According to a company spokesperson, the price increase has been necessitated due to a rise in input cost due to the weakening of rupee.
“The price increase has been necessitated on account of the increase in the cost due to the weakening of rupee against the dollar and increase in administrative cost,” a company spokesperson told IANS.
“It (price increase) will be effective from January 1, 2016 and will vary across models. It will be up to Rs.20,000.”
On Wednesday, another passenger vehicle major Hyundai Motor India had announced a price hike of up to Rs.30,000 across all its models from next January onwards.
“In these challenging market conditions, we are constrained to consider the price increase on account of factors like increase in cost of components, weak rupee etc,” Rakesh Srivastava, senior vice president for sales and marketing, Hyundai Motor India had said.
Lately, the rupee value has been on a downward trajectory due to heavy outflows of foreign funds from the equity and debt markets.
The foreign investors are on a selling frenzy in the Indian markets ahead of a likely US interest rate hike in mid-December. (IANS)