Escorts Limited India

Escorts Limited is a tractor company based in India. This company was started in 1948 as Escort Agri Machinery Group and pioneered farm mechanisms.

Back then, the company only used to market the tractors but in 1960 they started manufacturing them from Faridabad.

The company has grown to have 600 dealers around India, 100 parts stockists and 30 offices. It has a 20% national share and has developed an in house state of the art R&D facility.

This facility was created to develop new products that will offer improved performance, low fuel consumption, low maintenance and part requirements.

Important Dates
The company was started in 1948 and ten years later it started importing MF tractors from Yugoslavia to be sold in India. Later, it decided to put up a manufacturing plant in Faribad and got a license to manufacture Escort tractors.

After setting a manufacturing plant, Escorts Limited signed a contract with Ford Motors and this enabled them to produce Ford 3000 tractors. The company was able to export 400 tractors to Afghanistan at its following operational years.

Escort Limited decided to open its scientific research center where it could develop its own engines. The year of 1979 was especial for the company as it’s turnover passed the Rs.50 crore mark. As the company grew, it was finally able to sell its 75000th truck thru out 80’s.

In early 90’s Escorts Limited released its first public issue which was oversubscribed 4 times. The company’s shares were finally listed on Bombay and New Delhi’s stock exchanges. The FARMTRAC tractor was manufactured in collaboration with New Holland.

This automobile company India is now exporting over 600,000 tractors to countries like Kenya, USA, Malaysia, Turkey, Australia just to name a few. In the fiscal year 2008-2009, Escorts Limited registered a 16.7% rise in sales. Last year, it showcased its versatile 4 cylinder tractor named Powertrac 4455.

Since agriculture counts for 25% of the country’s GDP and offers 60% of the people employment, we expect this company to keep producing tractors. Although its tractors have been widely marketed, the company has only sold tractors to 10% of India.

Therefore there is untapped potential and this means that Escorts Limited will be around for the next 15 years distributing tractors even to villages. It has been noted that tractor manufacture in the United States seems to be slipping away towards India and China. India will most likely be considered one of the top 10 markets for construction equipment. The business of tractor construction is expected to grow and so will Escorts Limited.