Dec 12, 2008, 09.21 AM | Source: Business Line
Following Mahindra & Mahindra’s automotive division, its farm equipment division is also cutting down production due to the slowing demand.
Following Mahindra & Mahindra ’s automotive division, its farm equipment division is also cutting down production due to the slowing demand.
M&M, in a statement issued to the BSE on Thursday, said “in line with the suppressed market demand for tractors and taking into account the inventory, the farm equipment sector of the company has made necessary adjustments to moderate its manufacturing activities at its plants at Kandivali, Nagpur and Rudrapur during the month of December.”
Although Mahindra Farm Equipment Sector (FES) posted a 2 per cent cumulative growth by selling 70,288 tractors from April to November this year, the sales of late started showing a declining trend.
In November, sales fell to 5,487 units from 8,062 during the same month last year, showing a 32 per cent decline. In October, Mahindra’s tractor sale at 11,539 was marginally higher than the year-ago period.
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