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Mahindra & Mahindra to suspend production for 3 days in May

Snapshot: The move has been undertaken to adjust the production to market demand & to avoid stock pile-on.

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Bowing to slump in demand, Indian auto major, Mahindra & Mahindra Ltd have announced a 3 day suspension of production in the month of May 2014. In addition, the wholly-owned subsidiary Mahindra Vehicle Manufacturers Ltd’s facility in Chakan will also observe no production days for up to three days in this month. 

As part of aligning its production with sales requirements, (Mahindra & Mahindra) would be observing no production days at the company's automotive plants for up to three days during the remaining period of May, 2014.a Mahindra spokesperson said. The management does not envisage any adverse impact on availability of vehicles in the market due to adequacy of vehicle stocks to serve the market requirements.The company has earlier undertaken a similar no production days for three months for three months to adjust the output to market demand. 

The Indian automaker had reported to have registered a 12 per cent decline in total sales at 36,274 units in April 2014. The domestic sales stood at 34,107 units as against 39,902 units in the same month of the previous year, which translates to a 15 per cent decline. 

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