Thursday, September 05, 2013
By Kamal Swami
Toyota to hike prices of Camry Hybrid and Fortuner by 1 percent
Regular decline in value of money has not only shattered Indian economy to great extent but as an impact of this every industry is finding it difficult to meet to their regular profit. An automobile industry is not an exception to it, in-fact auto industry is facing twin attack of this problem because at one side cost of production is increasing on the other side due to regular hike in prices of fuel people are focusing on vehicles which are fuel efficient. To overcome this problem various renowned companies have increased the prices of their vehicles during last few months. Following the same trend Japanese auto giant Toyota Motors has decided to increase the prices of its existing models of its Camry Hybrid and Toyota Fortuner in Indian car market. It is reported that Toyota Kirloskar, Indian division of this auto giant is going to increase the prices of this sedan and Sports Utility Vehicle up-to 1 percent in coming days.
According to experts of auto industry there are various reasons due to which auto makers from overseas are hiking the prices of their vehicles, this is mainly due to overcome their cost of production. Although they have their production units located in India but still they have to import raw materials from their own country and other countries which increases their production cost. Apart from this there are various companies who are bringing their vehicles in India through completely built units which increase the cost of vehicle.
As far as the manufacture of Hybrid and Fortuner is concerned Toyota has to import their parts from other countries which increase their cost of production because Toyota Kirloskar first assembles their parts in its production unit and unites them. With an announcement of 1% increases on these vehicles means that now Fortuner will be sold Rs.22,000 higher than the existing price and for buying Camry Hybrid buyers will have now to pay high price varying between Rs.25,000 and Rs.28,000 depending upon its variants.