Kubota tractor sales surge by 2.7% in July 2025, shifting 6,624 units in the Indian market.
Escorts Kubota Limited Reports Modest Growth in Tractor Sales for July 2025
In a recent report released today, Escorts Kubota Limited announced a growth of 2.7% in tractor sales for July 2025, compared to the same month last year. The company sold a total of 7,154 tractors, with the export market accounting for 530 units and the domestic market accounting for 6,624 units.
The growth in tractor sales can be attributed to timely, widespread, and above-normal monsoon rains, which have boosted agricultural activities and demand for tractors. This positive trend is reflected in the Kharif sowing progress, which has already surpassed last year's sown area, indicating a promising outlook for the tractor industry.
The amalgamated companies' sales volumes for current and previous periods include the figures of Kubota Agricultural Machinery India Private Limited. When looking at the sales figures for the first four months of FY26 (April-July), Escorts Kubota reported a year-on-year growth of 1.1%, with 37,735 units sold versus 37,333 units in the same period last year. Although the domestic market saw a slight decrease of 1.3% in tractor sales, the export market experienced a significant 63.5% growth during this period.
The broader tractor industry outlook for FY26 appears optimistic, with ICRA forecasting a 4–7% growth in tractor sales. Escorts Kubota’s 9% retail sales growth in Q1 FY26 compared to the previous year also signals healthy demand momentum.
To support this growth, Escorts Kubota is investing up to Rs 4,500 crore over the next 3-4 years to double its production capacity to 340,000 units annually. This expansion will be achieved through the establishment of a new manufacturing plant in Rajasthan, demonstrating strong confidence in future market growth and capacity expansion.
Despite a slight decline in domestic tractor sales early in FY26, the strong export performance, positive monsoon outlook, and substantial production capacity expansion plans underpin a positive forecast for the rest of FY26 in the tractor segment. The Kharif sowing season progress is expected to support continued steady demand for tractors, aligning with overall industry growth projections of 4–7% for FY26.
Farmers are also benefiting from better cash flows, contributing to steady agricultural demand. This, along with the positive industry trends, positions Escorts Kubota well for sustained growth in the tractor industry. The National Company Law Tribunal, Chandigarh Bench, approved the Scheme of Amalgamation of Kubota Agricultural Machinery India Private Limited with Escorts Kubota Limited on August 29, 2024, further strengthening the company's position in the market.
Even though the reported news focuses primarily on tractor sales, the positive trend in the agricultural sector could also influence sports events by boosting the morale and financial stability of rural communities, providing better infrastructure, and encouraging participation in local sports.
Furthermore, the positive monsoon outlook for the Kharif season may impact the schedule and conditions of various outdoor sports like cricket and football, as consistent rainfall could affect playing surfaces or even necessitate rescheduling of important matches.
