The strong growth in CV export sales, albeit on a low base, clearly underlines the fact that Indian CVs are now finding acceptance in many countries.
17 Feb 2016 | 3387 Views | By Kiran Bajad
Sales of commercial vehicles, which have been recovering in the domestic market, have notched up higher growth on the export front. In January 2016, CV OEMs shipped a total of 9,423 units to foreign markets to record 32.68% growth. For the first 10 months of the ongoing fiscal – April ...
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Sales of commercial vehicles, which have been recovering in the domestic market, have notched up higher growth on the export front. In January 2016, CV OEMs shipped a total of 9,423 units to foreign markets to record 32.68% growth. For the first 10 months of the ongoing fiscal – April 2015-January 2016 – cumulative export numbers at 82,896 units have registered strong double-digit growth of 18.36%.
In order to tide over the slow growth in the domestic market, CV manufacturers like Tata Motors, Ashok Leyland, Mahindra & Mahindra and VE Commercial Vehicles have increasingly, over the past few years, been exploring export opportunities. The strong growth in CV export sales, albeit on a low base, clearly underlines the fact that Indian CVs are now finding acceptance in many countries. Most Indian CV makers are tapping opportunities in markets like South East Asia, Middle East, Africa, Russia and South America.
LCVs dominate overwhelmingly in exports – of the total 9,423 units (January 2015:7,102 units), LCVs comprise 6,288 units (January 2015: 4,458 units), albeit M&HCV exports are also on the rise totaling 3,135 units (January 2015: 2,644 units) during the month. Of the total export of 82,896 units during April 2015-January 2016 (April 2014-January 2015: 70,040 units) overall LCV exports are 55,049 units (April 2014-January 2015: 44,576 units) and M&HCVs 27,847 units (April 2014-January 2015: 15:25,464 units).
As in the domestic market, Tata Motors continues to lead in exports too, exporting 5,179 units in January 2016 and notching 40.70% YoY growth. During April 2015-January 2016, it shipped 43,153 units (+15.52%).
Mahindra & Mahindra too registered strong growth of 35.55%, shipping 2,570 units during the month. For April 2015-January 2016, the company posted the highest growth of 39.64% with total export of 23,261 units.
Ashok Leyland, which has bagged major export orders for buses in recent months, has registered growth of 16.61% in January 2016, exporting 1320 vehicles. During the first 10 months of the ongoing fiscal, it increased its exports by 3.59%, shipping 10,817 units.
VE Commercial Vehicles saw has seen its export decline last month to 292 units, down 18.21% year on year. In the April 2015-January 2016 period, its export numbers grew marginally by 1.82% with 5,151 units.
The Chandigarh-based SML Isuzu exported 49 units, growing by 58% and cumulatively for April-January exports rose by 32% with 367 units.
Though, the recovery in the domestic market has seen improved activities for manufacturers as they are looking for aggressive growth after last couple of year’s slump in demand. However, increasingly overseas market are also become attractive for CV makers and they are tapping opportunities in markets like South East Asia, Middle East, Africa, Russian and South America.
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