Tillman to Lift Bajaj Tempo's Revenues

It's not Superman or He-Man. But, claims to have the power to improve the lives of many a poor farmer. It's the Tillman, a handheld tractor being developed by the Bajaj Tempo group to tap a segment of farmers who can't afford a tractor but are looking for technological help to till their farms. Thereby, the company also hopes to improve its bottomline in the tractor segment that is witnessing a 15 per cent slowdown as compared with last year.

The Rs 625 crore Bajaj Tempo is testing the protoype and will launch the model priced in the range of Rs 70,000 to Rs 100,000 early next year, Mr Rakesh Jinsi, Chief Operating Officer Tractor division, told ET.

The 10-12 horsepower power triller is targeting the farmers of hilly terrains and small land holdings, and hopes to begin with sales of 3000 to 4000 in the first year. The company is using the expertise of auto majors like ZF Germany and Dailmer Benz for developing the models.

Bajaj Tempo will also be introducing higher versions of its Balwan range of tractors with 60 hp or more, with an eye on exports to Europe and America. The recently introduced Balwan and Ox range of tractors are currently available in 400 to 500 hp and 25 to 45 hp respectively.

The company will also shift the marketing focus to the Northern region of the country, where mature and advanced technological farming practices are implemented. "We will be selling the solution, not a product, to cater to their needs, by going to their doorstep and even offering free training to roadside mechanics," said Mr Jinsi.

With its models, the company aims to boost the bottomline of its tractors division from Rs 60 crores to Rs 180 to 200 crores this fiscal. It hopes to increase its marketshare from the current one percent to three percent of the total market estimated at 2 lakh units per year. by selling 6,000 tractors as against the 2,000 sold last year. The company, which has invested Rs 100 crores on the tractor projects, has 175 dealers and is focussing on expanding to 250 dealers by the end of the year.