Overall vehicle sales continue to be negative: FADA

• For the month of July and on YoY basis, Overall sales continued to be negative at -6% with 2W at a de-growth of -5%, PV by -11% and CV at -14%.
• Positive Growth seen on a MoM basis, with overall sales up by 5% as June’19 had the 2ndlowest Volume base this CY after February. Postponement of demand seen in June due to Deficient Rainfall concluded in July, after onset and even spread of monsoon, and slight Liquidity improvement seen towards July end in Banking system contributed also, towards this MoM uptick in Sales.
• PV inventory levels reduces further andcomes closer to FADA’s proposed 21 days inventory.CV inventorycontinues to be atHigh levels.Very Slight reduction seen in 2W inventory Levels and they continue to remain at very high levels and a serious cause of concern for Dealers.
• H’ble Finance Minister meeting with Auto Industry, followed by immediate action on Retail Lending Push for Banks and NBFC, a point strongly advocated by FADA and a strong positive statement from Hon. Prime Minister on the Auto Industry and indication of Stimulus for Demand Generation and Growth Revival of the Economy coupled with a Revival of the Monsoonbuilds Positive Hope amongst Dealer for Festive Season,Despite the current Lack of Demand and Weak Consumer Sentiment.