Affected grain farmers were reportedly unsure of what their drought-damaged crops would ultimately yield and this was causing nervousness in the agricultural machinery market.
The SA Agricultural Machinery Association’s (SAAMA) report for national agricultural machinery sales over February 2015 indicated that 605 tractors were bought during that month. While this was six more units than the 599 tractors bought in February 2014, year-to-date February 2015 tractor sales of 1 160 units were 5,8% down on year-to-date February 2014 sales of 1 231 units.
Some 43 combine harvesters were bought in February 2015, 34,4% higher than the 32 bought in February 2014. However, year-to-date February 2015 sales of 49 were 9,3% down on the 54 units sold for the year-to-date February 2014.
“Although February [2015] sales were above market expectations, with some farmers buying for tax relief purposes, agricultural machinery sales in the short-term are expected to reflect the market nervousness,” said SAAMA chairperson Wynn Dedwith in the report.
SAAMA secretary Dr Jim Rankin said that the SA agricultural machinery industry still expected the agricultural tractor market in 2015 to be between 5% and 10% down on 2014.
