Mahindra & Mahindra Farm Equipment Sector (FES) on Tuesday announced that its domestic sales fell by 5% to 22,843 units in May 2021 as against 24,017 units during May 2020.
The overall tractor sales (domestic + exports) during May 2021 were at 24,184 units, as against 24,341 units for the same period last year, a decline of just 1%. The company exported 1,341 tractors, growing by about 314% over last year.
Hemant Sikka, President, Mahindra & Mahindra FES, said that while state-specific lockdowns and localised restrictions continue, it is heartening to see the COVID cases reducing sharply. This leads to a sharp improvement in farmer sentiments; green shoots of recovery are visible, especially since the last week, as farmers start preparing their land for the upcoming Kharif crop season.
In May, COVID spread in rural markets led to stringent lockdowns, leading to deferment of tractor purchase and limited operations at dealerships.
The company said a bumper Rabi harvest, record procurement, food prices holding up, gradual opening up of mandis and expectations of a normal monsoon will pave the way for growth in the upcoming season.
In FY21, Mahindra registered an 18% growth in the domestic market over last year at 343,833 units compared to 291,901 units in FY20.
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