Escorts Kubota, which makes tractors under the Farmtrac, Escorts and Powertrac brands, said sales of tractors fell 2.1% in August this year compared to last year due to erratic rainfal and a delayed festive season.
The company sold 5,198 tractors in the domestic market this August, down from 5,308 in August last year.
Exports fell even more sharply to 395 from 803 last year.
As a result, overall sales of tractors for the month of August fell to 5,593 from 6,111 in August last year.
Despite the latest set-back, the company’s tractor sales in India is still up 2.8% for the first five months of the current financial year, at 38,268 units.
However, for the year so far, exports are down 41% on the year at 2,160 compared to 3,648 for the same period last year.
“While there has been a positive momentum in some markets due to Government subsidy programs, the deficient monsoon in other regions during the month of August coupled with shifting of key festive season to the third quarter of this fiscal impacted tractor sales this month,” the tractor maker said.
“With other macro-economic factors remaining intact, if monsoon catches up in September in these regions , tractor demand may witness good pick up in the upcoming festive months,” it added.