Surge in demand for CNG cars in Indian market
The Indian market is seeing a growing demand for CNG-powered cars. In the first half of FY2022 (April-September 2021), industry data reveals that a total of 101,412 CNG cars were sold in India. The jump in CNG cars sales from April to September this year is around a whopping 97 percent.
The demand for CNG vehicles is increasing in the auto industry. Last year from April to September this year, 51,448 CNG vehicles were sold. That is, on an annual basis, 49,964 CNG vehicles were sold during this time period. The main reason for this has been the continuous increase in the prices of petrol and diesel.
The CNG-powered car provides considerable savings compared to its petrol or diesel-engine cars. The major reason for the consumer shift to CNG models is the high price of petrol and diesel.
The CNG car has a lower running cost as the vehicle gives better fuel economy when driven on CNG as compared to petrol/ diesel. Car buyers, who have heavy day-to-day usage are finding that it makes wallet sense in choosing the CNG fuel option.
The top 5 best-selling CNG models during these 6 months include Maruti’s WagonR, Ertiga and Eeco, and Hyundai’s Aura and Grand i10.
The Wagon R is leading Maruti’s CNG drive this fiscal. It has sold 34,913 units in the April-September 2021 period, up 116% YoY. All Maruti CNG models other than the Celerio have notched smart YoY growth. The Ertiga, with 21,610 units to its credit in H1 FY2022, has clocked 111% growth while the Eeco van, with 13,450 units and 136% YoY growth is India’s best-selling CNG passenger vehicle.
Meanwhile, Hyundai Motor India is also seeing strong demand. Its Aura CNG sedan, with 9,578 units sold in the first half of FY2022, has registered 359% YoY growth indicating robust consumer interest in the eco-friendly model. Grand i10 is not very far behind – with 7,102 units, this hatchback posted 233% growth.
Tata Motors is also expected to enter into the CNG segment. In August, the Vice-President, Product Line Head, PVBU, Tata Motors, Mohan Savarkar hinted at a press conference in Chennai. Speaking at the launch of the new Tiago NRG hatchback, he said, “CNG is the way to go for smaller cars. Soon, you will see CNGs coming into our portfolio too. Whether we can use it in all our products or only specific models is something we have to wait and decide when the product hits the market. But, CNG is coming.”
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