primarily a rural market product, declined by 5.9 per cent in November and plunged 22 per cent in December.
According to auto industry lobby Siam, after a pick-up on festival sales in September and October, note ban saw sales skidding in November. Car sales contracted 5.18 per cent to 1.54 lakh units.
Similarly two-wheeler sales declined 2 per cent to 3.88 lakh units in November while bike sales declined by over 10 per cent to 7.78 lakh units. The three-wheeler sale plummeted by 26 per cent to 33,662 units.
The declines were much steeper in December, plunging to a 16-year low slipping by 18.66 per cent, according to Siam data.
Similarly, FMCG firms said they were expecting 5-6 per cent drop in bottomline due to the note ban in the third quarter, which was visible in the HUL and ITC numbers announced last week.
A Kotak Institutional Equities report said FMCG companies would see their aggregate revenue and net profit declining by 0.2 per cent and 5-6 per cent, respectively in the third quarter.
Real estate sales, another key segment of economic growth, has taken a big hit from note ban, with sales plunging by about 50 percent since the noteban.
The registration of properties also saw a decline. In the process, developers are estimated to have incurred a revenue loss of Rs 22,600 crore because of the cash ban while state governments suffered a notional loss on stamp duty of Rs 1,200 crore, as per property consultant Knight Frank India.
(This article has not been edited by DNA’s editorial team and is auto-generated from an agency feed.)