Mahindra Launches Bolero Maxx Pik-Up Range, To Ramp Up Production Capacity

Mahindra and Mahindra Ltd., which is dominating the pick-up segment in the light commercial vehicle category with 60% market share, is betting on increasing its production capacity to enhance its presence in the space.

The company rolled out a new product in the category on Tuesday—the Bolero MaXX Pik-Up range, starting at a price of Rs 7.85 lakh (ex-showroom). The range comes in two series—high-diesel series and city series.

Mahindra and Mahindra has sold more than two million Pik-Up units since the brand was first launched.

"We make Pik-Up vehicles in Kandivali, Chakhan, Haridwar and Zahirabad plants and our pick-up capacity across these multiple plants are at about 17,500 per month," Veejay Nakra, president, automotive division, M&M, said on the sidelines of the launch. "We are already working on the phase of increasing our production capacity, going forward."

Commercial vehicles category grew about 33% during fiscal 2023, with the LCV contributing 26.4% year-on-year to the overall growth in the segment, according to retail data released by the Federation of Automobile Dealers Associations.

In the Pik-Up range, M&M claims to be among the top four four-wheelers sold in India in the last fiscal, during which it recorded its highest-ever Pik-Up volumes. The LCV segment recorded its highest ever annual sales of 1,98,121 units in fiscal 2023, registering growth of 43% from the previous fiscal.

Even during Covid-19, the 2–3.5 tonne segment continued to hold and it has grown at a compound annual growth rate of about 18% between fiscal 2019 and 2023, according to Nakra.

He underscored that Mahindra and Mahindra had been the market leaders in the segment from inception. "Even today, we hold (a) 60% market share," he said.

The firm has also been market leaders for the last nine years in the less than 3.5-tonne category, with a share of more than 45%, Nakra said.

The automotive industry has been dealing with supply chain constraints globally since the start of the Covid-19 pandemic. However, Nakra said the issues for the pickup category had been comparatively less than that for sport utility vehicles.

The supply chain issues are less as the level of semiconductors that are required in this segment are lower in comparison with SUVs. "But, there are surprises that do come up from time to time and we are able to manage them well."

In its near-term outlook, FADA expects the new fiscal to be a year of consolidation for the Indian auto retail industry, with an overall single-digit growth over previous year due to a high base, inflationary pressures, routine price hikes and regulatory changes. It is also apprehensive that the high growth period has now passed.