Mahindra & Mahindra (M&M), the Indian sports utility vehicle manufacturer has announced that it will be increasing prices across its car models by up to 2 percent with effect from January 1, 2014.
Mr. Pravin Shah Chief Executive Automotive Division M&M commented on the price hike stating that the carmaker had been holding back on the price hike for some time now and it has now become essential to raise prices in order to compensate for the increase in costs of material, input and freight.
Majority of the carmakers in the Indian automobile industry have announced a price hike with the aim of correcting the price for the high input costs as well as the depreciation of the Indian Rupee resulting in higher import and production costs. These include Honda Cars India, Tata Motors, Nissan and Renault and even luxury carmakers such as Mercedes Benz, BMW and Audi. Other carmakers are expected to follow suit.