Car sales in the country has not been too impressive in past couple of months. Interestingly, the automotive sector reported a decent rise in car sales in the month of November. As per reports by Society of Indian Automobile Manufacturers (SIAM), sales have reportedly grown by about 9.5% in November with 1,56,445 units instead of 1,42,849 units reported in the same month in the previous year. The rise in sales is stated to be a result of relief in excise duty and lower fuel prices.
Speaking more on the occasion, Vishnu Mathur. SIAM director general said, “Sales have grown in November as the overall sentiment has improved due to overall cost of ownership having come down with the lowering of fuel prices and benefits of reduced excise duty continuing.” Sources from the industry have also stated that relief in excise duty would be also be required post December along with a cut in interest rate would ensure that the benefits stay deep rooted.
Speaking more on the occasion, Mr. Mathur further added, “Hopefully, we are on a recovery path. If you want it deep-rooted, interest rate cut is required so that people sitting on the fence start buying. We hope that the government extends the excise duty relief till February, till the Budget.” Speaking about declining two wheeler sales, he added, “Motorcycle sales have been hit as rural sales have been impacted by weak monsoon. It is the scooter segment, which has been during the growth of two-wheeler segment.”
