Vehicle Sales Report: A report released today by the Federation of Automobile Dealers Associations (FADA) states that the two wheelers segment witnessed year-on-year growth in the last financial year, but it is still much lower than the pre-Covid pandemic figures .
How much is the shortfall?
FADA President Manish Raj Singhania said that, “The 2-wheeler segment in India has registered a growth of 12% YoY, but it is 9% less than before Covid. At present, inflation in India remains under pressure.” It will be interesting to watch segments like two-wheelers and tractors in the coming months, as the Indian Meteorological Department has predicted above normal temperatures from April to June over most parts of India, except for the northwest and peninsular regions. </ p>
What did Maruti say?
Sales increased in March
Commenting on the March 2023 performance, FADA President Manish Raj Singhania said, “The sales for March 2023 registered a year-on-year growth of 14%. Except for tractors, all other categories have seen growth. Two wheelers, three wheelers, passenger vehicles and commercial vehicles saw a growth of 12%, 69%, 14% and 10% respectively, however, tractors saw a growth of only 4%.
Tractor sales down
Fada said that, “Two-wheeler sales fell to a seven-year low in FY23 and tractors saw the slowest growth in sales, showing the adverse effects of inflation on rural India. Select segments like two wheelers and tractors will have to be monitored in the coming months.”