Punjab Tractors (PTL), part of Mahindra & Mahindra, has suspended its production for six days because due to lack of demand for tractors.
"It is a seasonal adjustment as we did not want to build unnecessary inventory of tractors," PTL Deputy Managing Director A Sawhney said here.
The company has already put on hold its production on December 19 and 20 and now it would keep its production suspended on December 22, 26, 27 and 31, said a company official.
However, Sawhney said that the company would be producing 2,500 tractors this month.
In the month of October this year, PTL observed a growth of 11 per cent in tractor sales as it sold 3,807 tractors compared with 3,422 units sold in corresponding period.
During the period between April and October this fiscal, PTL posted a growth of 46 per cent in tractor sales. It sold 20,734 tractors as against 14,181 sold in corresponding period of last fiscal.
In the month of July this year, Mahindra & Mahindra announced merger of PTL with it even as Swaraj brand of PTL continued to exist after the amalgamation.
Last year, Mahindra Group acquired 63.3 per cent stake in PTL at a price of Rs 1,400 crore.
Set up in the year 1970, PTL currently has total installed capacity of 60,000 tractors per annum.
