2. Global Tractor Market
• Estimated sales of tractors - 31,00,000 units by end of 2026
• CAGR of 3.2% in terms of value
• Globally, 30% of tractors sold are 60-140 HP engines (From the manufacturing
standpoint, high prices of 60-140 HP tractors will translate into high profit margins in the
view of their growing sales)
• Majority of tractors manufactured globally to be developed on a hydraulic mechanism -
advantages are fuel efficient, fluid transmissions, economical utility & conservative
power consumption - forecast of more than 50% tractors to be sold
• Garden application of tractors to gain rampant adoption of CAGR 3.7%
• Utility tractors to sell more than 740,000 units by 2026
• Driverless tractors
3. Sales
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Mahindra Tractors
• Mahindra & Mahindra Ltd.'s, Farm Equipment Sector (FES), a part of the USD 19
billion Mahindra Group
o Farm tech prosperity to Indian farmers
o Technologically superior affordable solutions
• Market leader in the domestic market segment - 43% share
• Largest tractor company in the world; 40 countries across 6 continents, 1000 dealers
world wide
5. 1963 – Formation of the
International Tractor Company of
India Ltd.
Timeline
1983 – Achieved leadership
position in the Indian tractor
market
1994 – Autonomous sector of
M&M Farm Division (FES)
2003 – Won the Deming
Application prize
6. 2007 – Acquired leading Indian
tractor company – Punjab
Tractors
Timeline
2009 – Mahindra & Mahindra
became the No.1 tractor
company in the world
2013 – Mahindra rolls out it’s 2
millionth tractor
7. Sales
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Mahindra Samriddhi India Agri Awards
Recognizes the heroes who have made purposeful contributions in the field of Indian
agriculture
10. Sales
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Product
• 90% Indian farmers (small 7 marginal); up to 5
acres of land use manual farming methods; labour
intensive
• Mechanised farming unaffordable (basic tractor)
• Trakstar (Aug’17) - value seeking farmers
• Target segment - farmer holding 2-5 acres of
land
Tractor that costs Rs 2 Lakh Mahindra Yuvraj-215 NXT
11. Sales
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Price
Up to 20 HP → 2 lakh - 3.8 lakh
21 to 30 HP → 3.9 lakh - 5.52 lakh
31 to 40 HP → 5 lakh to 6.5 lakh
41 to 50 HP → 5.8 lakh to 6.5 lakh
Above 50 HP → 7.1 lakh to 17 lakh
Arjun International – Rs. 17 lakh
12. Sales
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Place
• With it’s sales are predominantly in the states of Gujarat, Haryana, Punjab,
Maharashtra and the Southern States
• Its sales in Gujarat are under the label Mahindra Gujarat and its sales in Punjab are
under the label Swaraj
• Their tractor are made available in most villages from central to south India to north
west states too
13. Sales
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Promotion
Advertisements in the skies
• Mahindra promoting the new version of its
tractor: Arjun Ultra-1 DLX
• The banner carries an image of the new
tractor, along with the message, 'Hosh uda
de naya Arjun Ultra-1 DLX’
• Priya Monga, business head, RC&M
says, "The craft will fly over targeted districts
for two to three hours each day, which have
been minutely mapped. These are locations
that house potential buyers."