Wednesday, 18 June 2025
India’s tractor industry witnessed a robust 9 per cent year-on-year growth in May 2025, with total domestic sales touching 90,500 units, up from 82,948 units during the same month last year. The early onset of the monsoon, increased farm activity, and strong rural sentiment are being credited for this uptick. Exports also picked up, rising 1.3 per cent year-on-year to 8,930 units and registering a 20 per cent jump compared to April 2025.
According to the Tractor and Mechanization Association (TMA), the month-on-month domestic sales also reflected a 9 per cent gain from April’s 82,839 units. The trend signals positive momentum in the rural economy as farmers gear up for the kharif season.
Mahindra & Mahindra (M&M), the market leader, sold 38,914 units in May, a 10 per cent increase over the previous year. While domestic sales surged, M&M’s exports declined by 8 per cent, settling at 1,729 units. Company executives pointed to the early arrival of rains and higher MSPs for kharif crops as major contributors to the domestic sales boost. However, the company continues to face headwinds in overseas markets, with losses reported from subsidiaries in Finland and Japan.
Escorts Kubota posted a mixed performance with total tractor sales rising 0.7 per cent year-on-year to 10,354 units. Domestic sales dropped 2 per cent to 9,703 units, attributed to transitional seasonal factors, but exports surged 71.3 per cent to 651 units, offering a silver lining. The company remains optimistic about a rebound in the coming months as monsoon coverage improves and rural liquidity strengthens.
Sonalika Tractors marked a milestone by clocking its highest-ever sales for the month of May, selling 14,213 units. The company’s consistent growth across both domestic and international markets continues to solidify its position among the top tractor brands in the country.
Industry analysts are upbeat about the near-term outlook. With higher water reservoir levels, improved government support through schemes, and an overall rise in farmer confidence, tractor manufacturers expect demand to remain buoyant. The combination of favorable weather patterns and policy incentives is likely to sustain this momentum, making 2025 a potentially strong year for India’s tractor industry.
