Wednesday, November 02, 2011
By Pranjal Gera
Festive season notice a low in October; still some carmaker observe growth
In India every automobile manufacturer was betting on the festive season this October, in order to get rid of the continuous slowdown. The festive season and October month both are now history and it’s time for the assessment of sales made in the carnival. The final report reveals that the overall car sales in the auto sector saw a collapse to the lowest point this October in comparison to the same month in 2010; although some carmaker observed a strong growth.
The king of passenger cars in the country; Maruti Suzuki India (MSI) saw a huge dip in sales this October with 52% to 51,458 vehicles this year against the sale of 1,07,555 vehicles sold last year in the same period. The auto major was badly hit by the standoff of its workforce in its production unit at Manesar. MSI rolls out sedan SX4, Swift hatch, Swift Dzire and A-Star from this unit. MSI also lost its market share of more than 50% last year to nearly 40% in 2011.
The increasing fuel rates, rise in price of raw materials and components along with higher interest rates are to be blamed for downfall this festive season.
Coming to No.2 passenger carmaker Hyundai Motors India Ltd (HMIL), too tasted this bad phase with a decline of 5% with 33,001 cars sold this October besides 34,720 cars in the same month of 2010. HMIL offers Santro, Verna, i10, i20 and entry level Eon in its lineup.
Tata Motors recorded a minor up in sales with 3%. One of the major gainers this season was Toyota Kirloskar with 63%, which sold 10,762 cars in October in contrast to the last year sales of 6,602 in the same time. The major highlights were Etios sedan and Liva hatchback for the firm.
Ford Motors which banks upon its Figo, Fiesta and Endeavour also made an increase in sales with 12% in comparison to last year in October. Honda Siel; which holds major market share with its Sedans City and Civic, grew in sales by 5% this season against the sales last year in October.
Volkswagen reported maximum growth this season with 67%. It sold 7,266 cars in October this year as compared to 4,343 cars in 2010 in the same period. The company in India relies mainly on Vento and Polo.
Utility major Mahindra and Mahindra (M&M) posted a growth of 10% with 18,756 units sold in October as in opposition to 16,987 units in 2010. M&M has launched their Global SUV XUV500 in September.
The extreme decline was viewed by Fiat Motors with a downfall of 69% this festive season.