Mahindra tractors and Escorts kubota sales up in July, VST sees decline
Key players in the tractor industry, including Mahindra Tractors, Escorts Kubota, and VST Limited, have recently disclosed their sales figures for July 2024, highlighting notable trends and shifts in performance
As the monsoon season reaches its halfway mark, the tractor industry is witnessing mixed results. Key players in the sector, including Mahindra Tractors, Escorts Kubota, and VST Limited, have recently disclosed their sales figures for July 2024, highlighting notable trends and shifts in performance.
Mahindra Tractors Reports Robust Growth
Mahindra Tractors, India’s leading tractor manufacturer, has reported a strong performance for July 2024. The company achieved an 8 percent increase in total sales, with 25,587 tractors sold domestically, up from 24,168 units in July last year. Additionally, Mahindra's export sales surged by 61 percent, reaching 1,622 units compared to 1,007 units in the previous year.
Hemant Sikka, President of Agricultural Implements at Mahindra & Mahindra Limited, attributed this growth to favorable monsoon conditions, improved Kharif sowing progress, and positive farmer sentiments driven by high crop prices and increased Minimum Support Prices (MSP). Sikka expressed optimism for the upcoming festive season, noting that the combination of budget allocations supporting agriculture and favorable trade terms for farmers bodes well for the tractor industry.
Escorts Kubota Experiences Steady Increase
Escorts Kubota also reported positive sales figures for July 2024. The company sold a total of 5,769 tractors, a 3.6 percent increase from the 5,570 units sold in the same month last year. Domestic sales saw a rise of 3.6 percent, with 5,346 tractors sold compared to 5,161 units in July 2023. Export sales also grew by 3.4 percent, with 423 tractors shipped abroad versus 409 units in the previous year.
VST Limited Faces Sales Decline
In contrast, VST Limited experienced a decline in its tractor sales. The company sold 439 tractors in July 2024, down 9.4 percent from 485 units sold in July 2023. Despite this drop, VST reported a marginal increase of 0.6 percent in total sales of tractors and power tillers combined, reaching 5,543 units compared to 5,506 units in the previous year.
Overall, while Mahindra and Escorts Kubota have demonstrated growth amidst a favorable monsoon and positive market conditions, VST Limited faces challenges in the current environment. As the monsoon season progresses, the tractor industry remains attentive to weather patterns and agricultural policies that will shape future performance.
