Queue jumping leads to rise in private imports

The number of privately imported vehicles has dramatically risen once again during February

The number of privately imported vehicles has dramatically risen once again during February. This rise comes on top of January's figures, which revealed a 500 per cent increase in the number of cars privately imported.

Last month there were 98 cars privately imported into Ireland. In February 2003, there were only 15 cars privately imported. This means that in the first two months of 2004,  244 privately imported cars were brought into Ireland - in the same period last year there were just 52.

Much of the increase can be credited to non-franchise dealers who are bypassing long customer waiting lists by sourcing cars from other countries, and then selling them on here.

In January, four marques - Audi, Mercedes-Benz, Toyota and BMW - saw the biggest upturn in private imports, mostly 4x4s. There were 29 Toyota Land Cruisers. In addition, of the 22 BMWs, the majority were from its 4x4 range of X5 SUVs.

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Of the 22 Mercedes, most were from the E-Class range, although there were some M-Class 4x4s.

The growing popularity of importing all-wheel-drive vehicles rather than joining a long waiting list is clear when figures are compared with 2003.

During January last year there were no new Land Cruisers privately imported, and only six new BMW X5s. But the rules governing private importing are clear: the vehicle must either be for the person importing it or, if it is to be sold on, there must be a confirmed end buyer already identified. If a franchise dealer from another EU country sells an unregistered vehicle for export to Ireland, it must ensure that there is an end buyer; otherwise it risks losing its franchise.

However, it appears that at least three British dealers may be breaching their agreements and selling vehicles to private Irish importers without satisfying themselves that there are already buyers waiting for the vehicles.

One Irish company that is acting as a private importer, Kanes of Granard, calls itself Ireland's largest 4x4 specialist, and yet does not hold any franchise. By speculating on what 4x4s will be in short supply in Ireland, Kanes then sources them from Britain. This practice is legal, but if there is no confirmed end buyer for those vehicles before Kanes orders them, then it is those British dealers who are breaching their franchise agreements.

These contractual implications are of little concern to buyers who are coming from throughout the country not, says Padraig Kane, because of cheap prices (they are not) but because the vehicles, which are unregistered and have only the delivery mileage on the clock, are already in stock and come with a British specification, which is generally of a higher standard. "There's no eight-to-10-month waiting period," he says. "If you have the money, you can drive away in a new jeep tomorrow."

As he points out, demand for Toyota's Land Cruiser is clearly outstripping official supply. But the Irish importer, Toyota Ireland, is allocated a fixed number of vehicles and that number is set by the manufacturer.

Such problems do not concern Padraig. "I am getting at least 100 calls a day from people looking for Toyotas and BMWs. It's their [the vehicle importers] own fault, they should bring in more vehicles."