Ujjain sops drag down Indore RTO revenue

Indore: Madhya Pradesh's commercial capital Indore, that consistently earned the tag of the highest revenue-generating district in the state, and its regional transport office that has long been the benchmark for vehicle registration numbers is staring at a shortfall of 32% in its annual target this year. The culprit? A vehicle fair in the neighbouring city of Ujjain, CM Mohan Yadav's hometown just 55 kilometres away.With barely a week left in the financial year, Indore RTO is staring at a significant shortfall — having collected only 68% of its Rs 1,174 crore annual target.Ujjain is quietly rewriting the rules of automobile retail across the entire state with the govt sops on taxes to promote the fair. A 50% rebate on lifetime road tax on a high-value vehicle can translate into savings of several lakh rupees. For buyers willing to drive an hour to Ujjain, the incentive is hard to ignore as it helps save hundreds of thousand Rupees for high-end vehicle buyers.The Ujjain Vikram Vyapar Mela — part of the larger Vikramotsav cultural festival celebrating the legacy of Emperor Vikramaditya — was first held as a vehicle trade fair in 2024 after Yadav came to power from near political anonymity.From the outset, its central attraction has been a state govt-sanctioned 50% rebate on lifetime road tax for vehicles, applicable exclusively on registrations made at the Ujjain RTO during the fair period.In 2024, the fair recorded sales of 23,705 vehicles. In 2025, the number climbed to 36,225, generating revenue of Rs 186.58 crore for the govt — with an equivalent amount passed on as discount to buyers.This year, the numbers have climbed further still. According to Ujjain RTO Santosh Malviya, the fair has already recorded 32,000 vehicle registrations in 2026 alone and is set to run until March 29.Since its inception, the Vikram Vyapar Mela has collectively seen the sale of approximately 95,000 vehicles, generating Rs 400 crore in revenue for Ujjain. RTO officials believe that this year's fair will break all records set in previous editions. "Around 80% of the vehicles at the fair are bought by customers coming from nearby districts like Indore," Malviya said — a statistic that explains the distress being felt at the Indore RTO.Indore typically registers over 13,000 vehicles a month. In March, that number plummeted to just 7,288 — barely half the usual volume, and the month is nearly over.The revenue trajectory puts Indore RTO in bad light. Indore collected Rs 92.91 crore in January, which fell sharply to Rs 49.70 crore in February, and stands at a mere Rs 26.27 crore so far in March.Compare that to October 2025, when Indore posted a record-breaking Rs 127.82 crore — its best-ever single month — riding the Diwali buying wave. That peak now feels distant. At the current pace, Indore may fail to match even last year's total collection of Rs 866 crore.The registration of vehicles from brands like BMW, Mercedes-Benz, and Jaguar at the Vikram Vyapar Mela reflects the fair's growing pull among premium car buyers.More so when high-end buyers associate Ujjain's registrations starting with ‘MP13..' With CM Yadav's home ground. So is the public perception. "Vehicles bearing Ujjain registration numbers catch the eye of the people nowadays," said Purshottam Rathore, owner of a new hatchback car.This is especially true in neighbouring Indore, where the RTO has faced the major brunt, financially. Once the customer agrees or grabs the relief, the auto dealers, who have registered themselves with Ujjain RTO, deliver the new rides in the buyers' home town, albeit with an Ujjain registration — a perk of dealer-point registration norm implemented in MP.With all legalities covered, the regional transport officials are split between ‘meeting target' and ‘questioning reasons for the shortfall'.