Mahindra hike passenger car price by upto 2% from January 2014

Mahindra and Mahindra Ltd, leading automakers in India, selling a range of passenger and commercial vehicles which also includes high end and much in demand SUVs, have announced price increases from 1st January 2014. Prices of both passenger and commercial vehicles will be increased by 2%.

Mahindra has cited higher input costs, rising cost of raw materials and escalating freight charges as reasons for this price hike. Though they had felt the need to increase prices for some time, they had been delaying the announcement, which has now become unavoidable.

Mahindra_XUV500

Mahindra & Mahindra, headquartered in Mumbai, sells a host of sports utility vehicles which include Scorpio, Duster, XUV 500, Bolero and the Verito entry level sedan. M&M has been citing a slump in sales as it is continuously reporting negative growth in the Indian auto sector. To meet fiscal targets, the company is even offering benefits to the tune of INR 55,000 and INR 53,000 respectively on Verito and Verito Vibe. Currently Mahindra is also conducting road tests for their model year Scorpio and compact SUV, codenamed s101.

Till date leading automakers such as Tata Motors, Maruti Suzuki, Hyundai, Mercedes Benz, Audi, BMW, Honda and Renault have also announced a price hike which will come into effect from January 2014.