India`s vehicle sales climb 19% in festive season - dealers` body
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Vehicle sales in India rose 19% during a 42-day festive season, boosted mainly by strong demand for two wheelers in rural areas, an auto dealers' body said on Tuesday.
Indians generally make big-ticket purchases on items like vehicles during the festive season, which kicked off in mid-October this year and ran till Nov. 25.
Two-wheeler sales surged about 21% in the period to 2.9 million units, data from the Federation of Automobile Dealers Associations (FADA) showed.
"Record-breaking sales were reported in several categories, with rural areas particularly contributing to the surge in two-wheeler purchases," FADA, which provides monthly data on dealer sales, said in a statement.
Two-wheeler makers' sakes to dealers inched closer to pre-pandemic volumes in October due to strong festive demand and discounts on entry-level models, data showed earlier this month.
Sales of three wheelers advanced 41%, while those of passenger vehicles (PVs) climbed around 10% to 547,246 units, FADA added.
"Tractors, which saw an 8.3% decrease in sales during Navratri, made a remarkable recovery, ending the festive period with only a 0.5% decrease," FADA said.
Tractor sales, a key indicator of rural economy, slipped 0.4% following a 10% fall in September.
Caution remains around PV inventories as original equipment manufacturers continue to push further dispatch, keeping inventory rate at near all-time highs, FADA said, adding that sport utility vehicles (SUVs) were the most-demanded.
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