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    Domestic car sales see 9.52 per cent growth in November

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    Venkat Desirazu

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    Domestic car sales see 9.52 per cent growth in November

    Domestic cars sales for November saw a growth of 9.52 per cent. A total of 1.56 lakh units were sold in November 2014 as compared to 1.42 lakh units in the corresponding period last year. SIAM, who released the numbers last week have attributed the growth to a variety of factors the most prominent of which was the news that the relief in excise duty would continue till December 31. 

    Other factors which have played into the growth include lowered fuel prices and a host of offers from various manufacturers in a bid to counter post-holiday season slowdown in buying. However and rather more importantly we must note that the most crucial factor in this year’s growth story is the positive change in consumer sentiments. This has, no doubt, been fueled by the change in leadership at the Centre and consequently them announcing an industry centric growth policy after taking office. 

    However, we must look at the bigger picture, which is that these are temporary measures in the face of a two year slump for the industry as a whole. Manufacturers are now believed to be proceeding month to month with caution and will take major decisions with regard to investments only once the Centre has announced the new Union Budget in 2015.

     

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