Maruti Suzuki, Honda and Tata Raise Prices Despite Note Ban Hit
A hike despite the slowdown after demonetisation indicates that most manufacturers see a recovery, said an analyst
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Most automakers have passed on higher input costs to consumers, showing confidence that sales will recover after demonetisation hurt demand in the past couple of months.
Maruti Suzuki Ltd, Tata Motors Ltd, Mahindra & Mahindra Ltd, Hyundai Motor India Pvt Ltd and Honda Cars India Ltd have hiked prices over the past fortnight.
Tata Motors raised prices of its vehicles by up to Rs 15,000, with the highest increase being for its Safari Storme sports utility vehicle (SUV), authorised dealers across three cities said.
The Safari Storme was earlier priced in the range of Rs 10.45 lakh-Rs 15.44 lakh, ex-showroom Delhi. The car maker has not increased prices for its latest offering, the Hexa utility vehicle, said dealers, adding that introductory offers were still applicable.
A hike in prices despite the slowdown caused by demonetisation indicates that most manufacturers see a recovery, said an analyst.
Wholesale dispatches fell year-on-year for most automakers during the month of January, with several of them attributing it to demonetisation.
Automakers had attributed a rise in input costs as the reason for the price hikes in their respective releases in December.
(Originally published on BloombergQuint.)
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