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India car sales slide for ninth straight month

NEW DELHI, August 12, 2013 (AFP) - India's car sales slid by over seven percent in July, marking a record ninth straight month of decline, industry data showed Monday, as an economic slump and high borrowing costs discouraged buyers. Carmakers sold 131,163 cars in India last month, down 7.
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4 percent from the same month in 2012, the Society of Indian Automobile Manufacturers (SIAM) said.

The car market, seen as an important guide to India's overall economic health, has recorded a fall in sales for an unprecedented nine consecutive months.

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"There's general gloom with the economic slowdown, high interest rates and high fuel costs," SIAM's deputy director general Sugato Sen told AFP.

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"It's all deterring buyers," he said.


The data is the latest in a string of grim figures underscoring the weak state of Asia's third-largest economy.


The market's downturn is in sharp contrast to the previous decade when car sales grew by 20 to 30 percent -- prompting foreign giants from Ford to Volkswagen to make a beeline for the country as they sought to boost sales globally. Total bus and truck sales -- another important economic health barometer -- plunged in July by 14.

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9 percent to 55,301 units from a year ago.

Meanwhile,

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