Tata Motors, the country's largest automotive manufacturer, has decided to slash the retail prices of its sedan and hatchback range by up to Rs. 50,000 in the domestic passenger car sector. The latest price cut is perhaps a desperate bid on the auto major's part to counter the falling sales figures and share in the market. The post 2013-14 Union Budget slash in the retail values could be helpful for Tata Motors, in order to lure buyers towards its showrooms.
Tata Motors has also hiked the prices of its Sports Utility Vehicle (SUV) models range, following the 3 per cent increase in the excise duty as per the 2013-14 Union Budget. The company's utility vehicle product portfolio comprises the likes of Sumo Gold, Sumo Grande, Safari, Safari Storme and Aria, all of which will see an increase in retail costs by up to Rs. 35,000. The excise duty has been hiked from 27 per cent to 30 per cent in this year's Union Budget. However, if the aforementioned Tata models are purchased as a taxi or for other commercial purposes, will be exempted from the 3 per cent extra excise duty.
Coming to the company's hatchback range, the Tata Indica, Indica Vista and Manza models will be offered at slashed down prices (in the range between Rs. 29,000 to Rs. 50,000) to the domestic car enthusiasts. At present, the Indica eV2 model comes within a price band of Rs. 3.3 lakhs to Rs. 4.9 lakhs, whereas the Indica Vista is offered to Indian consumers within a price bracket of Rs. 4.1 lakhs to Rs. 6.9 lakhs in the country. The Tata Manza will also get easier on pockets by up to Rs. 50,000 and is available between Rs. 5.7 lakhs and Rs. 8.8 lakhs in the domestic market.