The implementation of the new tax rates under GST 2.0 has had a notable effect on the pricing of cars, with brands slashing prices of models across the board. Nowhere has this been more noticeable than on the budget end of the price bracket, with entry-level cars now a lot more affordable - some by upwards of Rs 1 lakh. The GST 2.0 revisions also bring some surprises with the Alto, long regarded as India’s most affordable car, no longer being the most affordable. So without further ado, here’s a look at the five most affordable cars on sale in India.
Yes, the GST 2.0 pricing revisions have seen Maruti’s budget tall boy hatchback, the S-Presso, replace the Alto as the most affordable car on sale in India. The small hatchback received a price cut of up to Rs 1.30 lakh - the highest in Maruti’s range, with the price now starting from Rs 3.50 lakh - down from Rs 4.27 lakh (ex-showroom) previously.
The S-Presso is mechanically identical to the Alto K10, featuring the same 1.0-litre petrol engine delivering 67bhp paired with manual and AMT options. A factory-fitted CNG kit, too, is available, though the tank sits in the boot and eats into usable space. The S-Presso also remains one of the last Maruti cars not to be upgraded to six airbags in recent months, suggesting that its days could be numbered.
Also read: Maruti Suzuki Fronx, Ertiga To Get 6 Airbags As Standard Soon; S-Presso, Ignis Set To Miss Out
For decades, the ubiquitous Maruti Suzuki Alto had been the go-to choice for budget-conscious buyers, though in recent years sales have seemed to stall. The recent GST rate revisions have seen prices drop by over Rs 1 lakh depending on the variant, with the hatchback now starting at Rs 3.70 lakh (ex-showroom) - down from Rs 4.25 lakh (ex-showroom).
Known for its compact size and fuel efficiency, the Alto K10 is perfect for city commutes. It comes with a 1.0-litre engine that produces 67bhp and a healthy mileage of 24.90 kmpl. Priced between Rs 3.99 lakh to 5.96 lakh (ex-showroom), it has remained one of the most pocket-friendly cars in India.
Also read: Renault Kwid 10th Anniversary Edition Launched: Entry Hatchback Updated With More Safety Features
Soldiering on as a workhorse for Renault India, the Kwid – despite its compact dimensions – gives new car buyers an SUV-like stance. Combine with the affordability factor, spacious and featureful cabin, along with its gutsy 1.0-litre engine that generates 67bhp and offers a mileage of up to 21.7kmpl, the Kwid has been a favourite amongst those looking to get a compact car that has a go-anywhere capability. The Kwid also boasts a touchscreen infotainment system and decent cabin space. The entry hatchback also recently received a model year update, adding in three-point seatbelts for all passengers and six airbags on the fully loaded model. The carmaker also updated the Kwid's variant names, bringing it in line with the facelifted Kiger and Triber.
Prices for the Kwid start at Rs 4.30 lakh and go up to Rs 5.99 lakh (ex-showroom).
One thing the Tata Tiago has shown the Indian car buyers is that you can have it all and still be on a budget. It’s a well-rounded hatchback with solid build quality, a cabin that’s practical and spacious, and offers most of the modern-day features. Powering it is a 1.2-litre petrol engine producing 85bhp and returning a mileage of 20.09kmpl. It’s also one of the most handsome-looking cars at its price point with 4-Star GNCAP crash test results backing up its safety quotient.
ALso read: 2025 Tata Tiago Launched At Rs 5 Lakh; Gets 10.25-Inch Touchscreen, LED Headlights
Tata updated the Tiago at the start of the calendar year with tweaks to the styling, new exterior colour options and equipment upgrades, including new LED headlamps, larger 10.25-inch touchscreen, among others. Prices for the Tiago range from Rs 4.57 lakh up to Rs 7.82 lakh (ex-showroom).
The third Maruti Suzuki hatchback in the list, the Celerio, is a practical and bigger alternative to the Alto that offers impressive mileage and good drivability in a very compact design. Powered by a 1.0-litre petrol engine, it delivers 66bhp and offers a fuel efficiency of up to 26.68kml, making it one of the most fuel-efficient cars on sale in India. As with most Maruti's the Celerio received some notable safety upgrades in recent months adding in features such as six airbags as standard. Pricing starts at Rs 4.70 lakh and tops out at Rs 6.73 lakh (ex-showroom).
