Falling interest rates and lower fuel prices have had a positive impact on the auto sector in India during the Navratra – Dusshera festive period. Many automakers confirm double digit growth in retail sales. These enhanced sales come after a period of three consecutive years of lower sales during the same period and hence the spurt makes automakers optimistic of this momentum continuing through Diwali.
Buoyed by new Maruti S-Cross, Maruti Suzuki posted a 10% increase in sales volumes during the 10 day period in question while inquiries also increased 25%, thanks to Baleno. Hyundai Motors also posted increased sales to the extent of 30% with the recently launched Creta being a popular buy. Hyundai Motors found increased demand for its Grand and Xcent models as well while Mahindra’s new TUV300 helped the company post 15% increase in sales.
Besides these automakers, Renault, Toyota and Tata Motors also reported increase in sales during the Navratra – Dusshera period. While this trend is expected to continue through Diwali in November, continued momentum post the festive period is also expected. The first nine months of 2015 have seen total passenger vehicle sales (dispatch) of 2.02 million units, up 6% YoY.
Besides four wheeler makers in the country, two wheeler manufacturers also reported a surge in festive sales. Hero MotoCorp sold over 4 lakh units in the 10 day festive period while Honda Motorcycle and Scooter India reported sales of over 3 lakh units. Things were not the same for Bajaj Auto with reports of flat sales but the company is optimistic of the upcoming festivities to bring in some better results.