After witnessing steepest annual growth fall in over a decade in fiscal 2013, the domestic car industry started the new fiscal on much the same lines with most companies posting tepid sales.
India’s largest car maker Maruti Suzuki India posted a marginal 0.3% rise in domestic passenger vehicle sales in April to 90,523 units. Others failed to even stay in the black. The second-largest in the business, Hyundai Motor saw sales slide by 7.6%, while Toyota and Ford saw double digit decline.
“The market continues to be sluggish and is expected to take some time to revive,” said Sandeep Singh, COO, marketing and commercial, Toyota Kirloskar Motor India.
“We have taken measures to reduce inventory, both at our and at the dealers end.”
Unlike last fiscal, even the utility vehicle segment seems to be slowing down. The largest utility vehicle maker in the country Mahindra and Mahindra registered almost flat sales at 20,748 units, a far cry from the high double digit growth it is used to.
Only those with new launches in the recent past have found some traction in the market. “With new investments in Tapukar plant, launch of diesel engine technology, and rollout of new family sedan Amaze, we have set on a new phase of growth,” said Jnaneswar Sen, senior vice-president, marketing and sales, Honda Cars India Ltd.