India is filled with a magnificent range of cars and bikes, and there is an elevated level of esteem attached on both products. The three wheeled auto market is a significant unit, there are plenty of it on the streets in India, and transports people from every nook and corner of the city.
Whether three wheeled, four wheeled or two wheeled, the auto market is overflowing with activity. On a busy 6 am Monday morning so much is happening on busy four lane highway between Rajkot and Shapar in Gujarat. The roads are packed with buses, trucks and cars, it is impossible to miss a line of three wheeled vehicles positioned like a march of soldiers. it is certainly the preferred mode of transport for employees who live miles from their work destination.
A pioneering three wheel auto segment in India is Atul Auto, it has shown its eminence since inception in 1992. The company has driven valued profits in the past five years. Atul Auto made admirable 375,00 gains during the previous financial year that ended in 2014 March. The auto rickshaw market is a vastly huge segment and profits made by Atul is significantly lesser compared to 4.47 lakhs sold by Bajaj Auto around the same time. Piaggio is a fierce competitor as well.
Raamdeo Agarwal, an investor and joint managing director of Motilal Oswal on the three wheeler market in India said, ” the outcome is promising, for the simple fact that three wheel vehicle is a transport for poor man, with so much development happening we need many more of them to transport the public.”
The market share output of Atul Auto has risen over the past five with impressive 29% profits. There is a huge network of dealerships and the production capacity is systematic. In the long run the company plans to expand its portfolio and is targeting 1.2 lakh units annually by 2017.
Atul Auto has proved its worth in three wheeled auto market, for years the auto segment has been a powerful sector. It is the bread and butter for poor income families, there are thousands of them on the road, and hundreds of people depend on autos. Scores of Indians own cars and bikes and some also travel by buses. Auto rickshaws are a boon during sudden emergencies when one encounters a tire puncture or misses their bus.
Atul Auto is an urbanized auto structure, autos are common in Thailand as well and are referred to as took took. it is an extended version of auto rickshaw. It will be interesting if a similar level of development happens in India in the long run. It will revolutionize the auto segment.