Tractors, Technology and India’s Agricultural Sector: An Interconnected Tale

by Amili R. SEO

Introduction

If you think about it, the general view of Indian economy is that in spite of technological innovations, the nation continues to rely heavily on the agriculture sector. However, there is an underlying story here that has gone quietly unnoticed: India’s technological innovations have come about because of the agricultural sector.

Tractors have become a major part of the agriculture story in India. While they are not an Indian invention, tractors have become a massive contributing factor to the success stories of Indian farmers. So the underlying story here is that while India does rely heavily on its agricultural sector for economic progress, this reliance has influenced and been influenced by other sectors such as manufacturing and engineering.

Technology and Tractors in India’s Progress

Tractors were first introduced in India by the British, in 1914. Their objective was to clear the land of unwanted shrubberies for cultivation. The ruling government also let the tractors out for hire to rich land-owners, who began using them for farming purposes. Within a couple of decades, this also led to the rise of a spare parts and servicing industry for tractors. By now, the need for advanced agricultural practices was beginning to pave the way for engineering and servicing industries.

During the 1940s surplus tractors left from the World War were brought to India. This was crucial for the new government as a newly-Independent India understood the importance of agriculture in boosting the country’s economy, and how vital a modernized set-up would be for achieving these goals. By the 1960s, Indian tractor companies started developing tractor models that were more suitable for the local terrain and farming requirements. During this time, Escorts Tractors Ltd. also emerged as one of the prominent manufacturers of some of the best tractors in India.

Soon, the Indian government placed a ban on the import of foreign tractors and parts. This sparked an era of innovation and ingenuity from within the country. India’s Green Revolution during the 1980s saw another milestone achieved when the nation began exporting tractors to the world. Further, the Indian government aided farmers through several measures, including subsidies on Indian-made tractors and directing banks to offer low-interest loans for agricultural machinery.

As Things Stand Now

Currently, nearly 4.3 million tractors are in operation in India, with only 1 in 20 rural households owning one, as of 2011. Further, the market is expected to grow by 7-8% every year.

The best tractor companies in India have innovated upon their previous work to provide multi-functionality. Tractors are now capable of doing more than just farm work. Tractors are being used in construction work and material hauling. Further, well thought out legislation allows you to obtain a permit to use a tractor on the road for material haulage.