Festive season to fire up auto sales, say analysts as FADA Sept retails show 20% growth

India’s automotive retail in September showcased a robust double-digit yearon-year growth of 20 per cent amidst market analysts projecting the festive season as the next major catalyst for the automobile industry as initial trends for regional festive periods showing positive momentum, building up high expectations

- NIVEDITA MUKHERJEE

All categories experienced growth, with retail sales of two wheelers seeing a 22 per cent increase, three wheelers posting  49  per cent, passenger vehicles (PV) a growth of  19  per cent and commercial vehicles 5 per cent, said the Federation of Automobile Dealers Associations (FADA) on Monday. Vehicle retail data for Sep’23 show healthy recovery indicators as compared to the pre-pandemic period, says FADA, with the overall retail landscape exhibiting a massive 14 per cent growth. However, the tractor segment continued to fall, with a substantial 26 per cent contraction.

“September’s auto retail celebrated a 20 per cent leap, continuing the momentum from the previous month while marking a 3.5 per cent month-on-month increase, seamlessly transitioning into the festive period’s sweet spot set to unfold over the next 42 days,” says FADA President Manish Raj Singhania.