Sales growth to remain positive, says industry body SIAM
Following three consecutive months of decline, sale of passenger vehicles in the country rose 1.55% in October to more than 2.84 lakh units, industry body SIAM said on Friday. The industry had sold more than 2.79 lakh units in the year-earlier month.
Sugato Sen, deputy director general, Society of Indian Automobile Manufacturers (SIAM), said that the passenger vehicle sales last month were as per expectations and going forward, the industry expected the sales growth to remain positive for the remaining part of the fiscal.
Passenger vehicles sales had declined by 2.71%, 2.46% and 5.61% in July, August and September, respectively. Mr. Sen pointed out that this was mainly due to high base from last year when there was a surge in demand following reduction in vehicle prices post-GST implementation.
In October, domestic car sales were almost flat at more than 1.85 lakh units against sales of more than 1.84 lakh units in the year-earlier month. Sales of utility vehicles stood at 82,414 units, up 3.90%. As per data released on Friday, during the April-October period, passenger vehicle sales rose 6.10% to more than 20.28 lakh units. Additionally, the sales of two-wheelers rose 17.23% in October 2018 to more than 20.53 lakh units, mainly driven by good demand for motorcycles from the rural market. While the scooter sales increased 12.5% to more than 6.43 lakh units, motorcycle sales rose 20.1% to more than 13.27 lakh units.
“There is a strong demand coming from rural markets for motorcycles which is driving the sales growth to a large extent,” Mr. Sen said. For the April-October period, the two-wheeler sales stood at 1.36 crore units, a growth of 11% year-on-year.
Commercial vehicles continued to see good demand with sales rising 24.82% to 87,147 units during the month under review. The sales of light commercial vehicles increased 29% to 56,315 units and those of medium and heavy commercial vehicles were up 17.76% to 30,832 units.
Overall, total vehicles sales registered a growth of 15.33% to more than 24.94 lakh units in October, while the sales for April-October period rose 11.64% to more than 1.66 crore units.
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