INDIAN TRACTOR INDUSTRY AT A GLANCE IN 2021 - 2022
The India tractor market size is expected to reach 910.8 thousand units by 2028 from 614.5 thousand units in 2021, growing at a CAGR of 5.78% during 2022-2027. And the northern part of India is the major market for Indian Tractor Industry.
In the financial year 2021, the leading vendor in tractors market in India was Mahindra and Mahindra, with more than 38 percent. The tractor sales reached almost 900 thousand units the same period. It was a 27 percent increase from the previous year. Tractor sector was the only automobile sector that observed growth in during the covid pandemic period.
Market OverviewIndia was the largest agriculture tractor market globally in 2021, with an overall sales volume of 614.5 thousand units. The increase in crop production and tractor sales resulted from favorable monsoon rains in 2019 and 2020, which helped the country to recover from the drought conditions and the covid pandemic.
Tractors in the power range of 41-60 HP are likely to be the largest contributors to the growth of the tractors industry in India. The agriculture tractor market in India is dominated by 2WD tractors, which account for approximately 99% of the overall market. A strong demand for agriculture tractors is expected to come from the southern part of the country as the northern part of India has already reached the saturation point when it comes to tractor industry.
Industry TrendsThe overall growth of tractor sales in 2020-21 is ever highest in the decade. In FY'21, 8,99,429 Tractors were sold with 26.9% YOY growth.
Tractor sales would continue with its momentum in the ensuing years as well. It has been estimated that the Indian tractor industry will cross 10 Lac Sales in FY'22.
