Mahindra & Mahindra Secures Record 35,000 LCV Export Order

Mahindra & Mahindra shares rose 1.85% today to Rs 3,593.30 after the company announced its largest-ever export order for light commercial vehicles.

The automaker will sell 35,000 units of Scorpio Pik Up to Agrinas Pangan Nusantara which is an Indonesian state-owned enterprise whose delivery will occur by 2026.

Mahindra & Mahindra reported the order in an exchange filing and said it is a part of Indonesia-based Koperasi Desa/Kelurahan Merah Putih (KDKMP) Project, which aims at establishing a powerful cooperative-based rural economy. The vehicles will facilitate logistics business of cooperatives being established in the country to enhance the transportation of the farm products.

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In the partnership, Mahindra and Agrinas Pangan Nusantara will collaborate in ensuring the strengthening of rural logistics through facilitation of the smooth flow of fresh supply of farmers to market places. The partnership will help fill the gap between the producers and the consumers as well as empower the villages to become self-contained economic units.

Nalinikanth Gollagunta, CEO, Automotive Division, Mahindra & Mahindra, said, “We are looking forward to this association and to supporting Indonesias Koperasi through our partnership with Agrinas Pangan Nusantara. By deploying the … this collaboration reflects our commitment to enabling prosperity and supporting national priorities.”

The Scorpio Pik Up, which is produced in Mahindra Nashik plant, is a vehicle that is suited to rough rural environments. The vehicle is known to be very robust in terms of its ability to carry a lot of weight, and its low operation costs, enabling it to work effectively on rough roads and farm tracks. It will facilitate first-mile aggregation, take the produce of farms to cooperatives, and intra-village logistics.