The Hindu Business Line : Auto sales rise marginally in April-Sept

New Delhi, Oct 13 The pre-festival season sales for the automobile industry show most segments recording a marginal increase in September. Passenger car sales were up by just over two per cent to 1.08 lakh units as discounts and financing options did not entice customers during the inauspicious period of Shradh.

The slowdown in manufacturing and the difficulty in obtaining credit reflected the sharpest in sales in the medium and heavy commercial vehicle category, which fell by 12.51 per cent to 20,909 units. The only category that continued to move at a fast pace was light commercial vehicles whose September sales were up 13 per cent at 21,789 units fuelled by intra city movement of goods. Motorcycles sales jumped 15.22 per cent to 6.32 lakh units and scooter sales rose 9.37 per cent to 1.04 lakh units.

PASSENGER VEHICLE UP

For the first half of the fiscal, domestic passenger vehicles sales remained marginally high, according to data released by the Society of Indian Automobile Manufacturers (SIAM) on Monday. Car sales in April-September recorded a 5.39 per cent increase at over six lakhs units despite the increase in interest rates on auto loans and commodity prices which kept many consumers away from buying vehicles.

Maruti Suzuki sold 3.07 lakh units, reporting a 4.8 per cent increase as compared to the same period last year. The company sustained sales mainly reaping the success of its premium sedan SX4 and newly launched model Swift Dzire. Hyundai, the second largest player in the segment, stepped up on sales by 29 per cent selling 1.26 lakh units.

NOT A SMOOTH DRIVE

For others such as Tata Motors and Honda Siel, it wasn’t a smooth journey.

Tata Motors, which recently launched models such as Indigo and Indica Vista, recorded a 7 per cent drop in sales to 76,245 units. Similarly, premium car maker, Honda Siel Cars too witnessed a drop of 19 per cent even with the launch of its new Accord and Hybrid City.

The sales of commercial vehicles during April-September remained challenging as medium and heavy commercial vehicle declined marginally 1.57 per cent at 1.15 lakh units. As banks remained cautious in lending and credit became difficult to obtain, the demand of heavy commercial vehicles reduced. In contrast, light commercial vehicles recorded a robust 10 per cent growth at 1.06 lakh units.

Taking advantage of last year’s low volume base, two wheeler sales remained on a healthy track. Scooters sales grew 7.24 per cent at 5.6 lakh units and motorcycle were up 12 per cent at 30.63 lakh units.