India’s tractor industry made a strong start to the new financial year, with domestic sales in April 2025 rising nearly 8%. Backed by a good harvest, strong crop prices, and expectations of a strong monsoon, companies such as Escorts Kubota are projecting high single-digit growth for 2025-26.
According to the Tractor and Mechanization Association (TMA), domestic tractor sales rose 7.6% to 82,839 units in April 2025, up from 76,945 units in April 2024. Compared to March 2025, sales were also up by 3.6%, showing continued momentum. However, the year-on-year exports were largely flat at 7,441 units.
The farmer sentiment is positive according to the industry experts, backed by good crop output, strong mandi prices, and early signs of a favourable monsoon, which support steady demand for tractors.
Mahindra & Mahindra, India’s largest tractor maker, sold 38,516 units in the domestic market in April 2025, up 8% from 35,805 units sold in April 2024. The company also recorded exports of 1,538 units, marking a 25% growth over last year.
“Retail demand in early April was strong due to the Chaitra Navratri festival,” said Hemant Sikka, president of Mahindra & Mahindra Ltd’s farm equipment sector. “This is well supported by good crop prices and high procurement at Mandis, leading to good cash flows with farmers. IMD's prediction of above normal southwest monsoon is hugely positive for the overall Agri economy and tractor industry. Financing continues to remain strong,” he added.
Escorts Kubota Ltd. (EKL) reported a slight drop in sales in April, following strong numbers in March. The company sold 8,729 tractors in April 2025, down 1.2% from 8,839 units sold same month last year.
Domestic sales stood at 8,148 units, down 4.1% from April 2024. EKL attributed this drop to the Chaitra Navratri festival occurring in late March this year, which led to early buying. On the other hand, exports surged by 67.4%, with 581 units shipped overseas compared to 347 units last year. The company is targeting 20-25% exports of total volumes in the financial year 2026.
Looking ahead, Escorts Kubota has projected mid to high single-digit growth in domestic tractor sales for 2025-26, supported by favourable rainfall forecasts and the government’s continued focus on agriculture infrastructure. “This is for sure that the industry is looking at the highest-ever volume in the tractor market this year. And if all things fall into place, we are probably looking at a 10 lakh number this year,” said Neeraj Mehra, Chief Officer, Tractor Business Division, Escorts Kubota Ltd.