Thursday, 23 April 2020 11:42

Tractor manufacturer defies COVID-19 bump

Written by  Staff Reporters
Case IH's New Zealand operation is working as an essential business through the COVID-19 pandemic. Case IH's New Zealand operation is working as an essential business through the COVID-19 pandemic.

Farm machinery merchandiser Case IH says it has kept the wheels rolling on farms – despite formidable logistical challenges during the lockdown.

CKNZ general manager, Tim Fanning, said its Case IH operation in New Zealand had good stock levels to cover short-medium term requirements, despite significant supply chain disruption globally. 

The company was working on the basis that it was collectively an essential business due to meeting the requirements under the Primary Industry category. The Tractor and Machinery Association of New Zealand (TAMA) had also taken this position.

Fanning said the Case IH dealer network was operating at reduced capacity, but had approval from the Ministry for Primary Industries to provide essential services, strictly for “the purposes of keeping a farmer’s or grower’s machinery running for food production or animal welfare, or to protect a farmer’s ability to perform any other task deemed to be essential by the NZ Government”.

The company’s focus had shifted to supporting existing equipment working in the field and on critical parts supply to minimise any machine downtime, Fanning said.

Case IH had the largest holding of spare parts in the country with its Palmerston-based national depot (shared with sister brand New Holland).  However, air freight on urgent parts from overseas was obvious issue across the industry.

Fanning said depreciation of the Kiwi dollar would have an impact on the cost of importing tractors and equipment. However, his company had secured strong forward cover contracts. These would effectively insulate against price increase for the balance of year, he said.

More like this

Featured

Rural Industry Leaders Event Raises $400,000

New Zealand’s rural sector has once again demonstrated its generosity, with the second Rural Industry Leaders Dinner, Debate and Auction raising an impressive $400,000 for the Rural Support Trust.

National

Machinery & Products

Look Beyond Features

Technology adoption on New Zealand dairy farms has accelerated rapidly over the past decade.

» Latest Print Issues Online

The Hound

A Good Start

OPINION: While we're on the topic of lumberjacks, Biosecurity Minister Andrew Hoggard has no doubt used a chainsaw hundreds of…

Smith V Fonterra

OPINION: To a chorus of crying greenies, and not a minute too soon, the Government has moved to put the…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter