New Delhi: Car sales fell by 2.55 per cent in October as festival season failed to cheer up the market, according to auto industry body Society of Indian Automobile Manufacturers (SIAM).
This makes it second straight month when car sales have shrank. The auto industry is also seeking government support in its effort to enter new geographies as it faces various road blocks in traditional car export markets.
“Festival season has been subdued as compared to last year. Also, the sentiment has become positive but unless we have some real economic growth kicking in, we might not see automobile sales going up,” said SIAM deputy director general Sugato Sen.
He said that sales would remain subdued for the next two months but may see some revival starting early next year. According to SIAM, domestic car sales in October this year stood at 1,59,036 units as compared to 1,63,199 units in the same month of 2013.
“Though we might see some revival in sales early next year, the passenger vehicle segment and passenger cars are expected to grow at sub-5 per cent this fiscal,” Mr Sen said.
To boost exports, industry wants government to facilitate trade into various new markets, including those in Latin America....