Auto Industry Witnessed 19% Growth In Retail Sales During Festive Season

(MENAFN- KNN India) New Delhi, Nov 29 (KNN) This festive season, automakers reported a 19 per cent growth in retail sales at 37.93 lakh units compared with 31.95 lakh units a year ago, according to a report in the Telegraph India.

The strong sales have provided some respite to the dealers amid growing concerns over high inventory levels.

As per reports, during the period, which starts from the first day of Navratri and ends 15 days after Dhanteras, passenger vehicle retail sales rose to 5.47 lakh units, up 10 per cent from 4.96 lakh units a year ago.

“While passenger vehicle sales remained muted till Navratri-Durga Puja with just a 4 per cent increase, sales picked up during Dhanteras-Diwali to close with a 10 per cent growth,” said Saharsh Damani, chief executive officer of the Federation of Automobile Dealers Associations (Fada).

Sports utility vehicles were the most sought-after segment. However, the inventory levels for passenger vehicles remain a significant concern as OEMs continue to push further dispatch, thus keeping the inventory rate near all-time high levels, the association said.

Three-wheeler sales also jumped 41 per cent and two-wheelers 21 per cent, while commercial vehicles reported 8 per cent growth during the period. Two-wheeler registrations rose to 28.9 lakh units from 23.9 lakh units a year ago, fuelled by rural demand. Commercial vehicle sales rose to 1.23 lakh units in the 42-day window.

Tractor sales fell 0.5 per cent, though it made a turnaround after reporting an 8.3 per cent drop during Navratri.

“This turnaround in tractors highlights the robust purchasing power in rural India,” Fada president Manish Raj Singhania said.

The low tractor sales can be attributed to the dent in monsoons this year, added Damani.

(KNN Bureau)


KNN India

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