Honda 2Wheeler domestic sales rise 11% in Jan 2021

 Honda Motorcycle & Scooter India (HMSI) on Monday reported 11% growth in domestic sales at 4,16,716 units in January.

The two-wheeler manufacturer had sold 3,74,114 units in the domestic market in the corresponding month last year.

HMSI said that despite the low-base effect of last year due to the industry’s migration to BS-VI norms, Honda added the maximum incremental volumes (+42,602 units) while maintaining normal inventory levels.

Including exports of 20,467 units in the outgoing month, the company’s total sales jumped 8% to 437,183 units compared to 403,406 two-wheelers sold last year.

Yadvinder Singh Guleria, director – sales and marketing, HMSI, said, “Honda has entered 2021 with double-digit growth and added the maximum incremental volumes to the industry. We foresee the low base effect to remain in play till the end of Q4 and continue into Q1 of FY22.”

Guleria is optimistic about the reopening of colleges, the on-going COVID vaccination drive and a stronger urban demand which would act as tailwinds for domestic two-wheeler demand recovery.

The higher Capex allocation on infrastructure development, new health infrastructure push, increased crop procurement price payment to farmers and new scrappage policy in the Budget 2021 can further boost sentiments, he added.