Car sales in India, the world's second-most populous country, are set to jump about 16 percent this year to 1.4 million vehicles, buoyed by robust economic growth and government incentives, in contrast to a slump in many developed markets.
That, and the abundance of important new models waiting to make their world premiere has industry insiders talking for the first time of a Delhi auto show that could rival or surpass the annual Detroit auto show in importance.
"The Indian auto industry and the Indian auto market have become internationally very important and therefore, no one can ignore this market," said Mahindra & Mahindra's automotive chief, Pawan Goenka, who is also the president of industry body Society of Indian Automobile Manufacturers.
"Even though the Detroit auto show immediately follows the Delhi auto show, there is full participation from all international companies and they are bringing in concept vehicles as well as launching brand new products."
The Auto Expo, held every other year in the capital city of New Delhi, first grabbed global headlines in 2008, when Tata Motors showcased its $2,500 Nano with the promise of bringing motorisation to the masses.
Next week's show will have no shortage of rivals -- from Toyota Motor Corp to General Motors Co -- looking to debut their own compact cars as they seek a larger presence in one of the world's few healthy auto markets.
India is also expected to become a strategically crucial base for producing small cars for global automakers, many of which are looking to ship their cheap cars and components overseas.
Indian ratings agency CARE has forecast domestic passenger car sales to rise 14.5 percent annually to 2.4 million units in the fiscal year to March 2014, with growth led by small cars.
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