New Delhi: The country’s largest car maker, Maruti Suzuki India (MSI), on Monday said it expects its sales to grow up to 5% in the current financial year on the back of increased demand from rural areas and overseas markets.
To push sales, the company, in association with its dealers, would be hiring more people in its sales and marketing division in the ongoing fiscal.
“The Society of Indian Automobile Manufacturers (SIAM) had projected the industry to grow by 3-5% in the current financial year. I’m sure MSI should also grow between three and 5% but our hope is to do better than that,” MSI managing director Shinzo Nakanishi said.
He, however, said it would be very difficult to attain a double-digit growth rate in FY10.
“Last year, we had very good demand from rural areas and to push our sales, we will recruit more rural dealerships sales executives (RDSEs),” Nakanishi said, adding that the company currently has a strength of 2,500 RDSEs.
MSI would also induct 1,000 dealer sales executives (DSEs) in its 680 outlets across the country, he added. These outlets have a present strength of 15,000 people.
Nakanishi said the company would export over one lakh units in the current fiscal of its four models -- A-Star, Alto, M800 and Zen Estilo -- from 50,000 units in the last fiscal.
Asked about the sales of the company, Nakanishi said, “I am very happy with the April sales but don’t know about May and June. However, signs are very good for the coming two months.”
On commodity prices going down, he said the company expected some recovery in its profitability but not to last year’s levels.