The impact of demonetization on the company’s motorcycles and three-wheelers sales in India has worn off, Bajaj Auto CEO Rajiv Bajaj said.
“Sales was down 20% in the aftermath of demonetization, but now it’s 0%,” Bajaj said, adding that he was expecting to have grown his sales by 20% through the year.
“We were expecting growth of 20% and for the year from April to October, we had been growing at those rates,” Bajaj said in a TV interview today. The loss of growth in the December and January was purely because of demonetization, he added.
Earlier this month, the company said the sales of its two- and three-wheelers in India were down 16% in January at 1.35 lakh units. For December, the company’s domestic sales were down 16% as well.
Bajaj Auto is one of India’s top three motorcycle makers and has in its portfolio brands such as Pulsar and Discover.
The company exports about half of its production, and this has helped it brace the demonetisation impact better, Bajaj said.