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Mahindra & Mahindra’s Tractor Exports Jump 37% In August
Mahindra And Mahindra’s Tractor Exports Jump 37 Per Cent In August
Industry watchers noted that the company continues to perform better than the overall market, which has been facing a slowdown.
Mumbai: Mahindra &Mahindra Limited (M&M) on Monday reported a strong 37 per cent year-on-year (YoY) growth in tractor exports, which rose to 1,916 units in August. However, the company recorded a 1 per cent year-on-year (YoY) decline in its total sales for August, marking its first monthly drop in over three years.
The company sold 75,901 units last month compared to 76,755 units in August 2024. In the utility vehicles (UV) segment, which includes popular models like Scorpio, Thar and XUV700, domestic sales fell 9 per cent to 39,399 units, down from 43,277 units in the same month previous year.
The company said it moderated dispatches to dealers in anticipation of a government decision on lowering consumption tax under the Goods and Services Tax (GST) framework.
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The GST Council is expected to meet later this week to discuss what could be the biggest tax overhaul since GST was introduced. Despite the August decline, Mahindra's SUV sales remain up 15 per cent in the ongoing fiscal year, showing sustained demand for its newer models.
Industry watchers noted that the company continues to perform better than the overall market, which has been facing a slowdown.
In the farm equipment sector, M&M reported robust growth. Domestic tractor sales rose 28 per cent year-on-year (YoY) to 26,201 units in August, driven by above-normal monsoon rains and improved reservoir levels that are expected to boost both Kharif and upcoming Rabi crops.
Tractor exports also surged 37 per cent to 1,916 units, according to its regulatory filings. Commenting on the outlook, Veejay Nakra, President – Farm Equipment Business, said the surplus rainfall forecast in September may pose risks for some Kharif harvests but also sets up strong prospects for tractor demand in the festive season.
He added that continued government support through financing schemes for farmers is expected to further drive rural demand. “All these factors, along with continued government support through financing schemes for farmers could potentially drive tractor demand during the upcoming festive season,” Nakra mentioned.
Source: ZeeNews
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