Millat Tractors Secures African Export Territory Under New AGCO Agreement

PAKISTAN – Auto Sector

Millat Tractors Limited (MTL) has entered into a strategic agreement with Massey Ferguson Corp (MFC) and AGCO Limited, the global owner of the Massey Ferguson brand, to export Millat-branded tractors directly to African markets.

The development was disclosed by the listed company in a notice to the Pakistan Stock Exchange (PSX) on Monday. Under the agreement, MTL has been assigned the African territory for the export of its tractors under the Millat trademark, enabling the company to expand its international footprint while contributing to Pakistan’s export growth.

MTL clarified that the arrangement is in addition to the ongoing export of Massey Ferguson–branded tractors to Africa and other international markets through AGCO Corporation, USA. The company said the collaboration is expected to significantly strengthen its presence in the African region and enhance its long-term global business prospects.

The move aligns with MTL’s broader strategy to diversify its export destinations. During a recent corporate briefing session, the company’s management noted that exports to Afghanistan had been affected by political instability, prompting the exploration of alternative markets including Africa, Mexico and Sri Lanka to sustain and expand overseas sales.

Incorporated in Pakistan in 1964, Millat Tractors Limited is a public limited company engaged in the manufacturing and sale of tractors, diesel generating sets and prime movers, diesel engines and forklift trucks. The company also provides sale, implementation and support services for Industrial and Financial System (IFS) applications both locally and internationally.

As of June 30, 2024, MTL has an installed production capacity of 30,000 tractors per annum on a double-shift basis, positioning it among the leading tractor manufacturers in the region. – ER Web Desk

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