Jeep Meridian

For your requirements and budget, the best option is the Jeep Meridian. It's got good ground clearance, a decently frugal diesel engine, a smooth automatic gearbox and AWD. It also has a very luxurious interior, a strong equipment list and the premium Jeep badge and its associated off-road pedigree. Bear in mind, however, that the third row of seats is not very spacious, but good enough for occasional use. Alternatively, you could move down a step to the Mahindra Scorpio-N, but its third row is also very cramped. And finally, you could move up to a Toyota Fortuner, which has a spacious third row, but its price is well past the Rs 40 lakh mark for the diesel automatic variants.

While the Jeep Meridian will comfortably fit in your budget, the Toyota Fortuner is a better SUV. Yes, the interior is dated, and it is expensive, but it holds its value very well and has an exceptionally reliable engine. It is also more capable off the tarmac, and the new Neodrive variant is slightly more efficient as well. 

Without knowing your exact requirements, it’s hard to suggest one outright. Among the options you’ve listed, the BMW X3 is the newest and offers the most features, though it’s also the most expensive. The Land Rover Discovery Sport has the advantage of a third row of seats, though it’s best suited for children. The BMW X1 will be the easiest to drive in the city. The next-gen Audi Q5 is still some time away, with its launch expected around 2026. The Jeep Meridian, meanwhile, won’t feel as premium or as refined as the other options you’ve mentioned.