Audi to raise prices from May

German luxury car manufacturerAudi today announced an increase in prices by an average of 3% with effect from May 1, 2014.

"While Audi has exhibited stellar sales performance in 2013 and in the first quarter of 2014, the overall market scenario has remained challenging with the constant fluctuation in forex rate; thus resulting in arise in input and operational costs. To address this, we have rationalised prices, but have ensured that the impact is as minimal as possible," said Joe King, head, Audi India.

Audi sold 10,126 units in the last financial year. Thecompany recently introduced its most powerful model in portfolio RS7 sportbackin the Indian market.