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Big Cars Can Make Difference In Indian Auto Market

Published On Jan 27, 2009 05:58 PM By Vidyadhar


There is a popular view that in Indian auto market only the small car manufacturers have the potential to capture large share. They have this view because of the vast Indian middle class. But according to pawan goenka president of automotive sector of Mahindra Mahindra this belief is nothing but a myth.


He further elaborated that country should not be restricted to be a hub for only small cars. Speaking at the three-day Symposium on International Automotive Technology (SIAT) Mr. Goenka said that the measures to decide this should be revised.

There is a tremendous push on length of the car to determine what is small. We need to look at parameters that matter. Fuel efficiency or carbon footprint, for instance, he said.

According to him many SUV have fuel efficiency which is commendable and also comparable to small cars. And because of the parameters that laid down by the policy makers which decides that this car is luxury and this is not there is not appropriate, and because of this the excise duty on these so called small cars is very high compare to small cars. If the Bolero was categorized as a small car, it will be Rs 1 lacs cheaper to the end consumer, he explained.

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