The wholesale domestic tractor sales figures for December 2020 are as shown in above table :
The Tractor industry has continuously been performing exceptionally well during the Covid era and the month of December 2020 was no exception. In total, 61,249 tractors were sold in the Indian market in December 2020, resulting in a YOY growth of approximately 43% for the Tractor industry. Some of the major driving factors for the strong sales figures include easy availability of finance, restoration of channel inventory after the festive season, higher Kharif output, higher rabi acreage and government support in agricultural produce procurement.
Although the domestic market share of Mahindra & Mahindra Farm Equipment Sector (FES) fell from 40.21% in December 2019 to 34.57% in December 2020, its domestic tractor sales increased by 23.01%. The domestic tractor sales stood at 21,173 units in December 2020, against 17,213 units in December 2019.The total tractor sales (including exports of 1,244 units), registered an increase of approximately 25% with 22,417 units, against 17,991 units in December 2019.
“The wholesale volumes continued to be strongly fueled by the restoration of channel inventory post the festive season, announcement of hike in tractor prices by major OEMs and anticipation of sustained demand on the back of higher Rabi acreage, GoI support in Kharif procurement and rural development schemes,” Hemant Sikka, President of Mahindra’s Farm Equipment Sector said.
Chennai based tractor manufacturer Tractors and Farm Equipment (TAFE) reported a growth of 59.61% in domestic tractor sales in December 2020, with 11,096 units sold against 6,952 units in December 2019. The company's market share increased from 16.24% in December 2019 to 18.12% in December 2020.
Sonalika Tractors reported a spectacular growth of 72.03% in domestic tractor sales, with 8,538 units sold in December 2020, against 4,963 units in December 2019. The total domestic market share increased from 11.59% in December 2019 to 13.94% in December 2020. The company reported a 57.65% growth in total global tractor sales with 11,540 units sold in December 2020, against 7,320 units sold in December 2019. Overall, the company registered its highest-ever December sales figures and highest-ever market share of 16.1%.
Sharing his viewpoint on the remarkable achievement, Mr. Raman Mittal, Executive Director, Sonalika Group, said, ‘This is momentous occasion as we have taken just three quarters to accomplish what was being achieved annually over the last three years. We have surpassed our entire FY’20 sales to sell over 1 lakh tractors in just 9 months of FY’21, while recording 33.3% growth,which is 3X the industry growth of 12%. Alongside, we have registered our highest ever December sales of 11,540 tractors and highest ever market share of 16.1%. No external hardships like the pandemic, unfavourable factors can deter our passion to develop and offer customised, high-quality products to farmers globally. We have set our standards high with a mission to touch one lakh tractor sales in every six months and achieved 50% of it this year despite a challenging one the entire automotive fraternity. Sonalika has already embarked upon the journey to touch 2 lakh sales mark annually and will continue to introduce cutting edge technologies in the tractor industry while we relentlessly work towards our vision to ‘Lead Agri Evolution’ across the globe.”
John Deere recorded domestic tractor sales of 7,315 units in December 2020, up from 4,695 units in December 2019, registering a growth of 55.8%. The company's market share grew from 10.97% in December 2019 to 11.94% in December 2020.
Escorts' domestic tractor sales grew by an astounding 89.96% in December 2020 with sales of 7,230 units against 3,806 units in the same month in 2019. Globally, the company recorded its highest-ever December sales at 7,733 units, against 4,114 units in December 2019, registering a growth of 88%. Escorts exported 503 units in December 2020, against 308 units in December 2019, registering a growth of 63.3%. The company's domestic market share also saw an increase from 8.89% in December 2019 to 11.80% in December 2020.
Post-lockdown, this is the first month where we could supply as per the demand of customers, some of whom waited long to get their preferred tractor brand, company added. Going forward all macroeconomic factors remain in favour of continued growth and we do not expect any significant supply-demand gaps. Rising Inflation, however, continues to be a worry, it added.
Perhaps the only exception to the growing trend of tractor sales among India's top manufacturers was New Holland. The company witnessed a sharp decrease of 19.17% in domestic sales, from 2,358 units in December 2019 to 1,906 units in December 2020. The company's market share also decreased from 5.51% in December 2019 to just 3.11% in December 2020.
Kubota Tractors also managed to put up a good show, registering a 32.12% growth in domestic tractor sales, from 1,233 units in December 2019 to 1,629 units in December 2020. However, it's market share marginally decreased from 2.88% to 2.66%.
We also Offer Monthly Subscription of Tractor Sales (Wholesale, Retail, Statewise, Districtwise, HPwise) Report. Please Contact us for the detailed report.
Subscribe our Telegram Channel for Industry Updates- https://t.me/TJUNC