Indonesian Political, Business & Finance News

Indian Imported Pick-Up Trucks 50% Cheaper Than Domestic Models, Here's the Comparison

| Source: CNBC Translated from Indonesian | Trade
Indian Imported Pick-Up Trucks 50% Cheaper Than Domestic Models, Here's the Comparison
Image: CNBC

Jakarta—PT Agrinas Pangan Nusantara’s plan to import 105,000 pick-up units from India has sparked debate. One of the primary reasons the company has selected vehicles from India is the significantly more competitive pricing compared to models already circulating in the domestic market.

Agrinas Chief Executive Joao Angelo De Sousa Mota disclosed that he remains bound by non-disclosure agreements (NDAs) with suppliers and therefore cannot reveal detailed pricing for the Indian-sourced pick-ups and trucks. Nevertheless, the price differential with domestically produced vehicles is substantial.

“We have signed NDAs with both Mahindra and Tata. Because we are purchasing in bulk, in large quantities, the price is almost 50% cheaper than the 4x4 products currently available on the market in Indonesia. That is one of our key benchmarks,” Joao stated.

The pick-ups that Agrinas will import are equipped with four-wheel drive systems or 4x4. In Indonesia’s market, vehicles with this configuration are already represented by several models from Japanese manufacturers, including Toyota Hilux and Mitsubishi Triton.

For the Hilux 4x4 model, current prices range from Rp456.3 million to Rp545.9 million for the double cabin variant. Meanwhile, Triton 4x4 is priced at approximately Rp380 million to Rp550 million depending on the variant.

Several Indian-origin pick-up models have actually been marketed in Indonesia previously. One example is the Mahindra Scorpio Pick-Up, which has been sold by RMA Group Indonesia since 2019. This model is available in single cabin and double cabin variants.

By way of comparison, according to Mahindra Indonesia’s official website, the Scorpio Pick-Up single cabin variant is priced at approximately Rp278 million, whilst the double cabin variant is priced at around Rp318 million. This model is regarded as a challenger to pick-ups from Japanese manufacturers in the same segment.

Additionally, there are other pick-up models such as Tata Yodha and Tata Ultra T.7, produced by Tata Motors. Both vehicles are imported wholly from India, though their official prices in Indonesia are not publicly disclosed. In the Indian market, vehicles in this class are typically priced around Rp300 million.

However, the plan for large-scale imports has drawn criticism from several quarters. The domestic automotive industry is seen as possessing the capability to produce pick-up trucks with significant capacity.

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