As luxury car enthusiasts in the state are on the rise, the Southern Gujarat Chamber of Commerce and Industry (SGCCI) is organising an Auto-Expo staring April 8. Premium car sales is no longer confined to Ahmedabad, car dealers have already embarked on extensive expansion plans to tap the growing markets in the tier-II & III cities in the state like Surat, Rajkot, Gandhidham and Vadodara.
Surat is one of the hottest destinations in terms of demand for cars. "Nearly 20-25 per cent of our Gujarat sales comes from Surat," says Talha Sareshwala, managing director of Parsoli Motors, the BMW dealer in Ahmedabad. BMW has opened its new sales and service station in Surat in February.
The SGCCI Auto Expo spanning four days will showcase cars from companies like BMW, Audi, Skoda, Nissan, Ford as well as Maruti and Tata Motors. The companies will also showcase their yet to be launched models. Around 10-12 vintage car models will also be showcased at the Auto Expo.
The Expo is supported by the Federation of Automobile Dealers Association (FADA), Autobmobile Research Association of India (ARAI), Japan External Trade Organisation (JETRO) and Korea Trade Investment Promotion Agency (KOTRA).
Surat has become the favourite among car dealers who are flocking to the city with new showrooms. Audi, which recently launched its premium A8 L sedan here, is also looking at expanding its footprint to Surat.
Samir Mistry, managing director, of Audi Ahmedabad said, "We are coming up with a new showroom at Surat by end of April, while we are also upgrading our current showroom in Ahmedabad to a 20,000 square feet one by February 2012." Audi sold 285 cars in Ahmedabad in 2010, up 60 per cent from 2009.
The Gujarat car market has traditionally been conservative in terms of luxury car buying compared to the bigger markets like the National Capital Region(NCR) and Mumbai. However, it is fast changing now.
"From a mere two per cent share of net luxury car sales in India in 2008-09, the state now has close to eight per cent share," said Sanjay Thakker, chairman of Landmark Honda and also promoter of the dealership chain that has Mercedes Benz and Volkswagen AG outlets.
Approximate figures collated by dealers show that while the luxury car market grew from around 8500 cars and sports utility vehicles (SUVs) in 2009 to around 10,000 vehicles in 2010, Gujarat's share rose from a 6.5 per cent in 2009 to around 8 per cent at present.
