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Seeds, Soil and Machines: India's Farm Inputs

Tractors, Harvesters and Custom Hiring

How mechanisation spread on Indian farms, why most small farmers rent machines instead of buying, and the rise of custom hiring centres.

Indian farms have become more mechanised.

Tractors

India is the world’s largest tractor market by volume, with close to 9 lakh tractors sold in some years. Leading makers include Mahindra, TAFE, Sonalika and Escorts Kubota.

Why mechanisation grew

  • Rising wages as workers moved to cities and non-farm jobs.
  • Timeliness: machines finish sowing and harvesting faster.
  • Credit availability.

Small farms problem

Most Indian farms are small, under two hectares. Owning a tractor or harvester isn’t economical for them.

Custom hiring

Instead, farmers rent machines:

  • Custom hiring centres, supported by government schemes.
  • Private owners renting out tractors and combine harvesters.
  • Apps that let farmers book machines.

Combine harvesters

Combine harvesters travel from state to state following the harvest season, especially in Punjab and Haryana.

Side effect: stubble

Combine harvesters leave stubble, which many farmers burn, contributing to air pollution in north India. Machines like the Happy Seeder help manage stubble but add costs.

The rented harvester

A small farmer in Madhya Pradesh can't afford a combine harvester. He books one through a custom hiring centre, paying per acre and finishing harvest in a day.

Thinking every mechanised farm owns its machines

Most small farmers rent machines.

Key takeaways
  • India is the world's largest tractor market by volume.
  • Rising wages and timeliness drove mechanisation.
  • Small farmers rent machines through custom hiring.
  • Combine harvesting contributes to stubble burning.
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