Global leader in agricultural and construction solutions, CNH, has set a goal to double its market share in India’s tractor segment. The company plans to increase its sales infrastructure and boost brand recognition to achieve this ambitious target, as stated by a top company executive.
Currently, CNH produces around 70,000 tractors annually and holds a market share of over 4% in India’s domestic tractor market. The company is aiming for an 8% share in the next five years. CNH operates two plants in India, located in Greater Noida and Pune, and plans to increase its production capacity to 100,000 tractors per year.
“We aim to double our market share in India over the next five years,” said Narinder Mittal, President and Managing Director of CNH India, speaking to reporters. With the domestic tractor market expected to grow to 1 million to 1.1 million units in the coming years, CNH plans to expand its brand presence and sales network.
The company currently operates 500 dealerships in India and plans significant growth in this network. Mittal also highlighted the role of new technologies, including advancements in engine capabilities, in helping the company grow.
CNH manufactures and sells tractors in the range of 17 hp to 106 hp in India and imports higher-capacity models. Recognizing India’s growth potential, CNH has established it as a separate business entity globally.
In addition to expanding its market share, CNH is preparing to export compact tractors to the US, with the first shipment scheduled for early next year. Additionally, CNH announced the opening of a new engine plant in Greater Noida, marking a significant investment of around USD 15 million. The plant, located within CNH’s 60-acre Greater Noida facility, will have a production capacity of 20,000 units per year.
Currently, the plant produces a 2.8-litre engine that complies with TremV emission standards for construction equipment. The company plans to extend its production to agricultural machinery once TREM V emission norms are introduced. Uno Minda Sees Decline in Q3 Profit Due to Rising Costs
Uno Minda Ltd, a manufacturer of auto components, reported a 4.4% drop in its consolidated net profit for the December 2024 quarter, amounting to Rs 254.37 crore. This decrease was mainly due to higher raw material and employee costs. However, the profit showed a 24% year-on-year growth compared to Rs 205.11 crore in the same quarter last year.
The company’s revenue from operations dropped slightly by 1.4% sequentially, totaling Rs 4,183.99 crore for Q3 FY25. On the other hand, it saw a strong year-on-year revenue increase of 18.8%, from Rs 3,522.91 crore in Q3 FY24. This growth was driven by robust demand from automakers, reflecting the ongoing strength in vehicle sales.
Raw material costs rose by 3.3%, reaching Rs 2,543.31 crore in Q3, due to inflationary pressures. These costs made up 60.8% of revenue, up from 58% in the previous quarter. Employee costs remained nearly the same at Rs 533.67 crore, compared to Rs 528.24 crore in Q2. Finance costs saw a slight increase to Rs 47.30 crore from Rs 46.03 crore quarter-over-quarter.
The EBITDA margin declined to 11.1% in Q3 from 11.4% in Q2, primarily due to higher input costs. Despite this, the company continued to maintain solid profitability, supported by operating leverage benefits from increased volumes. Profit from associates and joint ventures was Rs 40.48 crore, down from Rs 48.43 crore in Q2 but slightly higher than Rs 43.70 crore in Q3 FY24. Basic earnings per share for the quarter stood at Rs 4.05, compared to Rs 4.27 in Q2 and Rs 3.38 in Q3 FY24.
CNH India, a subsidiary of CNH Industrial, is a leading player in the agricultural and construction equipment sectors, committed to driving innovation and sustainability in India’s farming and infrastructure industries. With a strong manufacturing footprint, the company operates state-of-the-art facilities and R&D centers that cater to both domestic and international markets.
CNH India offers a diverse portfolio of advanced tractors, harvesters, and construction machinery under its renowned brands, including New Holland Agriculture and CASE Construction. The company emphasizes digital transformation, precision farming solutions, and energy-efficient technologies to enhance productivity and sustainability for Indian farmers and construction professionals. Through continuous investment in technology, local manufacturing, and skill development, CNH India remains dedicated to supporting India’s agricultural modernization and infrastructure growth.
