Govt tenders drive vehicle sales
Commercial and passenger vehicle sales fell significantly on account of the festive season. A 24.8% month on month decline was recorded for December. This marked the lowest number of vehicle sales for 2013 and was against the backdrop of a record high of 1583 total vehicle sales in November. Commercial vehicles sales declined by 23.2% whilst passenger vehicle sales declined by 23.1% according to an IJG Securities report on the latest vehicle sales statistics.
The IJG Securities Report noted that passenger vehicle sales fell 23.1% month on month in December. On an annual basis however, passenger vehicle sales increased by 35.3%. Toyota and Volkswagen remained the largest sellers of passenger vehicles in December.
Commercial vehicle sales decreased 23.2% month on month in December. As with passenger vehicle sales, commercial vehicle sales increased by 38.9% on an annual basis. In the commercial category, Toyota sold the most cars followed by Nissan, as noted in the report.
On a monthly basis growth in the 12 month cumulative figure accelerated to 7% for November against a backdrop of 1.9% recorded for October. The 12-month cumulative measure remained positive in 2013 coming in 11.5% higher than in 2012, IJG Securities said.
Total vehicle sales for 2013 are 34.2% higher compared to 2012. The total number of vehicles sold in 2013 is 15260 units against 12799 units in 2012.
The slump in December vehicle sales came as a result of the festive season. “Vehicle sales will however gain momentum in 2014 as accommodative fiscal and monetary policy stances will drive growth. Local dealers have also stated that government tenders yet to be delivered will spur vehicle sales” the IJG Securities Report concluded.