Hyderabad, Feb. 1: It’s turning out to be a happy new year for Indian automakers as one company after other announces reco-rd sales numbers.
India’s top car maker Maruti sold 95,649 vehicles in January 2010, the highest ever. Utility vehicle maker Mahindra & Mahindra has also recorded its highest every vehicle sales in a single month with 28,988 vehicles sold.
A combination of government’s fiscal stimulus, low interest rates and economic recovery have pushed up automobile sales sharply above the last year’s figures. Maruti’s closest rival, Hy-undai, sold 52,635 cars for the month, up 42 per cent. General Motors sold 9,421 units in January 2010 aga-inst 3,937 units in January 2009. Says Hyundai spoke-sperson, "Stimulus is still showing its impact. In addition, i10 and i20 has been doing reasonably well."
However, analysts chose to differ. Ms Vaishali Jajjo, an auto analyst with Angel Broking, says, "Usually sales are better in the new year. However, other reasons could be the fear in the minds of customers that Centre may withdraw excise duty cuts in the upcoming Budget and a hike of one per cent in interest rate by the RBI, which could lead to increase in loan rates in near future. So, this trend is expected to continue till Budget."
Betting on the brisk sales since Diwali, car makers are planning to increase its network and ramp up their production capacity. Hyundai plans to increase its dealer network from 200 to 320 by year-end.
The company also hinted at new product launches but refused to share details.
General Motors in a statement said the company will increase the production by adding the third shift at the Halol plant and second shift at Talegaon plant to meet the increased demands for its products.
Detroit-based carmaker also plans to expand its sales and servicing section from 204 to 300 outlets across the country.
Age Correspondent