"This is like a festival": Sambit Patra on increased car sales amid GST 2.0 cuts

New Delhi [India], September 23 (ANI): Bharatiya Janata Party (BJP) MP Sambit Patra on Tuesday said Maruti Suzuki and Hyundai have set new records following the first day of GST reforms, with Maruti delivering over 25,000 cars and receiving around 80,000 inquiries, calling the response "like a festival."
During the press conference, Sambit Patra said, "... Maruti Suzuki has broken the record of the last 35 years. Hyundai has also broken the record of the last 5 years. On the first day of GST reforms, 25,000 Maruti cars were delivered. The very first day recorded 80,000 inquiries and delivered over 25,000 cars. Deliveries are expected to touch 30,000 soon."
Patra stated that the first day of car price reductions resulted in 75,000 bookings, with high demand for Maruti, Mahindra, and other vehicles, and dealerships remaining open until midnight to complete deliveries.
"On the first day of the price reduction, 75,000 bookings were received... Maruti may also be out of stock for some variants... Whether it is Mahindra or other cars, customers have shown exceptionally strong attraction... Dealerships were open till midnight so that the deliveries could be completed. This is like a festival," Patra said.
The rollout of the new GST 2.0 reforms, which have reduced car prices, added further fuel to the festive buying sentiment. The twin impact of the festival and lower prices led to a remarkable performance for Maruti Suzuki.
"The response from customers has been phenomenal--something we haven't seen in the last 35 years. On the very first day, we recorded 80,000 enquiries, and have already delivered over 25,000 cars, with deliveries expected to touch 30,000 shortly. Since September 18, when we announced additional price reduction (over and above GST), we have received 75,000 bookings, with nearly 15,000 bookings coming in every day--about 50% higher than usual. Demand for small cars has been especially strong, with bookings growing by nearly 50%," said Partho Banerjee, Senior Executive Officer, Marketing and Sales, Maruti Suzuki.
In a historic move to simplify the Goods and Services Tax (GST), GST Council in its 56th meeting has reduced the GST structure from four slabs (5%, 12%, 18%, 28%) to two main rates--5% (merit rate) and 18 per cent (standard rate) along with a 40 per cent special rate for sin/luxury goods. These changes came into effect on September 22. (ANI)