Festive delight for the automobile industry!

By Vishakha Khemka

The month of October was a month of joy and celebration  because of the advent of the beautiful festival –Diwali.
Most Indian business communities begin the financial year on the first day of Diwali but this year the Automobile Manufacturers found all their hands in oil, when demand for cars and two wheelers rocketed up during the build up to Diwali, in the month of October 2010.

The Total two-wheeler sales increased by 50.4% and following its footsteps, three-wheeler sales rose by 25.3% and that of the commercial vehicles rose by 18.17% as per the data released by the Society of Indian Automobile Manufacturers (SIAM).

The buoyant season brought a smile to many faces and some alleged that easy financing, new launches and festivities were few of the many reasons behind this smile.

In the words of Mr. Vishnu Mathur [Director- General,(SIAM)]:

“October demand was good due to the festive season. Basic fundamentals of the industry remain strong. Interest rates continue to be favorable despite a marginal increase and there is a strong availability of financing. New model launches also helped increasing the excitement in the market and creating demand.” 

Along with the domestic sales the automobile exports also augmented by 30.5%. Export of three-wheeler’s rose 73.0% and that of the two-wheeler’s rose by 31.8%, making India a bright spot for the automobile market.

Indian carmakers maintained double-digit sales growth in October due to the robust demand and is expected to grow by 18-20 percent in the fiscal year that ends in March, boosting incomes and consumer spending.

Vehicle sales touched an all-time high this October enhancing the joyfulness of the people and adding a moment of bliss and ecstasy to the infinite, beautiful memories of their lives!