LAHORE - The sales of tractors have registered a decline in Jan 2013, as Al-Ghazi Tractors Limited reported a decline of 81 per cent monthly to 592 units, while Millat tractor’s sales plunged by 77 per cent MoM to 1,020 units. The downward trend in Jan 2013 sales was mainly due to the high-base effect of Dec 2012 sales, where both the companies delivered their final consignment of tractors to the Punjab govt. Another reason for the decline includes the imposition of GST (from 5 per cent to 10 per cent) on tractors effective 1st Jan 2013, experts said.

LCV sales witnessed 52pc MoM growth in Jan 2013, while on 7MFY13 basis, total car sales remained down 27pc YoY. The Honda Atlas Cars reported a 157pc MoM jump in total units sold to 2,220 units. This growth is due to the flourishing sales of new Civic along with astonishing sales of City new model “ASPIRE”. In 7MFY13, the company registered a healthy growth of 50pc YoY to a cumulative 10,513 units. Product-wise data shows City led the way as its sales skyrocketed in Jan-13 to 1,221 units up massively 339pc MoM, along with that, Civic followed the trend to post a growth of 70pc MoM to 841 units in Jan-13.   

Suzuki Motors witnessed a 17pc MoM improvement in sales in Jan-13 to 7,004 units, while on 7MFY13 basis sales were down 31 per cent YoY to 41,328. The decline was due to high-base of last year (PSMC benefitted from the Yellow Cab Scheme that augmented sales last year). The monthly boost in sales was due to the seasonal phenomena (new-year effect), where consumers desired to have their car registered. Sales of Swift, Cultus, Mehran, Bolan and Ravi witnessed a growth of 38pc MoM, 50pc MoM, 10pc MoM, 9pc MoM and 11pc MoM, respectively in Jan-13.  Likewise, sales of Indus Motors  grew massively by 157pc MoM in Jan-13 to 3,560 units. The reason behind such growth was the launch of Corolla GLI’s  edition, the new-year registration impact.

This led the Corolla’s sales to grow enormously by 138pc MoM. During 7MFY13, the company sold a total of 18,259 units, which is still 38pc lower on a YoY basis. Sales of another variant, Hilux, registered a healthy growth of 40pc MoM and 55pc YoY to 264 units in Jan-13. We foresee the upcoming months to be better-off for the company due to 1) restriction on imports, 2) expected launch of Toyota Fortuner in Mar-13, and 3) further JPY depreciation against PKR.