Car sales in India up 13% in Feb; customers fear price rise post-Budget

New Delhi, Mar 12 (PTI) Car sales in India grew 13.11 per cent to 211,402 units in February as customers rushed to buy vehicles fearing rise in prices post the central government budget, to be presented later this week. "People are expecting increase in car prices after the Budget as the government may roll back two per cent excise concession given as stimulus during the 2008-09 slowdown," Society of Indian Automobile Manufacturers (SIAM) Director General Vishnu Mathur told reporters here. He further said there is also an apprehension in the market that diesel cars may cost more after the Budget as additional taxes may be imposed on them. "So, the growth witnessed in February was primarily driven by customer's advancing their purchases ahead of the Budget," he said, adding that there were also a lot of discounts being offered, mainly on petrol vehicles. According to SIAM figures released today, domestic passenger car sales grew 13.11 per cent to 211,402 units in February 2012 against 186,890 units in the year-ago period. During February, the country's largest car maker Maruti Suzuki India sold 94,118 vehicles, a jump of 7.13 per cent, over the same period last year. Rival Hyundai Motor India's sales grew by 12.78 per cent to 36,658 units, while Tata Motors' sales increased by 5.46 per cent to 28,236 units. According to SIAM, total two-wheeler sales in February 2012 increased by 11.96 per cent to 1,144,500 units, from 1,022,226 units in the same period of previous year. Motorcycle sales in the country during the month grew by 8.01 per cent to 838,193 units, from 776,005 units in the same month last year. Scooter sales grew 27.99 per cent to 237,374 units in February, as against 185,460 units in the year-ago period, SIAM said. Total sales of commercial vehicles during February this year jumped by 18.7 per cent to 76,891 units from 64,775 units in the year-ago period, SIAM said. Three-wheeler sales during February 2012 were down 13.57 per cent to 42,242 units compared to 48,878 units in the year ago period, SIAM said. In February 2012, total sale of vehicles across categories registered a growth of 12.06 per cent to 1,533,474 units in February 2012, as against 1,368,370 units in the same month of 2011. PTI