Vehicles sales in fast lane, rise 27% in April
Passenger vehicle retail sales rose 16 per cent to 3,35,123 units in April, as compared to 2,89,056 units in the same month last year
Retail sales of vehicles rose 27% year-onyear in April to over two million units at 22,06,070 as all segments, including passenger vehicles and two-wheelers, witnessed growth. In April 2023, the overall vehicle registrations stood at 17,40,649 units.
According to industry body Federation of Automobile Dealers Association (FADA), passenger vehicle retail sales rose 16 per cent to 3,35,123 units last month as compared to 2,89,056 units in the same month last year.
Similarly, two-wheeler registrations increased 33 per cent to 16,43,510 units in April against 12,33,763 units in the same month last year.
Commercial vehicle retail witnessed a 2 per cent year-on-year jump to 90,707 units in April.
Three-wheeler sales rose 9 per cent year-on-year to 80,105 units while tractors witnessed growth of 1 per cent at 56,625 units in April.
“While some attribute this growth to the shift in Navratri to April instead of March last year, the overall increase was significant,” the Federation of Automobile Dealers Associations (FADA) President Manish Raj Singhania said.
The higher sales could also be attributed to model availability and favourable market sentiments, particularly around festive events like Navratri, Gudi Padwa and Eid.
“Despite strong bookings and customer flow, high competition, excess supply and discounting presented challenges for sustained growth. Additionally, the lack of new models in some portfolios impacted market traction,” Singhania said.
The two-wheeler segment saw notable growth due to improved supply and the increasing demand for 125cc models, he said.
Positive market sentiments, bolstered by stable fuel prices, a favourable monsoon outlook, festive demand and the marriage season, contributed to the increase in sales, Singhania said.
In the commercial vehicle segment elections dampened sentiment with customers delaying expansion plans, he said.
Limited finance options and regional challenges such as water scarcity further impacted performance, he added.
(With inputs from PTI)