The month of November has been another outstanding one for the agricultural equipment market with tractor sales continuing to break records, supported by another huge month in the sale of Combine Harvesters.
Tractor sales across the nation enjoyed a strong rise of 21% on the same month last year. This now sees the year-to-date figure 28% above last year with a running rate now approaching 18,000 tractors per annum.
Sales have been strong in all states fuelled by the excellent harvest season underway supported by the Government’s various company tax incentive programs.
Beginning in NSW sales were up 16% for the month and are now 43% ahead YTD, Queensland was again strong up 19% now up 25% YTD and Victoria was up 19% and is 16% up YTD.
Sales in Western Australia recorded a solid 23% lift for the month in support of what is a big harvest season, now 36% ahead for the year. South Australia had a mammoth 52% lift for the month and is now 17% ahead YTD, Tasmania bounced again and is 23% up for the year whilst sales into the Northern Territory enjoyed a lazy 78% rise to be 23% up YTD.
All performance reporting categories have enjoyed strong rises for the year, beginning with the under 40 hp (30kw) range which was up 15% in November despite ongoing supply challenges and remains 16% ahead of last year.
The 40 to 100hp (30-75kw) range was again up strongly 13% in the month, now 28% up YTD, the 100 to 200hp (75-150 kw) category was up 33% to now be 25% ahead YTD. The large 200 hp (150kw) PLUS range was the standout with another big rise of 51% and now sits 64% ahead of last year in support of harvest season.
Combine harvester sales recorded another huge rise, double the same month last year and we have now passed the 1,000 units mark for the year, a number not seen since 2011.
Baler sales were down significantly as the impact of the previous two years of record sales continues to dampen demand, they remain 33% behind last year. Finally, sales of Out – Front Mowers are steady YTD.
The industry continues to thrive in the face of a range of challenges not previously seen. Supply of product is now a worldwide problem and whilst 2021 has been outstanding, the forward outlook will be heavily impacted by dealer’s ability to get stock.
The TMA Quarterly Business Sentiment survey reveals that there has been a marked change in sentiment with expectations that turnover will Decrease, doubling since the August survey from 16% then to 33% now. The majority, 50%, still believe that turnover will Remain Unchanged.
Finally, the Productive Commission has released its report into the Right to Repair issue, a copy of which can be found on the TMA website. The Commission has made a number of recommendations regarding Agricultural equipment supply and the TMA is presently digesting these recommendations and looks forward to working with the government and stakeholders on their implementation.