Maruti hikes prices by Rs1,000-11,000 despite slow sales

Mumbai: Maruti Suzuki India Ltd, the country's top car maker, has raised prices of almost all of its models by Rs1,000 to Rs11,000, saying higher raw material prices are affecting margins.

Maruti, a unit of Japan's Suzuki Motor Corporation, said the increase ranges between Rs1,000 to Rs11,000 (ex-showroom, Delhi) and is effective across all cities and is applicable to most of its models.

In early January 2008, the company had increased the prices of its Swift model (Petrol and Diesel).

Maruti, meanwhile, reported a steep drop in the sales of Maruti 800, and slow growth in the A2 segment (which includes Alto, Swift, Wagon R, Zen).

Maruti Suzuki saw its growth plunge to a paltry two per cent in January, one of lowest in this financial year.

Maruti sold about 63,459 units in January compared with 62,248 units in the corresponding month last year in the local market. However, the sales of Maruti 800 declined by 22 per cent to 5,470 (compared with 7,021 last year).