Congress Claims Most Indians Locked out of Consumption Economic system; CIITES Auto Gross sales Figures

Congress Common Secretary Jairam Ramesh Addresses a press convention in New Delhi on Thursday (Might 22, 2025). , Photograph Credit score: Ani

Flagging a reported drop within the share of passenger vehicles within the total auto gross sales, the Congress On Wednsday (Might 28, 2025) Claimed that it factors to a state of the economic system the place Indians are locked out of the consumption Economic system, there may be Rising Inquelity, Stagnant Incomes and WEAK Funding.

Congress Common Secretary in-Cost Communications Jairam ramesh Shared a Media Report which cleamed that whereas the center class is More and more unable to transition from two-wavelers to entry-level vehicles, the game utility car (suv) Share of First-Time Consumers.

There was no immMIDIAIE Response from the federal government or the Bharatiya Janata Occasion (BJP) on the claims.

“India Inc (Indian Nationwide Congress) is Elevating The Siren As soon as Once more-this time for auto gross sales. In 2018-19, passenger vehicles made up 65% of whole gross sales of autos; that share is nown 31%. Multi-purpose autos now account for 65% of gross sales, “Mr. Ramesh mentioned in a publish on x.

Noting that automobile gross sales have lengthy been consides an indicator of the economic system’s well being, Mr. Ramesh Mentioned, “The Final Few Years Have Seen A ‘Decoupling’ of the 2 with medium gdp development been accounted by concertingly low development in automobile gross sales.”

“Consumers are Growing Turning In the direction of The Used Automobile Market.

“What does this say in regards to the state of the economic system? Most Indians are locked out of the consumption economic system – about 88% of Indian households econom Ramesh mentioned.

Flagging the difficulty of “Rising Inequality”, Mr. Ramesh mentioned the surgging gross sales of pricey Suvs in comparison with the stagnant gross sales of passenger vehicles factors to the elite gaining a disproportionate share of the economic system’s inexperienced.

He alleged that there was “pernicious intelligence” with most decrease and middle-income shoppers caught of their present revenue segments and are unable to rain out of thatm.

Flagging the difficulty of stagnant incomes, Mr. Ramesh mentioned “The auto gross sales figures additionally mirrored the decrease and center courses are seeing their incomes stagnating amidst medium to excessive inflation.” He Additional Claimed that it additionally additionally confirmed weak funding.

“Weak consumption within the home economic system means producers haven’t any incentive to arrange new factories or create new capital for home markets,” MR. Ramesh mentioned.