New tractor sales across the country continue to improve on last year with May sales up another 5 percent on last year, writes Tractor and Machinery Association executive director Richard Lewis.
Most of the action is in the higher horsepower categories with 100-200hp up 13 percent and 200+hp up 11 percent respectively.
Across the states, NSW is the big improver with new tractor sales up 14 percent for the year, reflecting a subdued demand from last year turning around in 2016.
Many dealers are reporting excellent enquiry levels across the ranges after excellent rainfall totals in most of the country’s broadacre farming areas.
The expectation for header sales this year is very good with a number of new headers going to customer before June 30, presumably to customers who got in early anticipating a price increase from a falling dollar.
At the end of last year, companies were left with carry over headers which represented excellent value in the light of the currency, and companies and dealers were discounting these in order to clear the decks for this coming season.
Savvy buyers have snapped these up with significant volumes to be delivered in the month of June, which is unusual.
An average year for new header sales across the country is around 750 units nationally, and we are anticipating that we may do slightly better than this number once the season is over towards the end of the year.
Sales in smaller horsepower tractors are down this year, but with good winter rain and fingers crossed for a favourable spring growing season, we are anticipating this segment of the market to improve along with the prospects of farmers growing hay and silage, and the lifestyle farmer needing to control growth.
There appears to be a bit of stock of these tractors on the ground and look out for some good spring deals as we come out of a good winter of rainfall.
Interest rates remain low in the farm machinery sector and this is helping decision making where the opportunity to lock into a low rate over up to five years becomes a compelling part of the decision-making process for buyers.
If you’re looking for used tractors over 100hp for sale, check out our listings.