Registration of new vehicles went down drastically last month — only 1,10,812 non-transport vehicles (two-wheelers, cars) were registered, against 1,45,496 in September.

Similarly, 9,247 transport vehicles were registered during the period that is over 25 per cent less than the previous month. Sources in the state

transport authority said revenue through RTOs has seen a dip in the last few months. “We normally sell more than 150 cars per month, but, for the past few months, we struggle to sell even 100 cars a month,” said a senior executive of a leading brand car showroom in the city, requesting anonymity.

He worryingly added that they sold around 200 cars per month during the corresponding period last year, while it has gone down by 50 per cent this year.

“New buyers are scared to enter the car segment in the wake of persistent increase in petrol prices. Even the sales of diesel cars is not good as a few companies have hiked the price of diesel cars,” he added.

During September 2011, 12,160 cars hit the roads, while only 11,021 cars rolled out of showrooms in October.

Similarly, sales of motorcycles have also decreased alarmingly from 94,320 to 72,661 and mopeds, from 23,921 to 16,602.

The trend is the same for transport vehicles, including buses, vans and autorickshaws, as it dipped from 12,071 units in September to 9,247 last month. Traders also point to the recent hike in VAT in the state.

“Though I enquired with a reputed concern, I bought a car from a showroom. Now salesmen of the concern are after me for the past two weeks to buy the car,” said Mr R. Raju of Ayanavaram.

Source: Deccan Chronicle, India,  dated 26/11/2011