Rupee fall: Tata Motors to take a call on price hike

NEW DELHI: Even as rupee depreciation is adding to the stress in the automobile marketplace, Tata Motors will evaluate passing on its have an effect on to customers best around December to steer clear of price hike throughout the festive season, a senior company reliable mentioned Wednesday.

The company, which presented an upgraded version of its compact sedan Tigor priced between Rs five.20 lakh and Rs 7.38 lakh (ex-showroom), may be having a look at launching a top class hatchback subsequent 12 months to widen its product providing.

"That's a stress. Till a point we can absorb and we will absorb, but otherwise we are running a sustainable project and we have to win sustainably," Tata Motors president, passenger automobiles industry unit, Mayank Pareek advised PTI.

He used to be responding to a question at the have an effect on of rupee depreciation in opposition to the dollar at the company's value of imports.

Pareek further mentioned, "We have about 25-30 per cent import content both directly and indirectly."

On Tuesday, the rupee slumped by way of 33 paise to complete at a fresh lifetime low of 74.39 in opposition to america dollar on prime crude oil costs, strengthening of the greenback and unabated international fund outflows.

When asked if the company deliberate to go at the have an effect on to consumers, he mentioned, "We will watch but for the festive season we would not like to disturb the pricing."

By year-end, around December, the company may just come to a decision at the price hike, Pareek mentioned adding, "Certainly we will have to do, but we cannot completely pass on the entire burden to customers."

Commenting available on the market sentiment, he mentioned there may be "stress" because of factors corresponding to prime gas costs and non-availability of car finance.

"However, at Tata Motors we are looking forward to a good festive season on the back of the actions we have taken up, such as introduction of new products to build on the growth we have had this year," Pareek mentioned.

In the second quarter, when the industry PV sales have declined by way of three.2 according to cent, Tata Motors grew by way of 19.1 according to cent, he added.

On the new Tigor, Pareek mentioned the company expects the model to be a powerful player in the compact sedan phase which has witnessed growth in the ultimate two years after witnessing a decline previously.

"Customers had moved to compact SUV from compact sedan. However, in the last two-three years with the introduction of new exciting products, people have again started buying products in this segment," he added.

The new Tigor might be to be had in petrol version powered by way of 1.2 litre engine and diesel with 1.05 litre powertrain.

The petrol variants of the model are priced between Rs five.20 lakh and Rs 6.65 lakh, whilst the diesel trims are tagged between Rs 6.09 lakh and Rs 7.38 lakh.

On new product plans, Pareek mentioned the company is having a look to fill gaps in its portfolio to reinforce its presence in the overall marketplace segments.

"Around three years ago, we were present in only 50 per cent of the market. We have increased in to around 55-60 per cent now. The aim is to be present in 90 per cent of the overall PV segment," he mentioned.

While Tata Motors is gearing as much as launch its SUV Harrier early subsequent 12 months, Pareek mentioned, "We are still not present in the premium hatchback segment, which is also something we will look to address next year."
Rupee fall: Tata Motors to take a call on price hike Rupee fall: Tata Motors to take a call on price hike Reviewed by kailash soni on October 11, 2018 Rating: 5
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