The Tractors and Farm Equipment Division of Mahindra & Mahindra is looking at a turnover about $2.5 billion (about Rs.13,000 crore) in 2012-13 from the sales of its 97 models of tractors under ‘Mahindra’ and ‘Swaraj’ brands.
Addressing a press conference here on Thursday, Senior Vice-President (Marketing), Tractors and Farm Equipment Division Sanjeev Goyle said that late rains in the kharif season this year had affected sales of tractors across the country. “Over all the market had de-grown by about 5 per cent during the April-September period but the industry is optimistic about pushing up sales by 2-3 per cent in the second-half year,” he said.
Claiming that they were market leaders in tractors segment both in the country and in Andhra Pradesh with 42 per cent and 52 per cent share, respectively, Mr. Goyle said they had sold over 1.04 lakh units in the first-half of 2012-13. Penetration of tractors in the farm sector was only 13 per cent and there was a huge potential for growth in the coming years.
To boost sales in Andhra Pradesh, one of their major markets, the company had tied up with Telugu film star Mahesh Babu for endorsing ‘Mahindra’ brand tractors, which hold about 37 per cent market share.
The company had invested about Rs.300 crore on the tractor-manufacturing plant at Zaheerabad and it would roll out tractors from January 2013. The plant capacity was manufacturing about one lakh tractors a year, Mr. Goyle said.
Keywords: Mahindra & Mahindra