While Escorts Kubota's market share has seen some erosion, the company attributes this to cyclical industry movements rather than competitive pressures alone.
05 Aug 2025 | 26557 Views | By Yukta Mudgal
Escorts Kubota Ltd. (EKL) is banking on a robust product pipeline and targeted regional strategies to strengthen its market position, even as the company navigates structural industry shifts that have temporarily dented its share.
The company’s recent launches under its Promaxx and Powertrac brands are showing early signs of ...
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Escorts Kubota Ltd. (EKL) is banking on a robust product pipeline and targeted regional strategies to strengthen its market position, even as the company navigates structural industry shifts that have temporarily dented its share.
The company’s recent launches under its Promaxx and Powertrac brands are showing early signs of success in select markets. “Promaxx phase one is doing well, and in the states where it has been introduced, Farmtrac’s market share has grown,” said Neeraj Mehra, Chief Officer, Tractor Business Division, Escorts Kubota Ltd. “Although the growth is marginal and it’s still early days, we are seeing positive trends.”
In the agri-machinery segment, EKL sold 30,581 tractors, registering a modest 0.7% on-year growth. Segment revenue rose 0.4% to Rs 2,181.5 crore, with EBIT margin improving to 12.6%.
The company recorded a 1% increase in tractor sales in 2024-25, with volumes rising from 114,396 units to 115,554 units. Domestic sales grew by 1.6%, reaching 110,563 units, up from 108,777 units in 2023-24.
According to the Federation of Automobile Dealers Associations (FADA), EKL’s retail market share declined from 10.07% in 2023-24 (89,832 units) to 9.92% in 2024-25 (87,628 units).
Further momentum is expected from upcoming product introductions. “With the recent launch of Kubota models and the wetland series under Powertrac slated for end of the second quarter or early third quarter, we anticipate growth in the southern and eastern markets where paddy cultivation is prominent,” Mehra added. “Initial results should start showing from Q4, but the real game-changer will be next financial year.”
The company has 1,600 dealers across India with 1,250 branches for Kubota, Farmtrac, Powertrac, and Escort brands.
The company is preparing for a strong follow-up phase. “We have more launches lined up for next year, including Promaxx phase two and the second phase of the wetland series,” said Mehra. “The product pipeline is strong, and we expect to see our market share grow in our five weak markets.”
Rather than taking a blanket approach with all three of its brands—Farmtrac, Powertrac, and Kubota—EKL is attuning its strategy based on market suitability and past brand performance. “The focus is on strengthening our weaker markets, not necessarily with all brands together,” he said. “For instance, in the southern region, we don’t need to appoint Farmtrac dealers. Strengthening or adding Kubota and Powertrac dealers there will help grow EKL’s overall market share.”
Dealer network expansion is a core part of this effort. “The introduction of new products is also enabling us to appoint dealers in previously untapped white spaces,” Mehra added. “We're not looking to deploy all three brands uniformly across the country. It depends on application suitability and regional brand equity.”
While EKL’s market share has seen some erosion, the company attributes this to cyclical industry movements rather than competitive pressures alone. “Yes, market share has declined to a certain extent,” Neeraj acknowledged. “One of the key reasons is the industry swing, which has significantly affected EKL’s share.
However, EKL remains optimistic about a recovery. “We expect this swing to taper off in the coming months,” Mehra said. “The industry began its growth cycle around September last year, and we should definitely see improvement and a rebound in market share in the upcoming quarter.”