Tractor Suppliers Await Another Peepli LIVE!
Filed Under: Business, Opinion | Posted: 09/18/2010 at 12:49PM
Comments | Region: India
There is a huge divide between India shining and India suffering and very few cinematic attempts have been made to expose this harsh reality. Peepli Live – a comic satire on the state of farmers successfully highlighted the same and helped in creating some buzz around the pathetic conditions of our farmers. Over urbanization is slowly but surely killing our once famed agriculture industry and its repercussions are felt by each one of the stakeholders involved including the tractor manufacturers and suppliers. Statistics show that the demand for tractors and tractor spare parts was robust up till the mid 90s and thereafter it begun to decline gradually.
Even during this slump some of the well known brands like Balwan Tractors, Force Motors Ltd, Crossword Agro Industries, Eicher, Escorts , HMT Tractors, Mahindra Gujarat Tractor Limited, Mahindra & Mahindra have somehow managed to keep their profit margins alive amidst hope of sector’s revival.
Tractor parts suppliers seem to have full faith in the Tractor Manufacturers Association (TMA) – the main representative body of the tractor manufacturers which realizes the urgency of the matter and is doing its best to drive government’s attention to the current crisis.
The big question remains : What is ailing the indian tractors industry ?
Analysts say that, things have not been like this and the tractor industry has seen its share of bright and shiny phase in the past, though with over urbanization the scale has tilted in the other direction.
Industry insiders further reveal that the sale of tractors heavily depends on the robust growth of agriculture which has not been the case for last few years. The farming conditions and methods have not changed since ages. Adding to their misery, crop failure has become a routine due to ineffective fertilizers or infertile seeds. New technically advance tractors can not be built as it puts the burden of the increased overheads and many feel will not work in the already gloomy scenario.
A recent report highlighted the fact that the tractor penetration level in India is very low as compared to the world standards. Also the penetration levels are not uniform throughout the country. While the northern region is now almost saturated in terms of new tractor sales, the southern region is still under penetrated.
So what can revive the indian tractor industry ?
Many Tractor parts suppliers say that Indian youth at least those who have been in farming traditionally should take an active interest in farming and its new technology. They further add that more incentive is needed from the government for those who take farming as a full time occupation. Last but not the least efforts at the socio-economic level are required to create awareness about the sad state of Indian agriculture to force government’s action before it gets too late. May be as someone said – a few more Peepli Lives.