The festive season sales in India over the past few days have been “very good” for the Mahindra Group which clocked a double-digit growth over last year. That's according to its Chairman Anand Mahindra.
“There was a slowdown but happily now the sales and consumption is picking up,” Mahindra said on the sidelines Future Investment Initiative Summit in Saudi Arabia. The group cut down on excess inventory and domestic carmakers are looking ahead to the rest of the season with “hope”, he told Bloomberg TV in an interview.
The auto industry has been struggling to push sales since the festive season last year. Increased upfront insurance costs and higher fuel prices kept buyers away initially. Discounts too failed to lift demand, forcing automakers to cut production or shut showrooms as inventory piled up.
Mahindra said the group's domestic businesses are “fairly insulated” from global headwinds and, in fact, it could benefit if the situation drags down the global commodity prices. “India has its own set of challenges but the global slowdown has affected only our international businesses.”
Speaking at the same event earlier, Reliance Industries Ltd.'s Chairman Mukesh Ambani said the global economy was facing “uncertainties” which posed as tremendous opportunities in the long run.
Watch | Anand Mahindra On Impact Of Slowdown On Auto Sector
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