Car dealers hold 43 to 45 days of stock before the festive season: what FADA warns about October 2026
27 October 2026 · 2 min read · HireHo
Based on FADA's September 2026 retail report, as reported by Autocar Professional and Motor India. Summarised in our own words.
Dealer inventory is the number of days it would take a showroom to sell the stock it holds. FADA says passenger vehicle inventory rose about five days to 43 to 45 days at the end of September 2026. Its own recommended level is 21 days. Around 60% of passenger vehicle dealers reported higher stock ahead of the festivals.
Dealers are still hopeful
FADA's survey found 75.57% of dealers expect growth in October and 78.28% expect growth from October to December. Nearly half have raised their outlook for FY2026-27. FADA describes the mood as 'cautiously optimistic'.
Three risks FADA lists
- Rising vehicle prices, which dealers see as the biggest risk because they eat into the benefit of the GST 2.0 tax cuts
- High stock at dealers
- October compares with a high base, the first clean year-on-year comparison since GST 2.0
FADA also asks readers to watch OEM supply and areas with deficient rainfall.
What this means for buyers and staff
When stock is high, dealers often run festive offers to clear it. For showroom staff, the festive months are the busiest selling period. These are general points, not statements from the source.
These figures come from the source named below and may be revised. They show direction, not an exact count for every job in India.