JAIPUR: Car registrations in Rajasthan rose by 35% in December compared to the same month in 2019. As per figures released by the Federation of Automobile Dealers Association, car registrations or sales rose riding on festival spillover demand, year-end discounts and announcement of price hike from January 2021.
Sales of new passenger vehicles in December surged to 16,657 units from 12,350 units in the same month previous year.
Except for sales of three-wheelers and commercial vehicles, all other segments posted positive growth.
Three-wheeler sales declined by 54% reflecting the reluctance of people for travelling in hired vehicles during the corona times, while commercial vehicles fell 13% to 3,845 units.
Tractors continued to grow at a faster clip, notching 36% growth even though the sales growth has cooled down a bit from previous months. Sai Girdhar, treasurer of FADA, and dealer of various brands in Rajasthan, said, “Some amount of pent up demand came into the market in December. The interest rates are very lucrative now. Also, there was year-end discount which had an impact.”
Commenting on the rest of the financial year, Sai Girdhar said that the positive trend is expected to continue as people are getting optimistic about general economy.
“The new corona cases are coming down and the vaccination drive has started. This would be key driver of the economy which will also impact positively the buying decision of the prospective customers,” Sai Girdhar added.
Overall, the sales of vehicles, including all categories rose by 7% in December.
Giving its outlook, FADA said it looks forward to demand spurring initiatives in the upcoming Union Budget and specific initiatives for auto industry to continue auto sales in higher gear.