Suryaa Business Desk: Domestic automobile retail sales experienced a significant decline in October. According to the latest report from the Federation of Automobile Dealers Associations (FADA), total auto retail sales across the country fell by 23.8 percent compared to the same month last year, totaling 3,172,466 units. Experts attribute this decline to changes in the festive season calendar.
FADA noted that while Navratri and Diwali occurred in the same month last year, leading to record sales, Diwali shifted to November this year, impacting the October figures. However, on a month-on-month basis, retail sales grew by approximately 25.05 percent compared to September. This represents the second-highest historical sales for October, indicating that demand remains intact despite the calendar shift.
Segment-wise, two-wheeler and passenger vehicle sales saw negative growth. Two-wheeler retail sales fell by 28.35 percent to 2,321,000 units, while passenger vehicle sales declined by 14.23 percent to 507,000 units. Conversely, commercial vehicles, three-wheelers, and tractors recorded positive growth and reached new records. The increase in electric vehicle (EV) sales is providing support to the market.
Auto dealers anticipate a surge in buying activity in November due to the arrival of Dhanteras and Diwali. Dealers expect festive demand to drive recovery in the coming months. Passenger vehicle inventory levels remain stable between 43 and 45 days, and dealers are continuing their business plans with the expectation of strong sales in the upcoming months.