Tractor space expanding rapidly in Uttar Pradesh

Uttar Pradesh’s tractor segment, accounting for almost 20 per cent of the domestic market, is expected to grow exponentially in the next 5 years.

Bihar, parts of Madhya Pradesh and some North Eastern states are also likely to witness high growth in this segment in coming years.

“UP will see ‘tractorisation’ to the levels of Punjab and Haryana in the next 5 years, which these states could only achieve in decades,” Escorts Agri Machinery COO Shailendra Agrawal told Business Standard here.

UP tractor segment has grown by 75 per cent over the last 5 years and continues to expand fast.

 

Escorts has market share of 20 per cent in the UP tractor market, which is estimated at 85,000 units annually.

He said tractor industry was characterised by cyclical nature of business, which was currently on the downswing.

“However, we are hopeful that the space would witness upswing in the next 6-8 months.

The UP market would also graduate to high horsepower (HP) tractor market,” Agrawal informed.

He further said agriculturally advanced states had started to show saturation in the tractor segment and the growth in farm mechanisation segment would now come from other regions, which had till now seen sluggish growth.

He was in town to launch two new models of Escorts viz. FARMTRAC 6060 and 6065, which are available in 60 HP and 65 HP with advanced 4-wheel drive technology.

Christened as India’s first ‘executive’ tractors, they are targetted at progressive Indian farmer, who has entrepreneurial bent of mind and have adopted farming as business of choice.