Companies

M&M expects tractor segment growth by 5-7%

V. Rishi Kumar Hyderabad | Updated on September 02, 2014 Published on September 02, 2014

Ravindra Shahane, Head, Marketing, Tractor & Farm Mechanisation, M&M, at the launch of Arjun Novo. NAGARA GOPAL

Mahindra & Mahindra Farm Equipment Sector today said that they expect a growth of over 5-7 per cent in overall tractor sales during the current financial year, in tune with the likely growth of the country’s tractor sector.

This growth is possible in spite of tough market environment and relatively unsteady monsoon. The growth during this year may not be to the levels achieved last year (about 12 per cent) yet it will see a growth of about 5-7 per cent. The month of August was witness to robust numbers, according to Ravindra Shahane, Head, Marketing, Tractor & Farm Mechanisation.

Launching its new tractor Arjun Novo here, he said that the demand for heavy duty tractors in the 48 HP plus segment continues to grow bigger as farmers want more power and greater flexibility in the farm sector. If the numbers are any pointers to such a growth, M&M sold about 2300 units of such heavy duty tractors in FY 2005, which accounted for 4 per cent of the overall market. This has now grown to over 16 per cent (23,983 units) in FY 2014.

“We see the volumes for such heavy tractors further getting boosted. This is because farmers want to do a lot more with their tractors, including haulage of farm produce,” he said.

The diversified M&M Group is also developing a range of new tractors for the export market on the Novo Platform which was designed by its R&D teams based on extensive feedback from the farmers on their preferences.

The company sold about 2.5 lakh tractors in the domestic market last financial year, of the total market which had sales of 5.7 lakh units, thereby accounting for about 42 per cent share.

Published on September 02, 2014
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