Escorts Agri Machinery, a farm equipment manufacturer, reported a 20.2 percent increase in domestic tractor sales to 7,676 units in April 2022. In April 2021, the company had sold 6,386 units. Escorts said in a regulatory filing that total tractor sales in April 2021 were 8,325 units, up 19.3 percent from 6,979 units in April 2021.
According to Escorts Agri Machinery, Due to the current global geopolitical environment, better crop price realization as compared to the Minimum Support Price (MSP), prediction of normal monsoon with the likelihood of good rainfall in June and July, and possible timely sowing this year.
"We anticipate that retail sales will be strong over the next two months. While we raised prices in April of this year, inflationary pressure on commodity prices remains a major source of concern "Furthermore, the company added.
In April 2022, 649 tractors were exported, compared to 593 tractors in April 2021.
In the construction equipment segment, the company sold 340 machines in April 2021, up from 189 in April 2021, representing a 79.9 percent year-on-year increase.
According to Escorts, the Construction Equipment industry witnessed continued challenges in retail demand in April 2022 due to cost escalation across all segments, despite a growth over last year when the first half was impacted due to COVID-19-related challenges.
"With the government's emphasis on infrastructure and the potential for exports in emerging markets, we anticipate a strong recovery in the current fiscal year 2022-23. However, continued inflation in input costs, which leads to higher ownership costs for customers, remains a major source of concern "According to the company.
About Escorts Agri Machinery:
Escorts Agri Machinery first appeared in 1960. Farmtrac, Powertrac, and Steeltrac are the brands under which the company manufactures tractors. The first Escorts tractors were built in 1961 under the Ursus license. In 1969, a partnership with Ford was formed to produce licensed Ford tractors for India.
