Maruti Suzuki is planning to increase prices across its car portfolio January 2012 onwards. The company has faced challenges on multiple fronts in the year 2011. In addition to labor issues at its Manesar facility, the company is also bearing with higher input costs. According to Mr. Mayank Pareekh, Managing Executive Officer-Marketing and Sales, Maruti Suzuki, the company has incurred significant losses due to the labor strikes. Moreover, additional pressure from petrol price hike and high interest rates has impacted its overall car sales. He confirmed the proposed price hike in the company’s products.
The Indian auto industry has seen one of the biggest declines in the car sales in 2011. Maruti Suzuki being the biggest car manufacturer dominates about 50 percent of the car sales in India and thus it has felt a major dent in its sales. Mr. Pareekh however stated that the company is hopeful of growth recovery in the year 2012.
