Indian passenger vehicle sales passed the million unit mark in fiscal year 2003/04 for the first time, as robust gross domestic product growth and low interest rates fuelled demand.
According to Reuters, the Society of Indian Automobile Manufacturers said in a statement on Friday that sales of passenger vehicles rose 32.2% to 1.03 million in 2003/04 (April-March), up from 779,203 in the previous year, though this includes exports.
Domestic car sales soared 27.4% to 696,207 from 541,491 in the previous year, helped by a tax cut 14 months ago that allowed firms to cut prices by about 5%, the report said, adding that exports rose 78.4% to 125,327 units during the period.
Domestic car sales in March alone jumped 11.4% to 75,482 units from 67,771 in the same month a year earlier while local sales of commercial vehicles, or trucks and buses combined, were 31,231 vehicles in March, up from 21,895 in the same month a year earlier, and domestic sales in 2003/04 rose to 260,345 from 190,682, the report said.
Reuters added that motorcycle sales in March in the world’s biggest market after China rose 31.6% to 369,309 units from 280,682 a year earlier, while sales in the full year rose to 4.1 million from 3.65 million.