How big is the India Tractor Market | Stats & Industry Outlook 2025

What is the growth rate of the India Tractor Market?

The market is poised for steady growth due to increasing mechanization in agriculture, government subsidies on farm equipment, rising rural incomes, and demand for high-performance multi-purpose tractors.

Key Growth Drivers of the India Tractor Market

• Expanding farm mechanization and labour shortage in agriculture
• Government incentives under agricultural modernization schemes
• Growing need for productivity in small and medium landholdings
• Technological advancements in precision and smart farming tractors
• Rise in demand for tractors in non-agricultural sectors like construction

India Tractor Market Trends

India tractor market is experiencing a shift toward compact, fuel-efficient, and feature-rich machines tailored for small and marginal farmers. Telematics, Global Positioning System, and automated steering are being incorporated into precision agriculture model by manufacturers. The segment 31 50 hp prevails, and the higher hp tractors are gaining demand in connection with the commercial uses. Increased attention to EVs and self-driving car prototypes points to the development of sustainable living and digital farming.

Emerging Developments in the India Tractor Market

The latest trends incorporate the launch of electric tractors conducted by homegrown startups, cooperations on smart farm solutions, and component production localization to cut costs. Tractor manufacturers are putting in hybrid designs and fuel-conforming engines. Rental platforms and tractor-as-a-service (TaaS) models supported by the government are also enabling marginal farmers to get modern equipment. Also, there is an increasing demand to export in Africa, Southeast Asia and Latin America.

List of Leading Companies in the India Tractor Market

Below is a comprehensive list of the leading market players driving growth in this sector:

1. Mahindra & Mahindra Ltd.

Mahindra is the largest tractor manufacturer in India and globally, offering a wide range of tractors from 15 HP to 75+ HP for multiple applications.

2. TAFE - Tractors and Farm Equipment Ltd.

TAFE manufactures Massey Ferguson and Eicher brand tractors with a strong presence across India and exports to over 100 countries.

3. Sonalika Tractors (International Tractors Ltd.)

Sonalika offers a wide variety of tractors including technologically advanced and higher HP models, with significant export share.

4. Escorts Kubota Ltd.

Escorts Kubota is known for its Powertrac and Farmtrac tractors, integrating Japanese technology with Indian agricultural needs.

5. John Deere India Pvt. Ltd.

A subsidiary of Deere & Company, it produces premium tractors with advanced features suited for both farming and commercial usage.

6. New Holland Agriculture (CNH Industrial India)

New Holland offers globally engineered tractors known for durability, with growing traction in Indian medium-to-high HP categories.

7. VST Tillers Tractors Ltd.

VST focuses on compact tractors and tillers used in horticulture and inter-crop farming, catering to small landholding farmers.

8. Captain Tractors Pvt. Ltd.

Captain Tractors specializes in mini tractors and implements suitable for small and marginal farms, with rising rural market share.

9. Indo Farm Equipment Ltd.

Indo Farm manufactures tractors in the 26–90 HP range and is expanding its presence across India and export markets.

10. Preet Tractors Pvt. Ltd.

Preet Tractors offers robust tractors suited for agricultural and commercial use with focus on affordable pricing and durability.

How big is the India Tractor Market : FAQ's