Srinagar: This financial year witnessed a high demand for sports utility vehicles (SUVs) across the country, with this segment of cars now holding a market share of 50 per cent, data released by the Federation of Automobile Dealers Associations (FADA) said on Monday.
With a total of 3,948,143 units sold, 8.45 per cent higher than the 3,640,399 units in the financial year 2023 (FY23), the passenger vehicles (PV) retail sales touched an all-time high in FY24, according to the data released by the Federation of Automobile Dealers Associations (Fada).
Three major car sellers in Jammu & Kashmir told Ziraat Times that the SUV demand has been muted compared to previous years.
“In J&K the demand still remains on the higher side for smaller cars, and not SUVs”, a senior sales manager for a major car brand told Ziraat Times, adding, “We are still far from the 50% market share for SUVs in comparison to the national trend.”
Another car brand seller said that SUV demand in J&K, as a matter of fact, is modest, even showing a downward trend, especially in the last three years.
Federation of Automobile Dealers Associations (Fada) said in a statement that the PV retail sales witnessed a milestone year due to improved vehicle availability, a compelling model mix, and the launch of new models. The association added that the sales also rose due to enhanced supply dynamics, strategic marketing efforts, and expansion in road infrastructure.
In March, however, the PV sales dipped by 6 per cent compared to March 2023 due to heavy discounting and selective financing. It was further impacted by economic worries and the electoral climate. A total of 322,345 PVs were sold in the month compared to 343,527 units last year.
Compared to 330,107 units in February 2024, the PV sales were down by 2.35 per cent.
Overall, auto retail sales in India increased by 10.29 per cent in FY24. A total of 24,530,334 units were sold, including PVs, commercial vehicles, two-wheelers, three-wheelers, and tractors, compared to 22,241,361 units in FY23.
The highest increase in sales was witnessed in three-wheelers, which saw a jump of 48.83 per cent. It was followed by two-wheelers (9.3 per cent) and PVs.
