Maruti Suzuki has increased prices across all its products with immediate effect. The company hiked the prices by up to Rs 20,000. While there has beeen an increase of Rs 1500- Rs 5000 across some models, the major hike has been made for compact SUV Vitara Brezza. Vitara Brezza has a Rs 20,000 price hike which could thwart buyers to opt for it.
This is the second price increase by the country’s largest carmaker. The last time Maruti Suzuki increased prices was in January. Similar to Brezza, Baleno had to bear the highest hike of Rs 20000. In January Maruti had blamed rising input costs for the hike. The Union Budget had also sparked off a round of price hikes this year – when Maruti had also increased prices across the board (by 1400-35,000) as a result of the infrastructure cess imposed by the government.
This time around , the company cites forex movement and strategic product decisions as reasons for the hikes. This is the fourth price increase by Maruti in the past 12 month period. Most other manufacturers are likely to take a cue from Maruti, since they largely tend to hold off on any price hike considerations, until the market leader bites the bullet. In January too Hyundai had announced an up to 30,000 price hike soon after Maruti. We expect more announcements to follow from the rest of the car brigade in the next few days.