The auto market's trauma still prevails as statistics have revealed that domestic passenger car sales have dipped by 3.88 per cent in October 2013 as compared the corresponding period in 2012. Notably, 163199 units were sold as compared to 169788 units in the corresponding month of 2012. On the other hand, as per revelations made by Society of Indian Automobile Manufacturers (SIAM), bike sales have recorded a surge of 18.05 per cent. With respect to accumulated sale figures, sales for October 2013 stood at 1105103 units as against 936122 in 2012 (same month). If total two-wheeler sales are put into perspective, it grew by 18 per cent in October 2013. Total sales in October 2013 were 1516291 units as compared to 1285015 units in October 2012.
According to SIAM, the total sales figure of commercial vehicles saw a dip by 19.77 percent after registering sales of 53533 units from 66,722 in the year-ago period. SIAM also revealed that total sales of vehicles across various categories registered a growth of 12.56 per cent. Total units sold in October 2013 were 1858386 as against 1651028 units in same period of 2012.
There were relative wipes that the festive season will bring forth the much awaited cheer for car makers. But, against all hopes, there is only little festive cheer for car makers to feel happy about with domestic car sales declining by a marked margin of 3.88 per cent. Notably, the previous two months before October 2013 had sparked a positive growth. However, it has now been snapped to gloomy figures as the auto sector of India still find itself reeling under weak macro-economic conditions. Vishnu Mathur, SIAM Director-General reportedly expressed his concern, “We continue to see a decline in car sales. In today's economic scenario of high inflation and interest rates, the middle class (the major customers of cars) is the worst hit.” He, however, further added that the positive streak that was seen during the festive season has mainly came in due to an increased demand from rural market after a good monsoon season, resulting in some traction of small cars. Mathur also mentioned, “This is the only reason for the moderation in decline in car sales, otherwise the slide would have been much steeper.”
Notably, car sales in the country grew in August and September 2013, but then have plunged again. The market leader Maruti Suzuki, in October 2013 posted a marginal decline in domestic sales while rival Hyundai Motor India saw a marginal increase in sales. For Maruti Suzuki, the domestic sales stood at 79040 units while Hyundai posted sales of 35973 units.
SIAM in a statement said that the total utility vehicle sales in October 2013 had grown by 7.01 percent to 57,020 units as compared to 53,285 units in the corresponding month last year. Mathur said that new models like Ford EcoSport and Nissan Terrano are currently driving sales in the segment, which is a good indication. Mathur also expressed optimism about a possible recovery. He said, “If you look at the overall rate of decline in car sales this fiscal, it is gradually reducing. The rural demand is the bright spark but we don't know if this could be sustained.”
Contrary to passenger car sales, October 2013 has certainly brought some good news for motorcycle manufacturers, for the month saw posting of highest sales volume in a single month ever since SIAM took the official work of collating data in 1997-1998. The marked growth that has been sustained in October 2013 by the segment is on the back of a strong rural demand.
