The general inflationary trend, high fuel prices and interest rates, which have an impact on sentiment, are seen as challenges.
Car companies reported better than expected sales in October. The largest car maker Maruti Suzuki recorded a 94 per cent jump in car sales during the month over the same month last year. However, its sales in October 2011 were down by a little over a half because of labour problem at its plants, which hit production.
In October 2012, Maruti Suzuki sold 79,811 cars against 41,192 in the same month last year. Its total domestic sales, including utility vehicles and vans, were up 87 per cent at 96,002 units.
With exports, sales crossed the one lakh mark to touch 1,03,108 units, an 85 per cent jump.
Hyundai Motor India sold eight per cent more vehicles in the domestic market, at 35,778 while exports were up 50 per cent at 23,007 units. Total sales for October were up 21 per cent.
Mahindra & Mahindra reported a 44 per cent increase in passenger vehicles at 26,932 units, while its total vehicles sales including commercial vehicles increased to 53,438 units, a 29 per cent growth over October 2011.
“The festivals brought in positive growth in domestic sales with resurgence in petrol variants. All models showed a growth especially with strong demand of Eon and Elantra,” Rakesh Srivastava, Vice-President- Marketing and Sales, HMIL, said.
The challenge, he said, would be to convert customer interest into sales as the general inflationary trend, high fuel prices and interest rates were affecting sentiment.
Tata Motors’ total sales (including exports) including commercial and passenger vehicles in October were 71,771 vehicles, up by 6 per cent, over October 2011. Honda Cars India registered a 46 per cent increase to 8,085 units against 5,526 units sold in the same period last year.
Toyota Kirloskar Motor sold 12,281 units in the month, up 14 per cent compared to 10,762 units in the corresponding month last year.
Nissan India’s sales were down by 38 per cent to 1,862 units, compared to 2,990 units in 2011.
Ford India sold a total of 10,948 units compared to 10,906 units in October 2011. General Motors India’s sales were down 49 per cent at 6,754 units against 10,062 units sold in same period last year.
Renault India sold 6,790 units. In October last year, it sold only 173 units with two products.
German luxury car manufacturer Audi sold 850 units compared to 482 units in October 2011.
In the two-wheeler category, Hero MotoCorp reported its highest-ever sales with 5,29,215 units during the month compared to 5,12,238 units in same month previous year.
India Yamaha Motor sold 49,522 units, up five per cent to 47,240 units sold in October 2011.
Honda Motorcycles and Scooters India reported a 28 per cent increase to 250,606 units.
TVS Motor Company reported four per cent growth in sales with total sales of 190,438 units across all categories including two- and three-wheelers (domestic plus exports).
In the commercial vehicles segment, VE Commercial Vehicles Ltd sold 3,945 (domestic plus exports) units of its Eicher brand of trucks and buses, down 6 per cent.