2010 promises to be a resuscitating phase for the truck market in India as a result of rapid industrial move and feasible consumer financing. The mood was upbeat in the Auto Expo as Tata Motors, Volvo and Ashok Leyland smiling at the feedback poured upon the truck. These companies expect an expansion of 8% in te current fiscal and further leap in the next fiscal.
The sale of buses and trucks put together in the country has hiked to 12.4% in 8 months starting February 2009 apart from compensating the downfall of 22% in 2008. Tata’s official expressed the hope of further enhancement in 2010. For Ashok Leyland the projected increase for this year is double-digit proceed by the current figure of 63000 units till March. For Volvo the projection is outsmarting the industry’s growth of 20% in this year.
The reasons cited for the increase are – reduction in gate taxes from late 2008 but the companies are now confident of boosting the sale devoid of this cut. Only thing that matters for these companies is the hike in commodity prices. Tata has already hiked its trucks by 1% but on contemplation for further increase. Ashok Leyland is raising the price in March while Volvo’s has risen by 3-5%. The sale of CVs in India till during April-November has been 304000 units against 384000 units in 2008-09. M&M is in the fray with its newly launched truck in association with Navistar International. The Auto Show had the occasion to witness a new truck unveiled by Daimler.