Deficient monsoon brings bad news for Maruti Suzuki. Know why

Not only farmers, but prediction of deficient monsoon brought bad news for Maruti Suzuki as well. The car market leader said that the below normal monsoon could affect sales in some parts of the country, especially in rural market.

"Yes, the deficient monsoon prediction is a cause of worry. Sales could be affected in some parts, especially in the rural market," said Maruti Suzuki India Managing Director and CEO Kenichi Ayukawa.

The Indian Meteorological Department revised monsoon forecast from 93% to 88% for this year and stated that north-west region of the country could be worst hit.

In April, the MeT department had forecast that monsoon rains would be 93% of the average, which is categorised as "below normal".

Maruti Suzuki’s rural sales went up by 23% to 4,15,380 units in last fiscal year, when it posted a total of 12,92,415 units - the highest ever total sales in a financial year.

Meanwhile, Ayukawa said Maruti Suzuki would try to overcome the impact of the deficient monsoon and pinned hopes on new product launches and other market activation activities.

(Image: Indiatimes)