Our Bureau

Mumbai, Nov. 2

Two-wheeler companies have reported a negative trend in October.

The country’s largest two-wheeler maker, Hero Honda, despatched 3.52 lakh units to dealers, showing a decline of three per cent.

However, the company said that its retail sales crossed six lakh units in October.

“With the festive season being over now, we do expect to see a slowdown in the industry with the prevailing credit squeeze and interest rates taking a toll on consumer sentiments. Keeping this in mind, we have consciously restricted our despatch in October,” said Mr Anil Dua, Senior Vice-President, Hero Honda Motors Ltd.

Bajaj showed a 34 per cent drop in festive month sales at 1.65 lakh units.

“Bajaj’s primary sales to dealers have been lower than dealer retails to normalise dealer stock build up over September for October’s festive season. Furthermore, a direct year-on-year comparison is misleading as the festive season occurred in November last year,” the company said.

The third largest two-wheeler manufacturer, TVS Motor Company, clocked sales of 1.17 lakh units in October, showing a decline of 10 per cent.

© Copyright 2000 - 2009 The Hindu Business Line