KARACHI, Jan 24: Car assemblers ruled out any big impact on their production plans in the aftermath of the devastating blaze in a multinational paint factory in Site area. Some said that that they would take bulk of car paint supplies from other companies mainly ICI Pakistan and they had sufficient stocks in hand to cope with any crisis situation.

However, the motorcycle manufacturers are likely to face problems as majority of them purchase paint from Berger Paints.

A Japanese bike assembler said that the company met its 100 per cent paint requirement from Berger. “We are in touch with the Berger Management regarding future supply of paints,” he said adding that there would be no instant impact on bike production as the company has sufficient stocks.

He pointed out that many companies maintained huge stocks of both raw material and finished products at least for a month in view of country’s volatile political and economic situation, he added.

In the household segment Berger enjoys 60 per cent of the market, an official in the company claimed on condition of anonymity. He said that the car producers might not face any serious problem as ICI enjoyed major share in car paints supplies.

He, however, said that there might be some problems for the bike assemblers. The Berger official further said that the company had prepared a contingency plan to handle the crisis situation in order to ensure uninterrupted supply of household and industrial paints in the market. He added that the company planned to bridge the gap between demand and supply from its plant in Lahore.

An office-bearer of the Pakistan Paint Manufacturers Association (PPMA) said that the market might have a little effect but he ruled out any big impact on the market despite Berger’s over 50 per cent share in household segment.

The car industry has already been facing slowdown in production since November 2007 owing to the consumers’ shakeup in buying confidence after the imposition of emergency, October 18 carnage, and killing of Benazir Bhutto.

Shafiq Ahmed Khan, the official spokesman of Pak Suzuki Motor Company Limited (PSMCL) said that there would be no problem in the manufacturing of cars and other vehicles as the company procured bulk of paint requirements from different companies.

However, Berger paint is used mainly in the manufacturing of Suzuki Motorcycles for which there is currently no immediate problem in sight owing to stocks in hands, he said.

An executive in Indus Motor Company (IMC), who asked not to be named, said that out of eight colours the company purchased just two from Berger Paints. The IMC produces Toyota Corolla, LCVs and Daihatsu Cuore cars. “There will be no big impact on the company’s production plans as it has enough stocks,” he added.

An executive in Atlas Group of Companies, maker of Honda cars and the two-wheelers, revealed on condition of anonymity that the company would not feel the pinch of the blaze in the paint factory as it bought car and motorcycle paints mainly from ICI, Pakistan.In heavy vehicles manufacturing segment, director Sales and Marketing Hinopak Motors Limited Mohammad Irfan Shaikh said that the company purchased only five per cent of its paint requirements from Berger while the bulk supplies were from ICI.

Director Marketing Afzal Motors Limited Mohammad Tahir Jawed said that currently the company had been buying paint for buses and trucks from ICI for the last six months so there would be no impact on the production.