Car maker Ford India will raise prices of its entire range of models by up to 3 per cent from next month on rising input costs and devaluation of rupee.
“For the last three months, the rupee devaluation is happening. The rising input costs are also hurting us. We have now decided to increase the prices of all our products by 2-3 per cent,&lrquo; Ford India Executive Director (Marketing, Sales and Service) Nigel Wark told PTI. The company will hike the prices of its models from January 1, 2012, he added.
Elaborating on the impact of currency fluctuations, Wark said: “Our models like Figo has very high local content. However, our suppliers import technology and raw materials and they are facing the burden.... Overall, our operating cost has increased in recent months.&lrquo; The company has already hiked prices of its cars thrice this year, he added.
Ford India’s small car Figo is priced between Rs 3.71 lakh and Rs 5.73 lakh. Sports utility vehicle Endeavour is sold at Rs 17.07 lakh-Rs 20.13 lakh. The company sells the sedan Fiesta Classic for Rs 5.50 lakh-Rs 8.20 lakh, while the new Fiesta is offered between Rs 8.25 lakh and Rs 10.44 lakh (All ex-showroom Delhi prices).
Earlier in the morning, the country’s second-largest car maker Hyundai Motor India said it will raise the prices of its vehicles by 1.5-2 per cent from the next month on account of high inflation and the weak rupee.
Another car-maker General Motors has on Tuesday announced to raise prices of its cars by 1-2 per cent from January next year for similar reasons. Toyota Kirloskar Motor has too said a price hike of 1.5-3 per cent in all models manufactured in India will take place from January 1, 2012.
Rupee depreciation is putting pressure on firms importing a substantial amount of components from overseas. The Indian currency fell by 4 paise to Rs 51.45 per US dollar in early trade on the Interbank Foreign Exchange on Wednesday. Other car-makers, including Maruti Suzuki India, are also mulling price hike to offset rising input cost.