Car Prices In Pakistan Vs India: Cars are significantly more expensive in Pakistan compared to India. For instance, an Alto that costs around Rs 4 lakh to Rs 5 lakh in India requires a minimum expenditure of PKR (Pakistani Rupee) 23 lakh (approx INR 6.91 lakh), ex-showroom, in Pakistan. Additionally, road tax and other fees will add to the cost, further increasing the overall price.
This difference is not limited to just this one model; if you compare the prices of any car, you will find that cars are considerably more expensive in Pakistan than those in India. Let’s begin with some other popular Suzuki models.
The starting price of the Maruti Suzuki Wagon R in India is Rs 5.55 lakh, ex-showroom, Delhi, while the Suzuki Wagon R in Pakistan commands a starting price of PKR 32 lakh (approx INR 9.62 lakh), ex-showroom, which is more than five times that of the Indian model.
Similarly, the Maruti Suzuki Swift, one of the best-selling cars in India, has a starting price of Rs 6.49 lakh, ex-showroom, Delhi. In Pakistan, this hatchback (Suzuki Swift) is available at a starting price of PKR 38 lakh (approx INR 11.42 lakh), ex-showroom, which is almost six times the price of the Indian model.
Coming on to Toyota, let’s compare the price of the Toyota Fortuner, one of the most desired cars in India, to that of the model sold in Pakistan. While the Fortuner is sometimes considered overpriced in India, the price in Pakistan surpasses expectations even further.
In Pakistan, the base model of the Toyota Fortuner is available at PKR 1.45 crore (approx INR 43.6 lakh), ex-showroom. In contrast, the base model of the Fortuner in India costs Rs 33.43 lakh, ex-showroom, which is approximately PKR 1.12 crore less compared to Pakistan. The same story continues with every car.
It is also worth noting that the Pakistani rupee is weaker compared to the Indian rupee. One Indian rupee is approximately equivalent to 3.3 Pakistani rupees. This is one of the many reasons for the significant price gap compared to the Indian market. Here are some other factors as well:
Behind The Scene!
The prices of all vehicles are skyrocketing in Pakistan as the country is experiencing an economic crisis with almost no control over inflation. This has had a significant impact on the automobile industry. Vehicle prices have increased drastically in the past few years, and to make matters worse, Pakistan has recently introduced new tax rates on locally manufactured vehicles, shifting from a fixed tax rate to a value-based tax system.
As outlined in Pakistan’s Finance Bill 2024, the tax on vehicles is no longer a fixed amount but varies according to the vehicle’s price. According to media reports published in several Pakistani publications, this could significantly impact the pricing of locally manufactured vehicles, potentially leading to higher costs for consumers.
At a time when car sales in Pakistan are declining, further increases in car prices could have an even more detrimental impact on the country’s automobile industry. Currently, the situation is such that only a few thousand cars are sold in Pakistan each month.
According to the Pakistan Automotive Manufacturers Association (PAMA), passenger car sales in May 2024 stood at 8,487 units, which was 4% lower compared to 8,873 units in April 2024.
