Renault Country CEO & MD Sumit Sawhney
Despite the slowdown in the industry, largely due to Centre's demonetisation effect, the French auto major Renault is optimistic about India at the same time bit cautious.
The company has said that its growth would be more than the industry in 2017. Besides, the company has said that it would launch one new product in the second part of the year 2017 and made-in-India cars will be exported to two more new countries.
Sumit Sawhney, country CEO and MD, Renault India Operations said that 2016 (January to December) was good for the company as it managed to gain 4.5% market share and the company sold around 1.20 lakh units till November as compared to 45,000 units in 2015 and hopes to close the year with about 1.30 to 1.40 lakh units as compared to 53,000 units last year.
The growth came from Kwid largely, which accounts for 80% of Renault's sales in India. The product was launched in September 2015.
The two products, which are key for the company are Duster and Lodgy, but Kwid and Duster are the ones which are driving the sales.
Sawhney said like the industry the company also witnessed the pinch of demonetization which has affected the sales and walk-in to the dealership etc. This would take few more months to settle down. But the key is the government should come out with stimulus like reducing the interest rate, policy etc.
"I am cautiously optimistic about 2017, the industry would grow by around 3-5% and we will surpass the industry growth," said Sawhney.
He added the growth drivers would be expansion of networks (from around 270 to 350 in 2017), products and awareness about the brand.
The company plans to launch one new product including a possible hybrid in the future. The products will have minimum localisation of around 80%, he added.
Speaking about exports, Sawhney said, in 2016 the company has exported around 6,000 units. The countries include Sri Lanka and Nepal and in 2017, Renault plans to export made-in-India cars to South Africa, Bhutan, and Bangladesh.