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Home International Customs India

John Deere India 10% jump in exports in FY16

byCT Report
07/12/2015
in India, International Customs
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NEW DELHI: Tractor maker John Deere India is aiming for a 10 per cent jump in exports at 27,500 units this fiscal on likely increase in demand for its new models in countries like the US and Thailand.

The Pune-based company had exported 25,000 units worth Rs 2,750 crore in the 2014-15 fiscal (November-October) to countries including the US, Europe, Canada, Africa and Asian nations like Thailand.

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“We export mostly tractors from India. Our exports grew by 13 per cent last year. But this year, exports are likely to rise by 10 per cent to 27,500 units due weak global economy,” John Deere India Managing Director Satish Nadigar told PTI. Overseas sales could increase on likely rise in demand for new models with air-conditioned cabs, launched this year especially for the export market, he said.

A new tractor with advanced features has been launched to cater to the paddy market in Thailand. Another tractor has been introduced in the US, which has started implementing tier-IV emission norms.

A tractor with power reversal technology has also been introduced for the export market, he added. The company said it has plans to introduce in India the tractors launched for the export market. On domestic sales, Nadigar said the tractor industry in India is not doing well due to drought in the last two seasons and the industry growth has fallen by 24 per cent on poor demand.

“We are not a significant player yet in India. But there are growth opportunities to market our products,” he said, adding the company has lined out new tractors for launch in the next three-four months.

New tractors with modern technology updates will be introduced in India. For instance, tractors with ‘JD link’ system has technology that helps customers track fuel level, engine temperature and mileage, among others, he added.

Talking about cotton picking machine, Nadigar said the sales of this machine are yet to pick in India. Currently, the cotton picker is being used on an experimental basis in some states like Andhra Pradesh and Punjab.

Certain types of agronomical practices, specific seeds and pesticides are required for farmers to use this machine, for which the company is creating awareness by working with state governments and universities, he said.

“Cotton sowing needs to be done with certain row spacing and the crop must ripen at the same time for using machine for cotton picking. Currently, farmers pick cotton thrice, the machine can do it once,” he added.

Nadigar also said mechanical harvesting has really picked in last two years. Over 70 per cent of small grains like wheat and cereals are being harvested using grain harvestor in states like Punjab, Tamil Nadu, Telangana, West Bengal, Uttar Pradesh and Madhya Pradesh. John Deere India has a capacity to manufacture 1.20 lakh units. It has one plant each in Pune, Maharashtra and Dewas in Madhya Pradesh.

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