The ongoing credit crisis has not brought any good news since a long time for the car makers in India and abroad. Car makers in India had been badly hit with rising fuel prices, escalating interest rates and climbing input costs. The Indian economy had been spelling out one bad news after the other which has been keeping the car buyers away from the market. Car makers have seen a substantial decline in the car sales as well as decline in demand for new cars. Inventory has been rising since past few months and dealers are also under pressure as they have to narrow down their profit margins by carrying their inventory.
Now car exporters see a silver lining in the grey over cast. The weakening rupee has brought some smile on faces of car exporters of India. Export prospects for small cars being manufactured in India have lit up. This has made the companies to revise their exports targets and explore new markets. Rupee has depreciated from Rs. 40 to Rs 46 in the current fiscal year.
Car exporters like Hyundai and Maruti Suzuki have some reasons to rejoice now. Hyundai is already planning to revise its exports targets and correct its books by exporting more cars to overseas markets. "Earlier we had set an export target of 2.12 lakh units for the current fiscal. We have revised it to 2.6 lakh units," said Arvind Saxena, Senior Vice President, (Marketing and Sales), Hyundai Motor India Limited.
