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    Maruti Suzuki sales drop by 33 per cent in August

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    Nikhil Puthran

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    Maruti Suzuki sales drop by 33 per cent in August

    The Indian auto industry has been struggling to make profits this year. The country’s largest car manufacturer Maruti Suzuki is no exception and has witnessed a steep drop in sales of 32.7per cent with 1,06,413 units sold in August as against 1,58,189 units sold in the same period last year. Interestingly, the utility vehicle segment has witnessed a positive growth of 3.1 per cent in August 2019 as against the same period in 2018. This includes Ertiga, XL6, Vitara Brezza and the S-Cross

    The mid-size segment, featuring the Ciaz has witnessed the highest drop in sales of 77.2 per cent in August as against the same period in 2018. The Mini segment, which includes the Alto and the old Wagon-R has witnessed a 71.8 per cent drop in sales in August 2019. The Indian government has announced multiple incentives, one of which is reducing interest rate for automobiles. Additionally, the government has allowed the sale of BS4 vehicles till the 1 April 2020 deadline and the registration process will take anywhere between 24 to 48 hours. 

    Furthermore, in an effort to boost sales in the auto sector, the government has postponed its plans to hike the registration cost until June 2020. The government has also hiked the depreciation benefit on all vehicles from 15 to 30 per cent. The five-year ban on government purchases has been reversed and now allows its own departments to replace their old vehicles.

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