Mahindra and Mahindra (M&M) on Wednesday forecasted a slowdown in tractor business and said the company expects around 9-10 percent growth in FY19.
"The demand in the tractor business has been slow, we need to step back and see how the last three years have been. So we have come out of three years of good growth," said Rajesh Jejurikar, president-farm equipment sector, M&M.
"We have seen dramatic growth in the tractor market over the last three years. The tractor market size now is large and a large base to operate out of. So when we say demand has been slow, we have to see it in the context of the base and we have to see it in the context of the absolute size,” Jejurikar said.
“We expect FY20 to be a single digit growth year,” he added.
In terms of production, Jejurikar said, “We haven’t had to do any significant correction in production because we have done that as we went.”