Led by Ford India, the passenger vehicles export for the first four months of the current fiscal grew 12% to 247,047 units as compared to 220,619 units in the same period last fiscal. Ford India beat Hyundai India for the fourth month in a row for the top slot with a cumulative export growth of 57% at 66,628 units in the first four months. Hyundai India, which has been a market leader for years, registered a decline of 16.4% to net 45,466 units, according to SIAM data. Maruti, the market leader in domestic sales with a 16% growth in April-July period, however, grew less than 1% on the export front with a volume of 37,077 units and occupied the third slot. Volkswagen India fared better on the export front by becoming the fourth largest exporter in the April-July period at 35,704 units, a growth of 21% over the same period last fiscal.
Beleagured General Motors India did well on the exports front, registering a 73% growth in the first four months to 29,210 units. The company had taken a decision to stop selling cars in India by the year-end.
As per SIAM data, the compact sedan/hatchback segment continued to dominate the export momentum by garnering more than 55% of the total exports at 140,000 units as compared to 125,000 units in the first four months of last fiscal (a growth of 12%). The new hatchback Figo and sedan Figo Aspire contributed equally to Ford India’s total exports with the volume of 33,055 units (14,894 units) with the remaining came from its compact SUV Ford EcoSport.
When contacted Abdul Majeed, an auto analyst and partner with PwC, told the FE: “There is a huge potential for the Indian OEMs to export to countries in African continent, Middle East region. Latin America and Eastern Europe where volumes are low. Since India offers great advantage in terms of labour as well manufacturing costs, many OEMs look to exploit these countries for export purpose. Many of the OEMs created huge capacities with heavy investments assuming that India will become one of the biggest markets for cars sooner than later with 5 to 6 million units per annum. However, that did not happen. Hence, many look at export as the best alternative.”