Domestic car sales dip 4%, bikes up 18% in Oct
According to the data released by the Society of Indian Automobile Manufacturers (SIAM), motorcycle sales in last month grew by 18.05 percent to 11,05,103 units from 9,36,122 in the same month previous year.
November 12, 2013 / 20:26 IST
Domestic passenger car sales declined by 3.88 percent to 1,63,199 units in October this year compared to 1,69,788 in the same month of 2012.
According to the data released by the Society of Indian Automobile Manufacturers (SIAM), motorcycle sales in last month grew by 18.05 percent to 11,05,103 units from 9,36,122 in the same month previous year.Total two-wheeler sales in October 2013 grew by 18 percent to 15,16,291 units from 12,85,015 in the same period of previous year. Total sales of commercial vehicles were down by 19.77 percent to 53,533 units from 66,722 in the year-ago period, SIAM said.Also read: Both Tim Cook and I believe Apple is undervalued, says IcahnTotal sale of vehicles across categories registered a growth of 12.56 percent to 18,58,386 units in October 2013 as against 16,51,028 units in the same month of 2012, it added. There was little festive cheer for car makers in October with domestic sales declining by 3.88 percent, snapping a two-month streak of positive growth as the sector continue to reel under weak macro-economic conditions.
Motorcycle manufacturers, however, had reasons to celebrate in October, posting the highest sales volume in a single month since industry body SIAM started collating data in 1997-1998, riding on strong rural demand.
According to figures released by the Society of Indian Automobile Manufacturers (SIAM), domestic passenger car sales in October stood at 1,63,199 units as against 1,69,788 in the same month last year.
"We continue to see a decline in car sales. In today's economic scenario of high inflation and interest rates, the middle class (the major customers of cars) is the worst hit," SIAM Director-General Vishnu Mathur told reporters here.He, however, said the positive spark during the festive season was the demand coming from the rural market following a good monsoon, which resulted in some traction of small cars. "This is the only reason for the moderation in decline in car sales, otherwise the slide would have been much steeper," he added.Car sales in India declined for a record nine months till July this year but grew in August and September. In October, market leader Maruti Suzuki India posted a marginal decline in domestic sales at 79,040 units, while rival Hyundai Motor India saw its sales grow marginally to 35,973 units.Homegrown auto major Tata Motors' domestic passenger car sales crashed by 33.44 percent to 10,944 units in October. Mahindra and Mahindra saw its utility vehicle sales down by 13.18 percent to 22,034 units during the month.
SIAM said total utility vehicle sales in October grew by 7.01 percent to 57,020 units as against 53,285 units in the same month last year. Mathur said new models like Ford EcoSport and Nissan Terrano are driving sales in the segment.Expressing optimism that there could be some recovery, Mathur said: "If you look at the overall rate of decline in car sales this fiscal, it is gradually reducing. The rural demand is the bright spark but we don't know if this could be sustained." Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
