Ease of Vehicle Ownership Index (EVOI)

About Ease of Vehicle Ownership Index (EVOI)

• The ‘Ease of Vehicle Ownership Index (EVOI)’ ranks states and Union Territories on how easily a citizen or dealer can buy, sell and transfer a pre-owned vehicle.
• Released by: It has been released by IndiaTech.org in partnership with Consumer VOICE.
• Metrics: The report is based on the performances of states on six metrics:
  • Clarity and consistency of ownership transfer rules
  • Functional availability and reliability of online systems
  • Speed, predictability and procedural burden
  • Fee clarity, application tracking and grievance mechanism
  • Consumer protection, dealer support and trade infrastructure
  • Official fees versus actual all-in market cost of transfer
• States covered: The index covered 15 states including Andhra Pradesh, Kerala, Tamil Nadu, Delhi, Karnataka, Gujarat, Madhya Pradesh, Maharashtra, Telangana, Punjab, Rajasthan, Haryana, West Bengal, Bihar and Uttar Pradesh.
  • These states account for more than 85% of India’s organised used-car market.
• Findings of the Index:
  • Performance of the states: Andhra Pradesh is the leading state in terms of a smooth process involving used vehicle transactions.
    • Andhra Pradesh a score of 5.91 out of 10, followed by Kerala at 5.74 and Tamil Nadu at 4.58.
    • Delhi is at fourth place with 4.58 score out of 10.
    • Karnataka ranks fifth, followed by Gujarat, Madhya Pradesh, Maharashtra, Telangana, Punjab, Rajasthan and Haryana.
    • Uttar Pradesh came last at 2.47, just behind Bihar (2.51) and West Bengal (2.56).
    • None of the states crossed a score of six, showing that even the top performers do not have the entire ecosystem in place to help people buy and sell pre-owned vehicles.
    • Only two states achieved an overall score above 5.5, while eight states scored between 3.8-4.3, showing that most of them face similar structural challenges.
• Challenges highlighted by the report:
  • 28.1% of sellers received traffic challans or legal notices even after handing over their vehicles, indicating gaps in the transfer of ownership and associated liabilities.
    • 3. 39% of buyers and sellers reported that the Registration Certificate (RC) transfer was still pending after the vehicle sale.
      • The vehicle ownership transfer process remains cumbersome due to multiple manual procedures, including notarisation, vehicle inspection and departmental approvals, resulting in delays and additional costs.
  • According to the report, the cost is the weakest pillar in the pre-owned vehicle market. This is an area in which 12 out of 15 states scored below 3.5.
    • In 13 of the 15 states, applicants file online and are still asked to deliver physical copies to the RTO.
    • According to the report, India’s pre-owned vehicle market was valued at $36.4 billion in 2024-25 and is expected to grow to $73.5 billion in 2030. If this happens, the sale ratio of used and new vehicles will also increase from 1.3:1 to 1.7:1 by 2030.
    • The industry data also indicates that 60-65% of buyers in the pre-owned vehicle market are first-time car owners.
    • This suggests that affordability and lower upfront costs are enabling a new cohort of consumers to enter the vehicle ownership market.
  • The average selling price of a used car in India has moved from Rs 4.49 lakh in 2021 to Rs 5.47 lakh in 2025, while the average price of a new passenger vehicle has risen to approximately Rs 11.5 lakh in 2024.