Doom period for auto sales

Society of Indian Automobile Manufactures ( SIAM) expressed its concern for continuous decline in auto sales since last sixth months.  As per the July data provided by the SIAM on Monday 12 August 2013, the auto industry produced a total of 1,729,002 vehicles including passenger vehicles, commercial vehicles, three wheelers and two wheelers in July 2013. The overall domestics sales during April-July is declined by ( -) 2.09 percent as compared to same period last year. Total production during July 2012 was 1,745,532.

If we look into the individual segments, the sales of Passenger Vehicles are declined by (-) 7.49 percent during April-July 2013 over the same period last year.  Within the Passenger Vehicles, passenger cars, utility vehicles and vans dropped by (-)9.73 percent, (-) 1.03 percent and (-)2.39 percent respectively  during April-July 2013 vis-à-vis last year during same period.

While addressing the media SIAM director General Vishnu Mathur said, “The reason of downfall in utility vehicles is due to increase in exercise duty.”  Same time, Mather added that it is a high time when  government should step in, and allow government purchase of vehicles for different departments,  which was somehow stopped last year.

Expressing the hope Mathur added upcoming festive should bring  much needed relief  in terms of sales from urban as well rural sector; however, complete turnaround is not possible, he added further.