Factors affecting the choice of a tractor
It is very important for the farmer to choose a tractor which would be
best suited for his needs. This would determine his farm productivity, future
annual income, the repayment of the loan availed for the same and his capital
formation capability, which would influence his decision to opt for a replacement
after some years. The factors determining the choice of a tractor are:
·
Price of the tractor and margin money payable
The farmer's
ability to purchase a particular type of tractor depends on price, which in
turn depends on whether he intends purchasing a small, medium or high-powered
tractor. It also depends on the additional implements and features opted for in
the tractor. The farmer also takes into account whether the tractor is branded
or assembled. Since nearly 90 per cent of the tractors are purchased through
bank credit, the choice of a tractor would also depend on the extent of finance
provided by the bank. Hence, given the low capital with the farmer, the higher
margin money payable by him would affect his ability to purchase a
higher-powered tractor.
·
Size of landholding
The size of
landholding has a direct impact on the size of the tractor to be used. Large
farms, which have a large cropped area and higher cropping intensity, require
high-powered tractors. Pre-monsoon operations such as tilling and sowing have
to be completed in a limited time. These operations can be done faster using
higher-powered tractors. Besides, if the output of a larger farm is higher, it
would require a larger tractor for the transportation of same.
·
Nature of soil
Smaller tractors
are more suited for soft soil conditions, as conducting agricultural operations
on it requires lower-powered tractors. In India ,
the northern states of Punjab , Haryana and the
western parts of Uttar Pradesh have relatively soft soil, and hence, the demand
for small tractors is high in these regions. In the southern and western
regions, the soil is relatively hard, and hence, there is higher demand for
medium and large tractors.
·
Crop mix
The crop mix and
the nature of crops cultivated have a significant role in determining
the choice of a tractor. Medium and large tractors are preferred for the
cultivation of cash crops such as sugarcane and cotton, where the agricultural
activity required for cultivating these cash crops is high, and the timeliness
of operations is significant. Similarly, in the case of intensive farming and
multiple cropping, the land bed preparation, harvesting and transportation
needs to be done quickly, and therefore, high power tractors are preferred.
· Replacement demand
The life of a
tractor is estimated at around 15 years, though the actual usage could
vary, depending on the soil and cropping conditions. Usually, the farmer who is
replacing a tractor would want to upgrade to a higher-powered tractor.
Therefore, the high replacement demand in states such as Punjab
and Uttar Pradesh would be for the higher-powered tractors, given the
increasing income levels and the existing tractor population of lower-powered
tractors.
·
Purpose of use
The choice of a
tractor depends on whether the customer is a farmer, who is purchasing the
tractor for agricultural purposes, or a contractor, who would use it for
commercial purposes such as in construction projects for the transportation of
goods and materials. Higher powered tractors are preferred in construction
projects.
·
Re-sale price of the tractor
A tractor is
generally replaced after 8-10 years. But it is estimated that it still
continues to be useful for around 15 years. Since the farmer tries to cover the
margin money payment for a new tractor from the sale proceeds of the existing
tractor, he takes into account the re-sale price which a particular tractor is
expected to earn after it has been used for a certain number of years.
