Floods in Gujarat caused a Rs 30 crore (Rs 300 million) loss to General Motors India and the company said it expected sales performance to be hit, for the second consecutive month, in July.
"The heavy rains and resultant floods hurt production and dispatches," GM India spokesperson told PTI in New Delhi.
However, he added that production was resuming at the company's Halol factory and the company expected operations to normalise soon.
GM India's sales in June stood at 2,183 units, about 10 per cent down from the 2,418 units it sold in the same month last year.
The company said it lost sales of around 400 units.
"Production was completely stopped since Thursday," the spokesman said, adding that even as it was resuming, the dispatches were still affected.
Daily production at the plant, where the company manufactures models like Chevrolet Optra, Chevrolet Tavera and Opel Corsa, is about 150 units.
The spokesman said the company's plant was not affected due to the inclement weather, though water had entered the stock-yard and compound.
GM India's sales in the six months of 2005 have recorded a 42.5 per cent growth at 15,297 units against 10,737 units in the same period last year.