Major Relief for Buyers as Carmakers Slash Prices After GST Cut

Odisha dealers expect higher sales ahead of festive season

Bhubaneswar : The recent reduction in Goods and Services Tax (GST) on passenger vehicles has triggered a wave of price cuts by leading car manufacturers across India. Auto companies including Tata Motors, Mahindra & Mahindra, Toyota, Renault, and Maruti Suzuki have announced significant reductions across their models, offering customers benefits ranging from ₹40,000 to as high as ₹3.5 lakh. In Odisha, where demand for compact cars and SUVs has steadily risen in recent years, automobile dealers expect the decision to not only boost sales but also make vehicles more affordable for middle-class families.

Tata Motors Leads the Way

Tata Motors announced price reductions of up to ₹1.45 lakh across its passenger vehicle range. The company confirmed that the Tiago will now be cheaper by ₹75,000, while the Tigor has seen a cut of ₹80,000. The Altroz price has dropped by ₹1.10 lakh, the Punch by ₹85,000, and the Nexon by ₹1.55 lakh. Tata’s upcoming Curvv has been reduced by ₹65,000, while the Harrier and Safari have both become more affordable with cuts of ₹1.40 lakh and ₹1.45 lakh respectively. Company officials clarified that these cuts are based on ex-showroom prices in Delhi, but similar reductions will reflect in Bhubaneswar, Cuttack, Sambalpur, and other Odisha markets.

Mahindra Announces Immediate Reductions

Mahindra & Mahindra followed suit by cutting prices up to ₹1.56 lakh. Popular SUVs have seen major changes, with the Bolero Neo reduced by ₹1.27 lakh. The new XUV 3XO has become cheaper by ₹1.40 lakh in its petrol variant and by ₹1.56 lakh in the diesel version. Mahindra’s Thar 2WD diesel is now ₹1.35 lakh less, while the 4WD diesel has been reduced by ₹1.01 lakh. The Scorpio Classic also comes with a price cut of ₹1.01 lakh. Dealers in Odisha believe that Mahindra’s move will attract buyers, where SUVs like the Bolero and Scorpio are highly popular.

Toyota’s Big Announcements

Toyota Kirloskar Motor has introduced some of the biggest cuts among all manufacturers. Reports suggest that the Fortuner has been made cheaper by up to ₹3.49 lakh, while the Legender is down by ₹3.34 lakh. The Hilux Lifestyle Pickup has seen a reduction of ₹2.52 lakh. Toyota’s luxury models too have witnessed adjustments, with the Vellfire reduced by ₹2.78 lakh and the Camry by ₹1.01 lakh. The company’s mass-market models have not been left out, with the Innova Crysta cut by ₹1.80 lakh and the Innova Hycross by ₹1.15 lakh. The Glanza has dropped by ₹85,300, while the Urban Cruiser Hyryder is now cheaper by ₹65,400. These cuts are likely to encourage urban buyers in Odisha.

Renault and Maruti Suzuki Join the Race

Renault India has also slashed prices on its models by up to ₹96,395, effective for cars delivered from September 22. The Kwid has become cheaper by ₹55,095, the Triber by ₹80,195, and the Kiger by ₹96,395. Meanwhile, Maruti Suzuki, the country’s largest carmaker, has hinted at upcoming reductions. According to Chairman R.C. Bhargava, prices may fall by around nine percent. Expected cuts include ₹40,000 to ₹50,000 on the Alto and ₹60,000 to ₹67,000 on the WagonR. Given Maruti’s dominance in Odisha’s car market, especially in small towns, these reductions could have the widest impact.

Odisha Market Outlook

Automobile dealers across Odisha are gearing up for increased footfall as the festive season approaches. “Customers in Odisha are highly price-sensitive. A ₹1 lakh reduction can be a game-changer, especially for first-time buyers,” said a Bhubaneswar-based dealer. Industry watchers predict that rural demand will also rise, particularly for utility models like the Bolero, Scorpio, and Punch, which are favored in hilly and tribal regions. Banks are expected to complement the trend with attractive car loan schemes.

Boost to Auto Sales and State Economy

Experts say the GST-driven price cuts will not only benefit customers but also stimulate automobile sales in Odisha. Higher sales are likely to boost state revenues from vehicle registrations and road tax collections. If the momentum sustains through the festive season and beyond, Odisha could see a significant surge in passenger car ownership, bridging the gap with larger metro markets.