Price of a car in general depends on input costs, supply chain, etc., And if it's a luxury car, the biggest factor is the huge import duty levied by the Indian government. There are cars for which one has to pay 100% import duty. So it isn't a surprise that only big shots can afford luxury cars.   

The number of exotic cars sold annually in India is minuscule compared to more advanced countries. There are some brands which sell in just single digits per year. This is why most car manufacturers would prefer importing their cars as completely-built-units (CBUs), to setting up their manufacturing base here. 

While slashing import duty will reduce the price of exotic cars, local car makers express concern that such a move will adversely affect their business. There is some credence to this argument. However, the government is obliged to international trade agreements and local players cannot enjoy this immunity for long. 

Cars, more so luxury cars are expected to cost more in the coming years as per recent news. The Bharat Stage 6 norms of the Indian government need to complied by car makers. And this would need new equipments to be attached to the cars.