How Escorts Ltd is transforming from a pure-play product firm with Traxi

Seven months into the launch, the company is offering the service to farmers in select clusters in states such as Haryana, western and central Uttar Pradesh, and Madhya Pradesh

With the launch of Traxi, a service platform to aggregate farm equipment (including tractors) demand, Escorts Ltd is hoping to transform itself into the next Uber/Ola of the agriculture segment. Escorts’ rental service targets medium and small farmers who cannot afford to make heavy investment in an essential farming asset like a tractor. 

Making a business case for launching the Traxi service, Shenu Agarwal, chief executive, agri machinery (S&M) and emerging business at Escorts Limited, points out the country has about 5 million tractors. A lot of these tractors are deployed in a farm only for 500 hours a year.