action, several parameters including the age of the vehicle, fuel type and the city where it is used, will have to be considered as well.

At present, the government levies something known as a ‘Green Tax’ on vehicles older than 15 years but that does little in terms of pollution control. Given the fact that the incentive policy goes into action, it will certainly be a win-win situation for owners and manufacturers alike.

There are certain process which one need to follow while going for car scrapping.

1. Informing RTO and preparing a bond (agreement on Stamp Paper) which states that this car is going to be off the road and will be scrapped. RTO will give you a receipt in writing. But in India, there is no fixed RTO process and varies from state to state . At some of the places If you go to RTO office to surrender the RC Book, you will have to allow for RTO inspection of the vehicle before scrapping. So you need to check with your RTO official about the scrapping process. Cartiff has defined its own car scrapping process.

Note: To the outstation registration vehicle (for example, your car is Registered in Delhi and your current location where you are going to scrap the car is Mumbai), then you may need to send a registered post with acknowledgement due to the RTO, informing that the vehicle has been sold for scrap.

Now you must be wondering what happen to Old Registration number of the vehicle

  1. Once RTO get the information about scrapping, after following their process, registration number is free to use by someone else, this is how one gets an old registration nos.
  2. Now you need to have some necessary documents which state that it is your car (it may be your Identity Proof, a copy of Residential address, RC copy, Insurance copy).
  3. You also need to inform to insurance company that car will be scrapped, if in case insurance is valid. Else, you don’t need to inform and it would not matter if any tax is due, insurance or emission check is expired.
  4. As mentioned in step 2, proof of ownership, identity proof and residence proof are required by scrap dealer so that he will get a “challan” from the union of scrap dealers to cut the  car. As he has to make sure that car belongs to you and it is not the stolen car. The police have enforced this to avoid stolen vehicles being scrapped.

The above stated procedure are basic steps which one has to follow before going to scrap the vehicle. After above process is in place you need to contact scrap dealer.

Scrap dealer physically inspect the car and then quote the price according to the Rs.in kg of iron. Usually the rate fluctuates somewhere between 15-25 Rs per KG. You can check model wise car scrap prices offered by cartiff. Once he takes the car he will segregate the parts to plastic, rubber, iron etc..

If you want, you can negotiate for the different parts of the car like tires, battery etc. That depends upon how is the condition of these parts. Generally in the open market battery dealers takes the old battery back at around Rs. 500 to Rs 1000. So you can check with scrap dealer or battery dealer for better deal. If the condition of tires are good, then you can also talk to scrap dealer about the same.

If in case you have fitted CNG kit to your car then it can be dealt separately with dealer and you can get good price of this depending upon the condition.

Precautions

One of the important part of scrapping your car is to check is your car really being scrapped by scrap dealer? As sometimes in the past, it happens that scrap dealer don’t really scrap the car and uses it for unlawful activities and you could get into trouble as the car is registered in your name.

Scrapping Process

If you wish to get car scrapped by a local car scrap dealer you must ensure following things.

1. Get the car scrapped in front of my eyes, take some pictures and also the part of chassis which had the chassis number embossed on it.
2.You can further ask a copy of scrap dealer’s license and voter id and write on it that the car is being purchased for purpose of scrapping. You can also get the same written on a stamp paper
(Scrap deal agreement).
3. You can keep these papers with you in case in future if any issue comes you can have some documents with you.

Or you can avoid all these worries and give your car for car scrapping to cartiff.

Cartiff deals in Following

This article was initially written by Ritu Doshi.

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