Car Rental Business and Economy

Car rental in India is a booming industry today with major global players staking their valuable participation along with the national players. The car rental business and economy in India is a varied sector with regional to international players in the arena.

India, with its diverse physical and cultural attractions is a beautiful tourist destination. From the gorgeous dunes in the deserts to the alpine mountains and pearly beaches India bustles with natural beauty. The myriad attractions of India lure tourists from all over the world. The growth in tourism industry is analogous to the growth of car rental industry in India. With substantial growth ratio car rental business and economy is one of the lading economic constituent of Indian economy today.

Car rental in India has long surpassed the simple definition of hiring a car. Today it is a wide network of strategies that are employed is expansion of the sector. There are several packages offered by the car rental companies targeting different consumer levels. Some car rental companies have tied up with major travel web sites to enhance car rental business.





In the year 2002, a survey was conducted by Hertz on the car rental industry in India. The size of the car rental industry in India was estimated to be Rs. 30 billion.150, 000 cars in India were registered as taxis. Both organized and non-organized car rental industries exist under the broad nomenclature of car rental industry in India. Some of the major players and tie-ups in this car rental industry in India are:

Orix with IL & FS
Travel House with ITC Welcome Group
Avis with Oberoi Hotels

In India there are both car rental compnies whose core business is to rent a car and there are businesses who rent cars as their secondary business. The hotels offering car rentals fall under the second category.

Car rental business is a growing sector in India.