Maruti hikes prices of Euro-III models
By Our Corporate Bureau | 07 Jan 2005
New Delhi: Maruti Udyog Ltd yesterday raised the prices of three of its models by Rs10,000 to Rs15,000, with the introduction of models with Euro-III compliant engines.
The price hike has been effected on the Euro-III compliant version of the Zen, WagonR and Baleno.
Euro-III compliant versions of other car models in the company's portfolio, including the Alto, Esteem and Omni, would also be made available soon with higher price tags.
The Euro-III emission norms are being made mandatory across 11 major cities in the country from April 1.
When asked whether the price hikes would impact customer demand, Jagdish Khattar, managing director of Maruti Udyog, said, "There is no option but to increase prices.The price rise is also on account of increase in steel prices and other component prices, our costs and our vendor's costs."
He, however, added that the current price increase was not sufficient to make up for the technology costs for Euro-III vehicles.
According to industry sources, most of these models are still in the process of receiving certification from the Automotive Research Association of India.
