In FY 2015, tractor sales in India fell by 13% compared to FY 2014. According to a statement by ICRA, the sales of tractors are likely to remain weak in FY 2016 as well. The agency has forecast a further fall 7-8% for the year. In August 2015, tractor sales saw a year-on-year decline of 21% and the period April - August 2015 saw a year-on-year decline of 16.4%.

The tractors market was already sluggish and a poor monsoon has made matters worse. While late rainfall could reduce the damage, the market for tractors is expected to remain weak over the short term.

In 2014, the kharif harvest was unfavourable and heavy and unseasonal rain during February - March 2015 all over the country, damaged crops. In the first quarter of FY 2016, the rabi harvest was weak and there is uncertainty regarding the kharif crop as well due to the weak south-west monsoon.

According to ICRA, the market will maintain a compounded annual growth rate of 8-9% in the long term (5 years). A commitment from the government towards rural development and agri mechanisation, low penetration and falling replacement cycle are likely to fuel growth. Other factors that could aid growth are increasing rural wages, scarcity of farm labour as well as long term trend of improvement in MSPs.

Source: Money Control, Economic Times

Mahindra has launched a four-wheel drive version of the Arjun Novo tractor in the India called the Arjun Novo 605 DI-I -4WD.

The 605 DI-I-4WD is powered by a 3,531cc, 4-cylinder diesel engine that puts out 57 HP. It has a 4WD system which distributes power to all four wheels, making it easier for the vehicle to work in all types of soil conditions. It is especially suited for wet land cultivation. It can be used with agriculture implements like tractor-mounted combined harvester, gyrovator, dozer and loader and for primary tillage and haulage applications.

The vehicle also has a synchro-shuttle feature that offers quick forward and reverse movements. A single hand operated lever can reverse the tractor at the same speed. The tractor has a full synchromesh side shift transmission with 30 speed (15 forward + 15 reverse) options. It has a range from of 1.7 kph to 33.5 kph and a lift capacity of 2,200 kg.

The Arjun Novo platform has been designed and developed in-house at Mahindra Research Valley in Chennai.

On May 21, 2015, Mitsubishi Heavy Industries and Mahindra entered into a partnership in the agricultural machinery field. According to the agreement, Mahindra would acquire 33% stake in Mitsubishi Agricultural Machinery Co. Ltd. (MAM), a subsidiary of MHI, through a third-party allocation of new shares.  Now, the two companies have announced that the transaction has been completed.

As a result of the capital infusion, the new shareholding is as follows: MHI now owns 66.7% and M&M 33.3%. The company has been renamed as Mitsubishi Mahindra Agricultural Machinery Co., Ltd. and the new organisation has been announced.

In the new organization, Mr. Katsumi Tottori has been appointed CEO and President (formerly President of MAM) and Mr. Sudhir Jaiswal has been appointed as CFO and Senior Vice President (formerly Vice President – Commercial and Business Planning, International Operations, Automotive Division of Mahindra & Mahindra). Takahiro Hisano has been appointed as CTO and Senior Vice President (formerly Vice President and General Manager of Development and Design of MAM).

Mitsubishi Mahindra Agricultural Machinery has plans for global expansion of business. The company is banking on Mahindra’s product development capability, cost competitiveness and the sales network in India, China and the US and the technology and brand power of Mitsubishi Heavy Industries to strengthen its presence in Japan and global markets.

Sonalika International Tractors has launched a new series of tractors - HDM (Heavy Duty Mileage) at the Punjab Agricultural University Mela (PAU Mela).

Under this new series, the company has launched the new DI 750III tractor, which is designed to operate in all types of soil conditions.

The DI 750III falls in the 55 HP segment and has a lift capacity of 2,000 kg. It is powered by a 2,000 rpm, 4-cylinder diesel engine. Sonalika claims that the tractor consumes 15% lesser fuel while covering 10% more area. The company also claims that the tractor's engine transmission & hydraulics are designed for minimal frictional losses.

This HDM series will soon be available across the country.

Mahindra & Mahindra has announced the launch of the Mahindra 415 DI Tractor in the 40 HP category.

According to the company, the 415 DI is best suited for agri applications like rotavator, cultivator and thresher. It is powered by a 2,730cc, 4-cylinder, naturally-aspirated diesel engine that develops 158 Nm of torque. It has a power take-off (PTO) rating of 36 HP, a hydraulic lift capacity of 1,500 kg and a backup torque rating of 18%. The tractor has comes with a partial constant mesh (PCM) transmission and oil immersed multi disc brakes.

The 415 DI has a wheelbase that measures 1,910 mm. The tractor has a standard weight of 1,785 kg and a has a fuel tank capacity of 49 litres.

Power steering is available as a part of optional equipment.

Escorts Ltd. has announced the launch of a new category of tractors in India called Anti Lift Tractors (ALT) under its Powertrac range. Made specifically for commercial haulage operators, the tractors are available in two models - ALT 4000 and ALT 3500.

Most tractors easily lift their front wheels, which results in reduced or no steering. This endangers the safety of the driver and can result in damage to the vehicle leading to high maintenance costs.

In the Anti Lift Tractor, Escorts has used technology to shift the center of gravity and hitch point forward. The tractor has a hub-reduction transmission, increased wheelbase, heavy front axle, stiffener bars and plates and custom-designed front bumper weighing 85 kg. Additionally it is equipped with extra front lamps. The added weight at the front along with the other features keeps the front wheels grounded. This is ALT technology version 1.0, which Escorts is planning to extend further to newer versions 2.0 and 3.0 in the long run.

Other features available on the ALT range include haulage-special rear tyres, 4-coat yellow paint, oil brakes, and 20% bigger fuel tank.

The ALT 1.0 tractors come in 37 HP and 41 HP versions and are currently available in Uttar Pradesh, Maharashtra, Madhya Pradesh, Andhra Pradesh, Chhattisgarh, Jharkhand and Bihar.

Escorts Ltd. has showcased the European version of the 4x4 Farmtrac 6050 tractor at the Agrotech in Chandigarh.

The tractor was shown its non-cabin version and with it, Escorts has brought 4x4 technology to tractors for Indian farmers. Escorts claims that the Farmtrac 6050 4x4 delivers extra traction, improved productivity and safety. It is suitable for all kind of agri and commercial haulage and multiple hard soil farm application. The company expects a good demand for the tractor from the state of Punjab.

The Heritage range was displayed at the Agritechnica trade fair in Hannover (Europe) last year. It consists of the 6050, 6060 and 6057 tractors which fall in the 50 hp to 75 hp category. They are available in two-wheel drive and four-wheel drive variants and Escorts claims that they are the most fuel efficient tractors in their class.

Mahindra & Mahindra has announced the launch of the Arjun Novo in the sub-60 hp tractor segment India.

The Arjun Novo has been designed and developed in-house at Mahindra Research Valley near Chennai and is the first tractor model to roll out on the company's all-new high horse power platform. It has a 3531 cc, 4-cylinder engine with a torque of 236.9 Nm and 33% back torque. The tractor comes with 18 gears (15 forward + 3 reverse) and a top speed of 33 kph. It has a lift capacity of 2200 kg. Mahindra claims that the Novo has a service interval of 400 hours.

The development of the Arjun Novo involved a seeding phase in which a total of 73 tractors were tested based on their performance in 40 applications, across 8 states for a cumulative 70,000 hours. The tractor is suitable for a wide range of applications, including land preparation / development, sowing, ploughing, tilling, harrowing and planting among others. It is compatible with rotary tiller, MB plough, TMCH, potato planter, digger, rake, baler and mulcher and shredder.

The Arjun Nono is available in two variants - 605 DI-i (57hp) and 605 DI-PS (52hp). The 605 DI-i is priced at Rs. 7.35 lakh (ex-showroom, Pune). An air-conditioned cabin is available as an option.

Escorts India has announced the launch of the Farmtrac Heritage tractor range in South Africa at NAMPO 2014, an agriculture show in the country. The company is aiming this range at small farmers.

The Heritage range, which was displayed at the Agritechnica trade fair in Hannover (Europe) last year, consists of the 6050, 6060 and 6057 tractors which fall in the 50 hp to 75 hp category. They are available in two-wheel drive and four-wheel drive variants and Escorts claims that they are the most fuel efficient tractors in their class.

The South African tractor market includes tractors up to 450 bhp. Indian tractors operate in the 30 hp to 90 hp category. With the Farmtrac Heritage range Escorts will try to acquire about 10% market share of the sub-80 hp segment by 2020.

Escorts has been present in the South Africa tractor market since the last 15 years in partnership with Dicla Farm & Seed P. Ltd. and has a distribution and service network across the country.

Lamborghini tractors could soon go on sale in India.

The SAME Deutz-Fahr (SDF) Group which acquired the tractor maker from its famous parent, is studying the Indian market, reports The Hindu Businessline.

The target market for the high end tractors (sold in western markets for more than USD 20,000) will be rich farmers, high profile individuals with agricultural interests, along with golf courses, sports stadiums and premium resorts. 

The SDF group in India (source: Hindu Businessline)

• The company already makes Lamborghini tractors (around 800 were made last year) at its Ranipet plant in Tamil Nadu for export to markets like Europe and Malaysia.
• The company sold around 2,000 units of its Deutz-Fahr tractors in India, and exported around 4,000 units in 2012.
• The company also makes 15,000 tractor engines in India.
• Key markets are Tamil Nadu, Karnataka, Maharashtra, Andhra Pradesh, Western UP & MP and Punjab.
• High level of localisation with import component of only 10%. MRF tyres and Exide batteries already fitted on the tractors.
• Indian operations account for about 10% (Euro 120 million) of the SDF group's annual sales.

Ferrari tractors will also be sold in India by tractor maker Escorts, in partnership with Italian firm BCS S.p.A.

Surprisingly, despite the name Ferrari, these tractors don’t have any link with the famous Italian automaker. The Ferrari tractor manufacturer is based in Luzzara (Italy) and made its first tractor in 1957 called the MC 57.

It was acquired by the BCS group in 1988. Escorts will be selling Ferrari's 26 Hp model priced at Rs. 8 Lakh. The tractors will be imported from Italy and assembled in India by Escorts.