Automobile dealers’ body FADA on Wednesday said retail sales of passenger vehicles (PV) in February declined 8.25% to 2,15,276 units compared with the same period last year, hit by lower offtake by end customers.
According to Federation of Automobile Dealers Associations (FADA), PV sales stood at 2,34,632 units in February 2018.
Two-wheeler sales declined by 7.97% to 11,25,405 units last month compared with 12,22,883 units in year-earlier period.
“After a month of spike in PV sales in January which was largely due to year-end stock clearance getting extended and a few new launches which generated some excitement, the industry is once again witnessing downward trend as February turned out to be one of the slowest months for auto retail during this financial year,” FADA president Ashish Harsharaj Kale said.
Auto dealers across the country are in a high stock situation across all categories and inventory levels of passenger and commercial vehicles are now back to the unsustainable levels seen in November 2018, he added.
“FADA would like to express serious concern that it [inventory levels] has now reached alarming proportions and in some geographies has breached the unheard of level of 100 days of stock,” Mr. Kale said.
