Categories: South Africa

June harvester sales highest since 2014

June tractor and harvester sales have increased 24,4% or 479 units year-on-year.

According to the South African Agricultural Machinery Association (SAAMA), sales have been boosted by farmers bringing their buying decisions forward in the face of rising prices, the volatility of the rand, as well as the strong recovery in agriculture production.

Year-to-date, tractor sales are now almost 3% up on the figures for the corresponding time last year, a statement SAAMA said.

The year-to-date sales figures of 131 for combine harvesters were also 11% up on the 118 units sold during the same period last year.

“Overall, sentiment in the market is currently quite positive. As farmers harvest their crops, they are better able to estimate their production and, although crop prices are depressed because of the record yields, they are better able to make [carefully] considered decisions on buying equipment,” SAAMA chairperson, Lucas Groenewald said.

Wandile Sihlobo, head of economic and agribusiness intelligence at Agbiz, concurred, saying that that combine harvester sales for June were the highest since 2014 – a season that was also characterised by a bumper crop.

“This shows that a large harvest does boost farmers’ confidence to invest in equipment.”

According to SAAMA, total tractor sales for 2017 is expected to be between 5 700 and 6 000 units.

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