The tractor manufacturer Escorts reached a milestone in domestic tractor sales in fiscal year 21 when the volume topped a lakh mark for the first time.
Due to the robust demand for tractors, the company recorded strong double-digit growth in domestic tractor sales of 24 percent to 101,848 units in FY 21 compared to 82,252 units in FY 20, thus recording one of the highest growth rates in recent years.
In March, the company more than doubled its domestic tractor volume to 11,730 units from 5228 units in March 2020.
From January to March 2021, total domestic tractor sales rose a whopping 62 percent to 30,930 units from 19,122 units in the fourth quarter of the previous fiscal year.
“Although the pent-up demand is more or less over, the industry macro factors continue to support industry growth. Good and consistent availability of water, better penetration of retail finance, the onset of demand for commercial use, record production of crops, and the maintenance of most crop prices all help to keep the industry growing. Together with the low base effect, these factors should continue to fuel the industry in the fourth quarter, making this fiscal year a record year for the tractor industry, ”the company said during its third quarter earnings statement in February.
The tractor exports also kept going. Last month, the company’s tractor exports rose to 607 units from 216 units in March 2020.
For the full year of fiscal year 21, total tractor exports rose by 30 percent to 4893 units (3766 units in fiscal year 20).