New Holland Agriculture, one of the leading agricultural equipment brands globally, has announced its agreement to deliver 600 tractors to Myanmar farmers through the Agricultural Mechanisation Department (AMD) retail selling project initiated by Myanmar’s Ministry of Agriculture, Livestock and Irrigation (MOALI)
The goal of the AMD retail selling project is to develop the nation’s crop production with agricultural mechanisation.
At the signing ceremony, U Soe Hlaing, director general of AMD, commented, “The delivery of 600 tractors will take us another step forward in Myanmar’s wide-reaching agricultural modernisation program. This project will play an essential part in improving our country’s crop quality, crop yields, and food security.”
CNH industrial business director for agriculture, South East Asia, Pakistan and Japan Emre Karazli commented, “New Holland Agriculture shares the Myanmar government’s commitment to promoting agricultural mechanisation and we are very proud to be part of this initiative. The tractors we are supplying, from our plants in India and Turkey, will be a big help in modernising and upgrading farming practices.”
New Holland worked together with Yangon-based CPCL, its authorised Myanmar distributor since 2012, which is a wholly-owned subsidiary of Yoma Strategic Holdings Ltd., to supply AMD with a total of 600 tractor units. The total number of machines to be delivered under this program will include 500 units of 75-hp TT75 tractors made in India and 100 units of 90-hp TD90 tractors made in Turkey.
New Holland Agriculture will also provide training in the operation and maintenance of the vehicles to ensure that investment in the new machinery delivers the highest possible returns.
The Myanmar Government has made it more affordable for farmers to invest in new tractors by creating an instalment payment scheme for their purchases. For the AMD program, Yoma Bank offers farmers a financing option based on a 10 per cent down payment with the balance payable at six monthly intervals over three years. Before this program was introduced, farmers who traditionally ploughed and harvested their land using traditional farming methods found it difficult to access mechanisation; this program will stimulate the process.
The agriculture sector is the backbone of the Myanmar economy, contributing 38 per cent of gross domestic product, accounting for 25 to 30 per cent of total export earnings. Key government agricultural policies are to encourage transformation from conventional to mechanised agriculture, to assist in lowering production costs, increasing high-quality crop production.