New Delhi: Although lucrative discounts, new models and up gradation of old models have boosted the car sales in November, the auto sector does not seem upbeat about the improved performance. With several challenges lying ahead, the auto industrialists opine that maintaining the similar pace of sales in coming months would require a herculean effort.

According to the auto sector experts, maintaining the pace in the current fiscal can prove to be a milestone for the companies as the economy is highly fluctuating.

“The sales are highly dependent on the interest rates and the economical condition. Hence, the profits are totally unpredictable at a time when the economy is seeing a wave of fluctuations on the lines of soaring inflation and petrol prices”, said Maruti Suzuki Chairman RC Bhargava.

Echoing the similar views, Arvind Saxena, Director, Hyundai Motor India said “Auto industry will suffer crisis as the inflation and interest rates are escalating day-by-day. It is expected that the domestic car markets will see 5-6 percent of growth in the coming months”.

With the introduction of attractive discounts, new models and providing attractive features like mileage in the vehicles, the auto industry has performed significantly well in November.

Even if the biggest auto firm Maruti failed to do good business at the Manesar plant due to recent strikes, but other companies have performed well in the monthly turnover.

While Hyundai’s domestic sales were calculated at 28 percent increase, Tata Motors showed a growth of 41 percent in the auto sales. The business of Volkswagen India was up by 46 percent in November.

Automobile major Hyundai Motor’s November sales, including exports saw a remarkable boost due to the company’s sedan Verna and hatchback Eon offerings, which were launched recently.

Two wheeler vehicle companies had also managed in availing the outmost benefit in the festive month. The sales of TVS and Hero grew at 12 percent and 27 percent respectively.

JPN/Bureau