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With tractor sales for the first half of 2015 down 17% on the same period in 2014, the Tractor and Machinery Association (TAMA) sees strong prospects for a recovery long term.
“After exceptional sales in 2014 we expected a small decline in 2015,” says TAMA president Mark Hamilton-Manns. “Though the dip is greater than anticipated, we expect sales to recover during the second half of the year.”
Tractor sales fell from last year’s 1770 to 1465. There were declines in the high volume areas of Waikato and Southland, while Auckland, East Cape and South Canterbury bucked the trend with gains.
Hamilton-Manns says the industry is in good heart, a survey of members showing a perceived need to recruit 50% more apprentices -- 150 new jobs in the industry.
“The continuing demand for new tractors and machinery demonstrates the desire by New Zealand farmers to upgrade ageing equipment with new technology,” says Hamilton–Manns. “In doing so they will maximise output while reducing annual repair and maintenance costs.”
With agriculture in New Zealand coming out of the doldrums over the last few months and the recent announcement of a 20% tax write-off for capital purchases, it likely that farmers will be spending on tractors.
With annual tractor sales being a barometer for the state of the industry, New Zealand’s machinery importers and distributors, along with their dealerships, will be glad to see the back of 2024.
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