Opportunities In Indian Automotive Market

By Author: Bharatbook
Total Articles: 1478
Comment this article

The India Automotives Report (http://www.bharatbook.com/Market-Research-Reports/Automotives-Report-India.html) has been researched at source, and features latest-available data covering production, sales, imports and exports; 5-year industry forecasts through end-2012; company rankings and competitive landscapes for multinational and local manufacturers and suppliers; and analysis of latest industry developments, trends and regulatory changes.

Vehicle sales growth in India topped 20% once again in FY2006/07 (ending March 2007), as total sales were 23.6% higher than the previous financial year. Passenger car sales growth remained strong at 18.3%, although It's recently published India Automotives Report shows that there was a surprise result within the passenger market. Although tax breaks in India for small fuel-efficient vehicles had been expected to make the segment a run-away winner, results show that the premium segment was the biggest draw. Classed as the A4 through to A6 segments, the high-end vehicles registered sales growth of 56%. The growth of the premium segment in India has attracted related investment, with ...
... DaimlerChrysler (as it was at the time of the announcement) pledging INR2.75bn (US$67mn) for a plant, which will produce the Mercedes C, E and S Class models for the domestic market. German rival BMW, meanwhile, began production at its Chennai-based plant in March, producing the 3-Series from imported parts, with the 5- Series to follow. It expects further projects in the premium segment, as we forecast the consumer expenditure per capita of the richest 10% of the country's population, the main target for premium carmakers, to rise by 56% by 2010/11.

As a result of its investment potential and its low levels of vehicle ownership, India retains a high position in It's Business Environment Ranking matrix for the automotive industry in Asia Pacific. The market ranks joint second on a composite score of 39 from a possible 60, scoring highly for both its CBU output potential and its penetration potential given the low vehicle ownership rate. However, India's score for industry regulation has been lowered in line with It's country risk business environment rating, based on its low level of protection for investors and high levels of government intervention.

Despite the presence of so many international carmakers, domestic manufacturer Maruti (albeit with the backing of Suzuki) continues to dominate the Indian passenger car market, with a market share of just over 51% in FY2006/07. The company's sales of 493,694 for the year represented a 22.1% increase on the previous financial period and kept the company well beyond the reach of the nearest competitors. The best performance of the fiscal period came from Fiat India, ending Skoda's two-year run of the segment's highest growth. After the Italian manufacturer suffered an 81.8% fall in sales in FY2005/06, which tookits share down to just 0.1%, it rebounded with growth of 105.6% to double its market share in FY 2006/07.

Key Benefits of Report :
Benchmark It's independent 5-year Automotives Industry forecasts on India to test other views - a key input for successful budgetary and planning in the Indian Automotives market.
Target Business Opportunities & Risks in the Indian Automotives sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in India.
Exploit the Latest Competitive Indian Automotives Intelligence & company SWOTS on your competitors and peers through company rankings by production, sales, market share and ownership structure - includes multi national and national companies in India.

For more information please visit: http://www.bharatbook.com/Market-Research/Automotive.html

Or

Contact us at:

Bharat Book Bureau
Tel: +91 22 27578668
Fax: +91 22 27579131
Email: info@bharatbook.com
Website: www.bharatbook.com