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Lenders look to pivot to tractor financing to beat slowdown in the auto sector

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An excellent rabi harvest and the forecast of a normal monsoon augur well for the industry, say tractor makers Lenders are likely to sharpen their focus on financing tractor sales rather than automobiles, encouraged by a good rabi crop and burgeoning water reservoir levels, said executives from leading farm equipment manufacturers International Tractors Ltd (ITL), Escorts Ltd and John Deere India Pvt.

Ltd. The push towards tractor financing comes as the outlook for automobile sales remains bleak because of the pandemic-induced countrywide lockdown and the economic slowdown that ensued.

According to industry body Society of Indian Automobile Manufacturers, auto sales are expected to be 35-40% lower in FY21, if gross domestic product growth

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