Toyota hikes prices of its cars

Toyota Kirloskar Motor has announced that it will hike prices of its key models by up to Rs 24,000 with effect from September 21, in a bid to partly offset higher cost of raw materials, rising input costs and rupee depreciation. The company said the prices of the Etios, Etios Liva, Innova and Corolla Altis will be increased by up to 1.50 per cent.

"Due to inflation, falling rupee and increase in the cost of materials, the company was forced to pass on the increase in cost to the customers," Toyota Kirloskar Motor is reported to have said in a statement.

The company said that the Innova will be dearer by Rs 7000 to Rs 11,000 from its current price of Rs 9.77 lakh to Rs 14.42 lakh. The Corolla Altis will be costlier by Rs 11,000 to Rs 24,000 from the existing price of Rs 11.74 lakh to Rs 15.89 lakh. The Etios sedan will see a hike ranging from Rs 4,000 to Rs 8,000 from its current price of Rs 5.45 lakh and Rs 8.15 lakh while its hatchback cousin, the Etios Liva, will cost Rs 4,500 to Rs 8,600 more from the present price of Rs 4.46 to Rs 6.59 lakh (all prices ex-showroom Delhi) with effect from September 21.

Earlier this month, Ford India had hiked prices by 1-5 per cent on different models to offset rising input costs. Last month, many luxury car makers like Mercedes-Benz, BMW, MINI and Audi also hiked prices of their model range in India by up to 5 per cent.

Although it had recovered a bit in the past one week, the rupee has depreciated against US dollar for a prolonged period. It has weakened over 17 per cent against the dollar since April, pushing up import and input costs. As on date, the dollar was trading for Rs 63.38 which is still considerably high.

Also read: Toyota launches Etios, Etios Liva Xclusive editions