Technology and Business Services
Not just us, all tech start-ups hit by the headwinds: cars24
05 Aug 2022
1 min read
The
Indian used car market was valued at $18 billion in FY21—with 3.9 million used
cars sold in FY21— and is projected to grow at a CAGR of 15% between FY21 and
FY26, according to a report by Praxis Global Alliance. The report also says
that the used-car/new-car ratio for India is currently at 1.4 for FY21, and is
projected to reach 2 by FY26. "India is still an underpenetrated PV
market, thus pushing demand for used cars. The motorisation rate is 17 in India
vs 400-600 for developed countries," the report reads. Analysts at Praxis
Global Alliance also believe that the implementation of the BS VI emission
norms and the scrappage policy will induce higher demand for used cars. The
revision of the GST rate on used cars from 28% to 12-18% on used cars will also
drive growth