New Delhi, Dec 8 (IANS) The festive season boosted India’s automobile retail sales by 29.32 per cent in November on a sequential basis, industry data showed on Tuesday.
However, sales remained in the red on a year-on-year basis.
The Federation of Automobile Dealers Associations data showed that vehicle registration in November rose to 18,27,990 units from 14,13,549 units sold in October.
Nevertheless, on a YoY basis, November retail sales declined by 19.29 per cent to 18,27,990 units from 22,64,947 units off-take during the like month of last year.
“Automobile industry has seen one of the best recovery rates since unlocking began as November continues to see positive momentum by growing 29.32 per cent on MoM basis,” FADA President Vinkesh Gulati said.
“On YoY basis, the negative slide continues with a degrowth of (-) 19.29 per cent.”
According to Gulati, the 42-days festive period saw good traction in the current pandemic hit world as overall degrowth of (-) 4.74 per cent was much less than expected.
“While registrations during Navratri were tepid, people came out in good numbers to purchase their dream vehicles during the Dhanteras-Diwali period,” Gulati said.
“Tractor segment continued to gallop ahead. The fear of pandemic leading to safer means of travel for the entire family saw good sales in passenger vehicles as it grew in double digits at 13.6 per cent.”
On a yearly comparison, passenger vehicles retail sales rose by 4.17 per cent to 2,91,001 units from 2,79,365 units off-take during the like month of last year.
Similarly, tractor sales grew by 8.47 per cent to 49,313 units from 45,462 units sold during November 2019.
In contrast, commercial vehicle sales decreased by (-) 31.22 per cent to 50,113 units from 72,863 units sold during the corresponding month of last year.
Likewise, two-wheeler sales degrew by 21.40 per cent to 14,13,378 units from 17,98,201 units sold during November 2019.
In its near outlook, FADA said: “With festive season now over, heavy rains in certain parts of the country leading to crop damage and pent-up demand almost negligible, demand revival now solely depends on exciting year end schemes. If the supply chain issues in PV segment is controlled, we may see continued growth in December.”
“FADA once again cautions 2W OEMs and dealers to keep a check on vehicle inventory as post festivals, demand may remain subdued.”