Last year's low base puts March sales of two-wheelers in top gear

Cumulative sales in March at the top five two-wheeler makers soared 75% to 1,421,600 units during the month against 808,692 units a year ago

Motorcycle and scooter sales in India ended the fiscal 2020-21 in top gear as a low base of last year pumped up this year’s volumes. Cumulative sales in March at the top five two-wheeler makers, including Hero MotoCorp, Honda Motorcycles and Scooters India (HMSI) Bajaj Auto, TVS Motor and Royal Enfield, soared 75 per cent to 1,421,600 units during the month against 808,692 units in the year before, shows monthly sales data released by companies.

In March last year, sales were adversely impacted due to the impending transition to BS VI emission norms from April 2020, in addition to the nationwide lockdown towards the latter half of the month due to the coronavirus pandemic.

Two-wheeler market leader Hero MotoCorp sold 576,957 units in March, up 72 percent year-on-year. HMSI, the second largest in the pecking order too saw its sales jump 60.76 per cent to 3, 95,037 units.  Others also had double-digit increases in sales over the year ago period. While dispatches at Bajaj Auto rose 84 per cent, TVS and Royal Enfield saw it soar to 114 per cent and 84 per cent respectively. Auto companies count dispatches to dealers as sales.

 But the brisk increase in March volumes are hardly an indication of two-wheelers coming out of the slow lane.  Amid the region specific curbs and lockdowns induced by Covid-19, the pain for two-wheeler makers is far from over.  

While a strong preference for personal mobility augurs well for  the manufacturers, shuttered educational institutions and offices, a delay in return to normalcy and a slow economy,  will continue to weigh in on demand.

Owing to an emission changeover and a Covid-disrupted first half, all the manufacturers ended the full year with a y-o-y contraction. As per industry’s estimates, the segment will take at least two years to return to FY19 levels when it sold 21,179,847 units.