Maruti India production to slump due to maintenance shutdown

The strike at the Manesar plant of Maruti India has just ended a few days back and the major effect of the workers strike will be faced by Maruti India due to loss in manufacturing. Furthermore, the firm’s plant was also scheduled for maintenance shutdown in June. Under Maruti India portfolio about half of the cars, are manufactured in the country and it was expected that the firm will manufacture around 60,000 to 65,000 cars in the month of June that is less as it usually produces around 1 Lakh cars per month in its 4 facilities in India.

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However, the production loss will apparently result in extending the waiting period for the much awaited new Maruti Swift and Maruti A-Star hatchbacks along with sedans like Maruti Dzire and Maruti SX4. These cars are produced at the Manesar Plant of Maruti India, where the firm faced a 13 day long strike in early June 2011, which ended a few days back. This strike caused Maruti India a loss of around Rs. 630 Crore that means approximately 13,500 Maruti cars less.

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The output of the cars tumbled down to 25,000 cars more, which was followed by a week or so maintenance shutdown at all the manufacturing plants of Maruti India, which ended  this Saturday. Nonetheless, lower productivity is probably to be an offset by fragile domestic market. The growth of the car sales in India were not very impressive as it stood around 11% in the first 2 months of this fiscal year reason being the sky rocketing petrol prices. However, there is no official word by Maruti regarding the productions figures.

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According to a dealer in Delhi, the demand for the Maruti cars has been a little lethargic since a past few months. As per the figures,  Maruti India's May sales were 4% boosted at approximately 93,519 cars. One of the major bad effects that were done by the strike and maintenance shutdown of the Maruti plants was that consumers were getting attracted towards other brands. But, hopefully Maruti being the top most car manufacturer of India, it would surely recover from the loss it has faced.