Domestic tractor sales in May 2022 were at 7,667 tractors registering a growth of 24.5 percent against 6,158 tractors sold in May 2021. We see rural sentiment gradually improving inspite of low crop yields due to extreme heat conditions this harvest season, on account of better crop price realization and forecast of normal rainfall and possible timely sowing this year. With recent Government actions, Inflation may stabilise in near term and operating leverage may further possibly help in partially diluting the impact on margins in coming quarters.

Export tractor sales in May 2022 was at 754 tractors against 265 tractors sold in May 2021, registering a growth of 184.5%.