The popularity of Indian utility vehicles (UVs) is not limited to the domestic market. These vehicles are finding more and more takers abroad, too. Exports of passenger cars have declined for consecutive years, with a total drop of three per cent between FY14 and FY16. Shipments of UVs, however, saw a sustained increase and jumped 173 per cent between these two years.
India exports one-fifth of the 3.4-million passenger vehicles (cars, UVs and vans) it manufactures in a year. Utility vehicles formed a mere seven per cent of passenger vehicle exports in FY14. It rose to 12.4 per cent in the following year and is now a significant 18 per cent of total exports. From a mere 43,433 units in FY14, India exported 118,721 units of utility vehicles in FY16. In the same period, the share of UVs in the domestic market has remained stable at 21 per cent.