Indian Tractor Industry Grew 35% In July; Mahindra Saw Highest Ever July Sales

Tractor sales in the country have seen significant growth, with up to 35 per cent year-on-year growth in July, as soon as the agricultural activities restarted.

Major beneficiaries of the growth have been manufacturers like Mahindra & Mahindra and Sonalika, recording about 28 per cent and 72 per cent growth respectively. Multinational conglomerate company Escorts saw nearly 10 per cent growth, despite low supply demand.

Mahindra led the market, recording its highest ever July sales this year, selling 25,402 tractors including exports, compared to 19,992 units in July last year.

Marketers of the industry say that July growth proves that the spike seen in June was not just pent-up demand but a sentiment revival, reported Times of India.

Indian multinational company Sonalika too recorded its highest ever monthly sales growth of nearly 72 per cent. The company saw a rise in export and domestic sales, with sales of 10,223 tractors in one month, double what it was last year, with 4,788 sales.

Escorts reported a 10 per cent increase in tractor sales to 5,322 units in July, up from 4,860 units last July. According to the media report, even companies who did not have equal high demand managed to perform well compared to the market estimations.

Earlier in July, the country saw a 14 per cent increase in Kharif sowing regions, resulting in a 34 per cent growth in fertilizers sales. It exceeded about 9 million tonnes in one month. According to experts a good monsoon, better minimum support prices (MSPs) and reverse migration of farm labour were the factors behind the growth.

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