Honda dealers have reduced prices of Honda Jazz model by Rs 40,000 to clear stocks of 2009 models. The dealers are also offering attractive interest rates on loans to their customers to purchase the car. Honda Jazz is currently sold between a price range of Rs. 6.98 lakhs and Rs. 7.33 lakhs. The model has not really been one of the best selling models for the company and sales of the model had not been very impressive either last month.

Honda produced 1066 models of Jazz in December 2009 but managed to sell only 269 units so far. Now Honda dealers are offering a discount as well as an interest rate of 5.8 percent on loans for the car. When asked about the price cut, Honda commented that the discount on Jazz is an initiative by the dealers but the company has no plans to reduce the prices of the model.

On the other hand, Honda is planning to launch its new small car in India in 2011. It recently unveiled its small car at the Delhi Auto Expo 2010. India will be the lead country for its small car and the model will be exported to Nepal and Bhutan as well. “We do not have plans to export the cars to other countries,” said Honda Siel India’s vice-president (marketing) Jnaneshwar Sen. Meanwhile, Honda City continues to be the best selling model for the company in India.