Automobile manufacturer Mahindra & Mahindra has introduced a tractor rental service named Trringo, which will be available as a mobile app, reports Techcircle. The company also added that the new initiative will have an initial investment or Rs 10 crore. Trringo is expected to be launched in five states including Maharashtra, Karnataka, Gujarat, Madhya Pradesh and Rajasthan by this year. The company plans to go live in one regional state by June and then anticipates expansion to four more states by August. The company plans to run the business through a franchise as well an aggregator based business model. Under the franchise model, Mahindra claims to provide new tractors and relevant equipment to customers, which will be rented out by their franchising partners. Mahindra also plans to set up 80 franchises and 160 hubs for presuming operations. A notable point is that Mahindra embraces a brand-agnostic model by allowing franchisees to rent out non-Mahindra tractors as well. While under the aggregator model, large farmers who own high-end equipment will be able to rent out their assets to other farmers using Trringo. The company will levy a fixed rate and a variable margin for their services. Mahindra said that it would control the rates on the Trringo app depending on soil conditions. “When there is hard soil then the requirement is different. For different engagements there are different rental rates,” said Arvind Kumar, business head for Trringo. Recent developments from Mahindra -In November 2015, HDFC sold its entire stake (4%) in Mahindra First…
