Tractor sales fell sharply in September 2026 owing to a weak monsoon, which is expected to have dented purchasing power in the rural economy.
While market leader Mahindra & Mahindra’s Farm Equipment Business (FEB) reported a 23% year-on-year decline in domestic sales to 50,208 units in September 2026, Escorts Kubota’s domestic tractor sales were at 14,911 as against 17,803 tractors in September 2025.
“September 2026 performance is not comparable with the corresponding period last year, given the high base following the GST rate reduction in September 2025, shift in the festive season to October 2026, patchy monsoon conditions and relatively lower Kharif sowing,” said Escorts Kubota in a statement. The company’s share fell 1.5% on Thursday.
India’s southwest monsoon, which delivers nearly 70% of India’s annual rainfall, officially concluded with a 12.6% rainfall deficit, recording 759.4 mm of rain against the normal 868.6 mm, according to the India Meteorological Department. This deficit has led to concerns over crop yields, rural demand and food inflation in the country.
Escorts Kubota said, “Looking ahead, festive demand, crop harvesting and improving rural liquidity are expected to support industry volumes. However, the high base effect may continue to moderate industry growth in the near term.”