Indian automobile retail sales as denoted by new registrations, across all categories, increased by 32 percent year on year in October driven by the rise in sales of passenger cars and two-wheelers during the festival month, according to a statement by the Federation of Automobile Dealers Association (FADA) on Thursday, November 7.
Two-wheeler retail sales increased by 36 percent and passenger vehicle sales rose by 32 percent in October, year on year.
Three-wheeler sales were up 11 percent, while sales of commercial vehicles increased by six percent and sales of tractors rose by three percent.
Analysts pointed out that, considering that sales as denoted by despatches from manufacturers to dealers during October were reported by companies in a low single-digit figure, the high growth in retail sales indicated that increased demand during the festival month of October was met from the existing inventories of dealers.
Vehicle purchases also traditionally indicate an increase during the wedding and festival season, and FADA anticipates that this will translate into strong sales in both in the two-wheeler and passenger vehicle segments in the near term.