Since last two years the passenger car in India had been affected with worst sales numbers. One of reports released by Society of Indian Automobile Manufacturers earlier this year stated that, domestic car sales last year fell to 18,07,011 units as against 19,98,703 units noted in the previous year. To provide relief to the automotive industry, Indian finance minister had announced a reduction in excise duty sometime in mid February. The reduction wasn't exactly beneficial as passenger cars sales reported a fall of nearly 5% as compared to the year ended in March.
Tax cuts expected under the new government and economic expansion may act as key factors that can raise the car sales marginally in this fiscal year. Forecasting and referring to car and utility vehicle sales for the year ending on March 2015, Vikram Kirloskar, president of the Society of Indian Automobile Manufacturers (SIAM), said, "Not fancy (car sales) growth but hopefully some moderate growth because there has been some improvement in GDP numbers in recent months. Whichever government comes in...I am looking for stability in excise duty and some reduction in taxes. We are an over-taxed industry."
Abdul Majeed, auto expert and partner, PriceWaterhouse, "The sector is expected to bounce back to its growth momentum either in the last quarter of 2014 or most probably by first quarter of 2015. While there may not be a strong growth, the sector could witness a growth of 3% to 5% for the current fiscal year." On the other hand, sales for two wheelers reported growth of about 7.3% in fiscal year that ended on March 2014. The upcoming elections in the country will be the major deciding factor for not just the common public but also for automakers who have been struggling with sales number in the country.
via Business - Google News http://ift.tt/1iF2hXs
Put the internet to work for you.
No comments:
Post a Comment