Bharat NCAP Safety Ratings: How India's First Crash Test Program Will Influence Car Sales?

The Indian government has launched the Bharat New Car Assessment Programme (Bharat NCAP) aiding in enhancing road safety campaigns in India. However, besides being a significant step toward improving road safety, the programme will have a multi-pronged impact on the Indian car market. For one, it will help in developing a safety-sensitive market in the nation and consequently, will have a major impact on car sales. Here we explain how the relationship of the automotive industry with the consumers will transform under the umbrella of the Bharat NCAP program.

What is Bharat NCAP?

The Bharat NCAP program is the first crash test program in India that allows automakers to voluntarily submit their vehicles for testing in accordance with AIS 197. The cars will be rated considering Adult Occupants (AOP), Child Occupants (COP), and Fitment of Safety Assist Technologies after multiple tests. Potential automobile buyers can use a safety rating in the form of stars to evaluate the safety features of various vehicles and, as a result, make an informed buying decision.

Also read: Opinion: All Eyes On Maruti Suzuki As Govt Launches Bharat NCAP Safety Ratings

Why is Bharat NCAP Important in India?

India stands out as one of the most concerning nations in terms of global road accident casualties. In the country, traffic-related accidents claim the lives of more than 1.3 million people each year. Notably, these deaths account for 11 percent of such fatal traffic accidents globally. The Bharat NCAP will empower Indian consumers by aiding them to make an informed selection based on star ratings.

How will Bharat NCAP impact car sales in India?

Living in a world of constant growth, the preferences of consumers in India have changed over time. As per a survey, commissioned by Skoda Auto India and conducted by NIQ BASES, nine out of 10 consumers want all cars in India to have a safety rating. Furthermore, the study found that crash rating and the number of airbags were among the top priorities influencing the decision to purchase a car. Specifically, among all the aspects car safety ratings got a 22.3 percent importance rate while airbags got a 21.6 percent importance rate.

Consumers in India may start gravitating toward cars with higher star ratings as a result of the existence of an indigenous organisation to evaluate safety ratings. Furthermore, this can also affect the monthly sales volume depending on the safety of a particular model.