Vehicle retail sales up 19% to 37.93lakh units during the 42-day festive period: FADA

New Delhi: The Federation of Automobile Dealers Associations (FADA) Tuesday reported that the vehicle retail sales during the 42-day festive period increased by 19% to 37.93lakh units.

“During the 42-day festive period of FY24 (which started on the 1^st day of Navratri (October 15) and ended 15 days after Dhanteras (November 25) we reached a new milestone with vehicle sales climbing to 37.93 lakh, a 19% increase from last year’s 31.95 lakh, FADA President, Manish Raj Singhania said.

Significant growth was observed in the two-wheeler, three-wheeler, commercial vehicles and passenger vehicles, with respective rises of 21%, 41%, 8%, and 10%. Conversely, the tractor segment experienced a slight decline of 0.5%.

Record-breaking sales were reported in several categories, with rural areas particularly contributing to the surge in two-wheeler purchases. Despite the initial underperformance during Navratri, particularly in the passenger vehicle sector, the situation improved by Deepawali, ending with a 10% growth rate. While SUVs were the highest demanded vehicles, inventory levels for passenger vehicles remain a significant concern as OEMs continue to push further dispatch thus keeping the inventory rate at near to all time high levels, FADA said in a media release.

Tractors, which saw an 8.3% decrease in sales during Navratri, made a remarkable recovery, ended the festive period with only a 0.5% decrease. This turnaround highlights the robust purchasing power in rural India, FADA said

Vehicle retail data for the 42-day festive period

Source: FADA Research

FADA said the vehicle retail Data has been collated as on November 27, 2023 in collaboration with the Union Ministry of Road Transport & Highways, and has been gathered from 1,355 out of 1,442 RTOs.

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