Exports to Rise to 20-25% of Escorts Kubota Volumes in FY26 from 4.3%

Escorts Kubota Ltd. (EKL) is aiming for 20-25% exports of total volumes in the financial year 2025-26. 

According to Neeraj Mehra, Chief Officer of the Tractor Business Division, EKL's exports saw a 36% growth in the last quarter (January-March), though on a low base, despite challenging conditions in key markets like Europe.

The company exported 70% of its volumes through the Kubota network, "which is a good sign," Mehra noted.

In the financial year 2025, the company sold 115,554 tractors, marking a 1.0% growth compared to 114,396 units in 2023-24. Domestic sales increased by 1.6% to 110,563 units, while export sales declined by 11.2% to 4,991 units over the same period.

With exports currently spanning 62 countries, EKL offers two globally distributed brands Farmtrac and Powertrac ranging from 20 to 120 HP and backed by manufacturing facilities in Asia and Europe. The firm also offers Farmpower implements to complement diverse farming needs.

To reinvigorate international sales the company is banking on strategic product launches. Under the Kubota brand, a new 40-45 HP tractor will debut in the second quarter of financial year 2025-26. In the third quarter EKL plans to roll out a paddy-focused “Powertrac” series tailored for southern markets. More models under the “Promax” banner are slated for the quarter after.

Recently, Mahindra and Mahindra, too, announced strategic plans to tackle the international headwinds. The automaker has taken impairments of ₹79 crore for Sampo Rosenlew in Finland and ₹77 crore for Mitsubishi Agricultural Machinery in Japan. Both entities have struggled to maintain profitability, prompting M&M to initiate cost-cutting and operational restructuring efforts. The company saw a 27% rise in exports to 17,547 units in the 2024-25 period.

As per the data by the  Tractor and Mechanization Association (TMA), India’s total exports increased only by a percent to 98,813 units sold in 2024-25, largely remaining flat.