Friday, 12 February 2021 13:55

NZ tractor industry remains optimistic for 2021

Written by  Mark Daniel
Tractor and Machinery Association (TAMA) president Kyle Baxter says while 2020 posed challenges for the industry, the current mood is positive. Tractor and Machinery Association (TAMA) president Kyle Baxter says while 2020 posed challenges for the industry, the current mood is positive.

New Zealand tractor sales finished 2020 on a strong note, with December sales up 18.4 % on 2019.

Tractor and Machinery Association (TAMA) president Kyle Baxter says while 2020 posed challenges for the industry, the current mood of the organisation’s members is positive.   

Overall, tractor sales for 2020 were down 15.3% compared with 2019. Sales of machines in the 375 HP and above were particularly affected with a drop of 25% on the previous year.

However, some segments remained stronger than others during 2020, particularly lifestyle tractors (20-30HP), where sales volumes were very similar to 2019. Meanwhile, tractors sold in the viticulture and horticultural sectors, typically 80 to 100HP, saw a reduction of about 5% compared to 2019’s record breaking year.

Hardest hit was the 140-375Hp range, traditionally sold into the arable and dry stock farming sector, with a 20% reduction compared to 2019.   

“This HP segment accounts for a lot of the tractors sold to contractors and hire fleets, which were affected by the general uncertainties around the pandemic,” Baxter explained.

“These guys also experienced further uncertainty in obtaining sufficient workers through the spring and summer season to operate their machines, with a consequential reduction in the yearly sales volumes of larger tractors.” 

Looking forward, he says TAMA members are reporting demand for tractors and equipment steadily building, with customers securing machines for Spring/Summer 2021.  

“However, the pandemic is continuing to disrupt the overseas supply chain across Europe, America and Asia,” Baxter adds.

“Our members are doing everything they can to ensure machines arrive on time for the season ahead. However, there will be potential delays in global manufacturing and international shipping routes that may be felt during the first half of the year.”

He says TAMA is advising its members to stay well informed of any shipping logistics and to liaise with their customers who may be affected by these delays.

More like this

Positive signs, says McClay

First up to the podium at the recent Tractor and Machinery Association (TAMA) Conference in Wellington, Minster for Agriculture, Todd McClay, reflected on a difficult 12 months, but hinted at signs that things were turning the corner, saying “when ag does well, New Zealand does well”.

Time to cast the net past China

A 2022 Nuffield scholar, Lucie Douma, was brought up on a Southland dairy farm and as a hobby likes the risky business of trail running and ultra marathons.

Tractor, machinery sales dip

The recent Tractor and Machinery Association (TAMA) conference in Wellington was signalling cautious optimism on the back of rising milk and store cattle prices and drops in interest rates.

Changing of the guard at TAMA

Deere NZ territory manager Jaiden Drought was elected new president of the Tractor and Machinery Association (TAMA) at its August annual meeting.

Featured

Winston Peters questions Fonterra divestment plan

Foreign Affairs Minister Winston Peters has joined the debate around the proposed sale of Fonterra’s consumer and related businesses, demanding answers from the co-operative around its milk supply deal with the buyer, Lactalis.

Cyclone Gabrielle lessons from Young Grower of the Year

If there was a silver lining in the tragedy that was Cyclone Gabrielle, for New Zealand Young Grower of the Year, Grace Fulford, it was the tremendous sense of community and seeing first-hand what good leadership looks like.

National

Machinery & Products

Disc mower range gets upgrade

Kuhn has announced an expansion of its range of disc mowers, distributed by Norwood in New Zealand, with the addition…

Tech might take time

Agritech Unleashed – a one-day event held recently at Mystery Creek, near Hamilton – focused on technology as an ‘enabler’…

» Latest Print Issues Online

The Hound

Quid prod quo?

OPINION: Ageing lefty Chris Trotter reckons that the decision to delay recognition of Palestinian statehood is more than just a fit…

Deadwood

OPINION: A mate of yours truly recently met someone at a BBQ who works at a big consulting firm who spent…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter