Car sales fall 20% in March despite record discounts - Economic Times

MUMBAI: After a free fall in February, car sales in India for the month of March hit another record low, leading to the overall car sales moving into a negative territory for the entire fiscal, the first in a decade. Passenger car sales for March fell over 20% led by an across-theboard sharp decline posted by leading carmakers that included Maruti Suzuki, Hyundai India, Tata Motors and Volkswagen, among others. The prevalent glum macroeconomic environment, uncertain fuel prices and rising interest rates have taken a toll, constraining customers to defer car purchases. The offtake has remained low despite historic high discounts of over 10% to 15%. With no positive stimulus on the horizon, industry players expect the tough times to continue in the first half of current fiscal year too. Umesh Karne, auto analyst, BRICS Securities, said: "The year started on a decent note, the prolonged slowdown and no positive stimulus led to all segments of passenger vehicles, two-wheelers and truck posting lowest growth seen in the last four-five years." The decline is steeper on account of large base of March last year, which saw the highest ever sales for the passenger vehicles due to festive season in some parts of the country and delayed budget leading to people advancing the purchase due to fear of price hike post-budget. Analysts forecast a single-digit growth of passenger vehicle market, with things likely to take off in the second half. "While the first half will face demand pressure, we are hoping for sales gathering speed in the second half. What we are seeing right now is deferment of purchase, once there is a positive news on the horizon, we expect growth rate to take off again," added Karne. Download ET's mobile applications for iPad, iPhone, Android, BlackBerry, Nokia and Windows Phone to track news as it happens, live stock quotes, monitor portfolio, get market stats like gainers, losers and movers & much more. To check out free Economic Times apps , Click here The prevalent glum macroeconomic environment and uncertain fuel prices have taken a toll constraining customers to defer car purchases. via Business - Google News http://news.google.com/news/url?sa=t&fd=R&usg=AFQjCNF2DQbHyxOtWRf9IGM8DpnHf94EXw&url=http://economictimes.indiatimes.com/news/news-by-industry/auto/automobiles/car-sales-fall-20-in-march-despite-record-discounts/articleshow/19334696.cms

Put the internet to work for you. via Personal Recipe 2910127