WITH the recent news of tractor sales hitting all-time highs and many ag machinery dealers enjoying their most buoyant sales figures on record, people are left wondering if the momentum can be sustained.
The tractor sales figures are just one part of a potentially positive outlook for agriculture in the short-term, with commodity prices remaining strong and favourable weather patterns for many regions.
Agriculture machinery manufacturer Case IH Australia and New Zealand’s general manager, Pete McCann, said it was a good position to be in, however, there are challenges and potential issues that will need to be monitored to ensure the industry’s continued success.
“There is certainly reason for optimism and many farmers and businesses have enjoyed the better times post-drought, while also acknowledging that flooding has severely impacted a number of regions in the past year,” he said.
“We’re also currently enjoying the return of field days which are allowing Case IH staff to get back in front of customers after a lengthy hiatus, and demand for machinery is very high, as highlighted by the TMA report from earlier this month.
“We’re certainly not getting too far ahead of ourselves though and acknowledge that the likes of supply chain disruptions and rising input costs for all farm businesses are significant issues and will remain so in the short-term.”
Mr McCann said dealers were still receiving a high volume of orders, particularly for tractors and headers, with availability for parts improving significantly despite global supply chain shortages.
“In the past two years, both the company and our dealers have been stocking up to ensure we have a solid parts supply when and where our customers need it most, and that’s really starting to pay off,” he said.
“Our dealers have been doing a fantastic job of managing the high demand from customers for both machinery and parts, and in turn balancing this with supply constraints.
“I appreciate the understanding and patience of our customers on whom this is impacting.”
Other issues impacting the delivery of machinery on-farm include shipping delays, the quarantine inspection process, and port congestion.
“These issues are largely out of our hands, but we are making representations where appropriate to the relevant authorities about the urgency in clearing this machinery as quickly as possible, so it gets to the farmers who are relying on it for the running of their businesses,” Mr McCann said.
“The current foot and mouth disease (FMD) threat requires heightened levels of attention which we support 100 percent.
“FMD would devastate our industry so we welcome any additional measures that may be required.
“The inspection delays we’re experiencing though have been an issue for a long time and we’d hope for ongoing efficiencies in this area, while still maintaining the biosecurity vigilance our nation is renowned for.”
Mr McCann said the sector was also looking at increasing its skilled workforce, with it being an exciting time for growth within the industry as dealerships embark on their own employment drives ad programs.
“There’s no doubt right across the ag machinery sector there are labour shortages, particularly in terms of apprentices and qualified technicians,” he said.
“The good news though is that if you’re a school leaver, or looking for a career change, there’s never been a better time to enter the industry.”