Mahindra's Farm Equipment Sector Sees 11% YoY Dip in September 2023: Sells 42,034 Tractors Across India

Mahindra & Mahindra Ltd.’s Farm Equipment Sector (FES) has revealed its tractor sales figures for September 2023, and there's been an 11% decline compared to the same month last year. Let's delve into the details.

Domestic Sales Slide

In September 2023, Mahindra's FES sold 42,034 tractors within India. Unfortunately, this number is noticeably lower than the 47,100 units sold in September 2022. This decrease accounts for an 11% year-on-year decline in domestic sales.

Total Sales Including Exports

When we consider both domestic and export sales combined, the total for September 2023 reaches 43,210 units. While this figure might seem encouraging, it's essential to note that it's still down from the 48,713 units sold during the same period last year. The total sales, including exports, experienced an 11% YoY drop.

Exporting Tractors

Despite the challenges faced in the domestic market, Mahindra's FES managed to export 1,176 tractors in September. While this is a commendable effort, it also reflects a 27% decline compared to September 2022 when 1,613 tractors were exported.

Hemant Sikka, the President of the Farm Equipment Sector at Mahindra & Mahindra Ltd., shared his insights on the performance. He mentioned, “We have sold 42,034 tractors in the domestic market during September 2023. Smart recovery in Kharif sowing with more than 110 million hectares and the start of festive fervour are expected to bring positive sentiments among the farmers."

He further added, "Normal rains in September have helped overall monsoon to achieve near-normal levels, and this will aid in Rabi sowing, especially in Central, Northern, and Western regions of the country. In the exports market, we have sold 1,176 tractors.”

Conclusion

While September 2023 presented some challenges for Mahindra's Farm Equipment Sector in terms of declining tractor sales, there are signs of optimism on the horizon. Factors such as improved Kharif sowing and festive celebrations are expected to lift spirits among farmers. Additionally, favourable monsoon conditions promise to support Rabi sowing in various regions across the country. As Mahindra & Mahindra Ltd. continues its efforts in the tractor market, industry observers will be keenly watching for signs of recovery in the coming months.