Business Today

M&M to up prices by up to Rs 8,000 in Oct

A company statement said the increase would be implemented from October 1 and in the range of Rs 3,000 to Rs 8,000, depending on the model.

twitter-logoPTI | October 2, 2010 | Updated 09:53 IST

Auto major Mahindra & Mahindra (M&M) on Monday said it will raise prices of all its products by up to Rs 8,000, with effect from October 1, due to higher raw-material costs and implementation of new emission norms.

"This increase would be in the range of Rs 3,000 to Rs 8,000, depending on the model, and will be effective from October 1," the company said in a statement.

It attributed the increase of its passenger- and commercial-vehicle prices to higher raw-material costs and implementation of Bharat Stage III emission norms across the country from next month.

"We have been holding back this raise for a while, but now it has become imperative to raise prices, especially as the prices of raw materials have been on the rise," Chief Executive (Automotive Division), Rajesh Jejurikar, said.

Other companies are also expected to increase product prices. Last week, according to an internal communication circulated among top company officials, Tata Motors is also planning to increase prices from next month, to minimise the impact of rising input costs, particularly tyres.

Beginning September, Hyundai Motor India had raised the prices of its vehicles, across models by up to 1.2 per cent.

The country's largest carmaker, Maruti Suzuki India, had also announced an increase in prices in August, driven by high commodity prices. It had increased the prices of all of its models, except the Alto, by up to Rs 7,500.

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