2023 festive season auto sales make new records
The recently concluded festive season in India has witnessed an impressive surge in auto sales, according to data shared by the Federation of Automobile Dealers Associations (FADA).
The 42-day period saw a total of 37,93,584 vehicles being sold, marking an 18.73 percent increase over the previous year. This remarkable growth can be attributed to significant upticks in various vehicle categories, with passenger vehicles, two-wheelers and three-wheelers taking the lead.
Passenger vehicle sales experienced a notable rise of 10.32 percent, jumping from 4,96,047 units to 5,47,246 units. Meanwhile, two-wheeler sales demonstrated an even more substantial increase, surging by 20.71 percent from 23,96,665 units to an impressive 28,93,107 units. This surge in demand, particularly from rural areas, contributed significantly to the overall success of the festive season.
The three-wheeler segment emerged as the star performer, recording an astounding growth of 41.39 percent. A total of 1,42,875 units were sold during the 2023 festive season, compared to 1,01,052 units in the previous year.
Commercial vehicle sales also experienced a positive trajectory, witnessing an 8.11 percent increase from 1,14,498 units to 1,23,784 units. On the other hand, tractor sales saw a marginal decline of 0.44 percent. Notably, tractors, which initially faced an 8.3 percent decrease in sales during Navratri, demonstrated resilience, concluding the festive period with only a 0.5 percent decrease.
Manish Raj Singhania, the President of FADA, acknowledged the record-breaking sales across various categories. He highlighted the substantial contribution of rural areas to the surge in two-wheeler purchases. Singhania noted that despite initial underperformance during Navratri, particularly in the passenger vehicle sector, the situation improved significantly by Deepawali, ultimately culminating in a 10 percent growth rate.
Singhania emphasised the high demand for SUVs and expressed concerns about inventory levels for passenger vehicles. He pointed out that original equipment manufacturers (OEMs) continue to dispatch vehicles, maintaining inventory rates at near all-time high levels.
