Sonalika Eyes 30% Domestic Sales Growth In Tractors In FY18

Sonalika International Tractors Ltd is eyeing over 30 per cent sales growth this fiscal to touch 1 lakh units, a company official today (6 September) said.

"There is about 2-3 per cent net impact on our margin post-GST and we are absorbing it. In this fiscal, we are looking at one lakh tractors in domestic sales, up from 70,000 units sold in 2016-17. In the last fiscal, we had grown by 34 per cent and hope to maintain the momentum," Sonalika ITL Senior VP, Sales, Munish Kumar said.

He said the company is hoping to export 15,000 tractors, as against around 12,500 it exported to around 80 countries last year.

The tractor market this fiscal is expected to be at 6.5 lakh units, as against 5.82 lakh units last year.

The company may also clock a turnover of Rs 10,000 crore based on the sales projections, company officials said.

In the April-June period this fiscal, the company registered sales of 25,000 units, up 11 per cent.

In August alone, the growth was 31 per cent, the company said.

The home-grown company is also set to open the world's largest tractor manufacturing unit at its existing plant in Hoshiarpur, Punjab, for an investment of Rs 800 crore. It has added two tractor making units in the plant which will raise the capacity to three lakh units a year.

Speaking about West Bengal, Kumar said Sonalika registered a strong growth to 1,278 units (April-July) commanding 17.2 per cent market share.

Sonalika is leader in the 50HP and above segment in West Bengal and in the country.

(PTI)