KARACHI: Atlas Honda Limited (AHL) has increased the prices of motorcycles by Rs 1,000 to Rs 1,600 in the last seven months despite lower import costs due to the appreciation of the rupee against the dollar.
A dealer said the new prices would take effect on April 1 and, as in the past, the company did not give a reason for the price increase. For example, Honda's CD70 will be sold at Rs 82,900 with an increase of Rs 1,000, while the CG25 will be sold at Rs 136,500 with an increase of Rs 1,600.
AHL sold 836,046 units in the first eight months of FY 21 as against 7,194 units in the same period last fiscal. The cost of imports has declined since the last week of August 2020, when the dollar was at Rs 168.40 against the current rate of Rs 154-155, but assembler prices for motorcycles and other vehicles have continued to rise.
Muhammad Sabir Sheikh, a motorcycle dealer on Akbar Road, said that since August 2020, the price of a 70cc motorcycle has gone up by Rs 8,000-9,000 while the price of a 125-150cc motorcycle has gone up by Rs25,000 to Rs50,000.
Car prices have risen 2 to 7 % since August 2020 to date, said Shankar Talreja, an analyst at Topline Securities. He said that the price of Suzuki Wagon R is now Rs. 1.64 million which was Rs. 1.65 million. He said that similarly cults are being sold at Rs. 1780,000 instead of Rs. 1745,000.