Passenger vehicle sales, including cars and SUVs, also increased to their highest ever monthly level of 3.93 lakh units in October which represents a 0.9 per cent rise over a high base figure of 3.9 lakh units for October 2023.
Rajesh Menon, Director General, SIAM said that “October 2024 saw two major festivals Dussehra and Diwali, both occurring in the same month, which traditionally drive higher consumer demand providing a significant boost to the auto industry’s performance”.
Passenger vehicles (PVs) posted its highest ever sales of October in 2024 of 3.93 Lakh units, with a growth of 0.9 per cent, albeit on a high base of last October.
This high growth was also reflected in the Vahan vehicle registration data, wherein more than 30 per cent growth in registration was witnessed for both passenger vehicles and two-wheelers in October 2024, compared to October 2023.
However, three-wheelers marginally de-grew by 0.7 per cent compared to October of previous year, with sales of 0.77 lakh units in October 2024, although there was growth of 11 per cent in registration, compared to last October, according to Menon.
Market analysts attribute the surge in two-wheeler sales to higher rural incomes as a normal monsoon this year led to better crop yields which resulted in higher earnings in the agricultural sector.
The increase in the minimum support price of various crops by the government also helped to boost farmers’ incomes which has led to the higher expenditure on consumption goods by rural households.
This was also evident in India’s fast-moving consumer goods (FMCG) sector where rural consumption has grown at a faster pace than urban areas. According to a NielsenIQ survey, sales of FMCG goods grew 5.7 per cent by value and 4.1 per cent by volume in the July-September quarter this year, driven by rural demand which grew faster than urban markets for the third consecutive quarter.
(IANS)
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