Farm equipment sales see first drop in months
With your southeast regional farm newspaper, I’m Haylie Shipp.
A drop in equipment sales? Well – sort of. According to the Association of Equipment Manufacturers (AEM), sales of agricultural tractors and combines recorded their first monthly decline since July 2021. It happened last month. Total farm tractor sales in the United States fell 21.1% for the month of March. Curt Blades with AEM says it’s a report they’ve been waiting for, noting inventory levels are down more than 10%.
So to put it simply, you can’t sell what you don’t have, and like he said, you probably can’t buy like you’ve always bought it…
“Where we had the luxury in the past of being able to walk past a dealership, see a tractor and potentially drive it home later in the week, I think those days could be behind us. So working closely with a dealer, working closely with the manufacturer to anticipate your equipment needs, is a really critical step for farmers to take, and certainly being able to take advantage of some of this advanced technology and have a plan to incorporate it into your farming, that’s what we encourage farmers to do. This discipline has probably been here with us for a while and I wouldn’t say it’s a bad thing, I’d say it’s a good thing that the farmers, dealers and manufacturers are working more closely together to ensure they have the equipment they need to put the r harvested from the ground to feed the world.
One exception in this report… the two-wheel-drive sector over 100 horsepower saw 7% growth in the US market.