It will be an expensive start to the year for car buyers in 2013 with automobile companies, led by Maruti Suzuki India, deciding to hike prices of their vehicles and others also considering a similar move.
While Maruti Suzuki India (MSI) said it would increase prices of its products by up to Rs.20,000, Toyota Kirloskar Motor said it would also hike prices by 1-2 per cent across all models.
Honda Cars India and Volkswagen India said they were also contemplating such a move, but the details were still being worked out.
The companies said increasing pressure on margins, due to currency fluctuation, necessitated the move.
“There will be a hike in the prices of our products. Quantum will vary depending on models, but it can be up to Rs.20,000,” Maruti Suzuki India Chief Operating Officer (Marketing & Sales) Mayank Pareek told PTI.
The company at present sells a variety of models, from the M800 to the imported Kizashi, at a price range starting from Rs.2.09 lakh to Rs.17.52 lakh (ex-showroom Delhi).
Toyota Kirloskar Motor (TKM) also said it would increase prices across its models from January 1. The range would be 1-2 per cent across all models, a TKM spokesperson said.
TKM sells a range of vehicles the from hatchback Etios Liva, with prices starting at Rs.4.44 lakh, to the imported sports utility vehicle Land Cruiser which is tagged at Rs.99.27 lakh (ex-showroom Delhi). Honda Cars India also said it was considering price hikes but details are yet to be finalised.
Similarly, a spokesperson for Volkswagen Group Sales India, said: “With increasing pressure on input costs and exchange rates, Volkswagen is considering a price hike.”
General Motors India also said it was considering increasing prices of its vehicles across all models from January onwards. “Depending on the models, the increase could be between 1per cent and 3 per cent. The rising input costs and currency fluctuation is a strain on us,” General Motors India Vice-President P. Balendran said. — PTI