Retail sales of tractors and passenger vehicles (PVs) grew 48.7 per cent and 13.6 per cent, respectively, year-on-year (YoY), this festival season, said the Federation of Automobile Dealers Associations (FADA), on Tuesday.
However, a significant decline in two-wheeler (2W), commercial vehicle (CV) and three-wheeler registrations (3W), by 6.31 per cent, 22.29 per cent and 60.27 per cent, respectively, pulled down overall registrations by 4.74 per cent during the 42-day festival period, it said.
FADA further cautioned that with the festival season coming to a close, demand revival will now solely depend on year-end schemes; it therefore urged manufacturers and dealers to keep a check on inventory.
Festival period sales
In the 2020 festival season, PV registrations grew 13.6 per cent YoY to 4,31,597 units, compared with 3,79,924 units in the corresponding period last year. Tractor registrations grew around 49 per cent YoY to 73,003 units (49,094 units).
However, 2W registrations declined to 19,06,490 units (20,34,999 units) while those of 3Ws slumped to 34,328 units (86,394 units). Registration of CVs declined to 69,838 units (89,869 units).
“While registrations during Navratri were tepid, a good number of people purchased their dream vehicles during the Dhanteras-Diwali period. The tractor segment continued to gallop ahead,” said Vinkesh Gulati, President, FADA. Covid fears leading to a demand for safer means of travel saw PV sales grow 13.6 per cent, he added.
New launches, especially of compact SUVs, continued to help the PV segment. “The focus in 2Ws continued its shift from 100cc to 125cc-and-above category due to good harvesting coupled with Dhanteras-Diwali and marriage season,” he said.
November sales
On a monthly basis, PV registrations grew YoY to 2,91,001 units in November (2,79,365 units). Tractor registrations also grew, to 49,313 units (45,462 units).
However, 2W registrations declined to 14,13,378 units (17,98,201 units). Registration of 3Ws and CV also declined, to 24,185 units (69,056 units) and 50,113 units (72,863 units), respectively.
But, on a sequential basis, 2W, 3W and PV registrations grew in November from October this year. While 2W registrations were recorded at 10,41,682 units in October 2020, those of PV stood at 2,49,682 units. However, tractor registrations declined from the October levels of 55,146 units.