The Government has taken drastic steps in a bid to stamp
out illegal practices in the local used car sector.
Minister of Commerce, Karl Samuda, has suspended the granting of new licences for used car dealers.
The Consumer Affairs Commission has been directed to conduct an audit of all certified used car dealers over the next two weeks.
Additionally, the Commerce Minister has instructed that no new import licences be issued for over-aged vehicles, unless specific approval is granted by his Ministry.
A statement issued on Wednesday night by the Commerce Ministry said Mr. Samuda's directive followed a meeting with stakeholders in the used car industry and the Ministry's Motor Vehicle Committee.
The Minister has also instructed that no import licences be granted to dealers who shipped over-aged vehicles prior to receiving licences.
Another directive stipulates that any request to amend the chassis number on any import licence for over-aged vehicles will not be permitted, unless approval is granted by the Commerce Minister.
The announcement comes just weeks after the Directors of the Trade Board and the Trade Administrator were asked to resign.
The officials were sent packing after it was discovered that several breaches of the Motor Vehicle Import Policy had been committed.
It was revealed that licences were granted for the importation of vehicles outside the age limit and preferential treatment was being given to some car dealers.
And the Jamaica Used Car Dealers Association says it agrees with the directives issued by the Commerce Minister.
President of the Association, Kenneth Shaw, says the measures will streamline the auto industry which has been hit hard by the downturn in the economy.
Mr. Shaw adds that they will also help to weed out unscrupulous car dealers from the sector.
"With this in mind what they plan to do is have the system totally streamlined and those who run afoul of the law with their tax obligations and start a new company they will not be able to do that, they will have to continue under the existing company or close the operations down,"
"There will be no window through which they could certify another company and continue operating," said Mr. Shaw.
There are currently 120 used car dealers in Jamaica.
Minister of Commerce, Karl Samuda, has suspended the granting of new licences for used car dealers.
The Consumer Affairs Commission has been directed to conduct an audit of all certified used car dealers over the next two weeks.
Additionally, the Commerce Minister has instructed that no new import licences be issued for over-aged vehicles, unless specific approval is granted by his Ministry.
A statement issued on Wednesday night by the Commerce Ministry said Mr. Samuda's directive followed a meeting with stakeholders in the used car industry and the Ministry's Motor Vehicle Committee.
The Minister has also instructed that no import licences be granted to dealers who shipped over-aged vehicles prior to receiving licences.
Another directive stipulates that any request to amend the chassis number on any import licence for over-aged vehicles will not be permitted, unless approval is granted by the Commerce Minister.
The announcement comes just weeks after the Directors of the Trade Board and the Trade Administrator were asked to resign.
The officials were sent packing after it was discovered that several breaches of the Motor Vehicle Import Policy had been committed.
It was revealed that licences were granted for the importation of vehicles outside the age limit and preferential treatment was being given to some car dealers.
And the Jamaica Used Car Dealers Association says it agrees with the directives issued by the Commerce Minister.
President of the Association, Kenneth Shaw, says the measures will streamline the auto industry which has been hit hard by the downturn in the economy.
Mr. Shaw adds that they will also help to weed out unscrupulous car dealers from the sector.
"With this in mind what they plan to do is have the system totally streamlined and those who run afoul of the law with their tax obligations and start a new company they will not be able to do that, they will have to continue under the existing company or close the operations down,"
"There will be no window through which they could certify another company and continue operating," said Mr. Shaw.
There are currently 120 used car dealers in Jamaica.