Mahindra & Mahindra today said the country’s tractor market is likely to see at least 4-5 per cent growth during the second half this year, beginning with the rabi crop season.
“The first half this year saw de-growth of about 2 per cent over the same period last year. But we are confident that the market will get better in the second half. The Mahindra’s tractor business will witness more than the market growth," Sanjay Goyle, Senior Vice-President, Marketing & Applitec, Mahindra & Mahindra, said.
Addressing a press conference here today to announce Southern superstar Mahesh Babu as the company's new brand ambassador, he said the company along with another group firm had a market share of 42 per cent of the country’s tractor business of Rs 30,000 crore last year.
“We are looking at revenues of about $2.5 billion from the tractor business during the current financial year, registering more than the tractor industry's growth,” he said.
The business environment in the first-half was tough due mainly to a lower-than-expected monsoon and general business sentiment. But the company is confident that things would improve during the second half, he said.
The company is gearing up to commission a new plant at Zaheerabad by January next and, thereby, expand the product portfolio.
The tractor business did better in the North in the first-half compared to the South. But from now on during the year, the South is expected to contribute more to the overall sales numbers, the official said.
Part of the automotive major, the farm equipment division recently launched the Arjun multi-application tractor series along with its other range that includes the Mahindra 395, 595 and 265 Power plus.