Tractor sales continue to slide

According to the Tractor and Machinery Association of Australia’s (TMA) latest sales figures, tractor sales for the month of June fell by 48 per cent year-on-year (YOY), recording just 1300 units sold in the month.

This brings the year-to-date figure to 30 per cent behind the corresponding period.

With June 2023 being the last month of the Federal Government’s Temporary Full Expensing (TFE) Program, the tractor market experienced last-minute sales at unprecedented levels in that month, according to the TMA.

Therefore, the organisation expects more realistic month-to-month comparisons from July 2024 onwards as the impact of the incentive dissipates.

“Overall, we are still forecasting a reasonably healthy 2024 for sales as winter rains across the country deliver ideal growing conditions for the foreseeable future, although with each month the outlook continues to soften as farmers play it safe,” said TMA executive director, Gary Northover.

All states recorded a sizeable drop in tractor sales last month, with New South Wales experiencing the biggest dip of 56 per cent YOY to be 38 per cent behind YTD.

Queensland was down 47 per cent against the same month last year to be 27 per cent behind year to date, while Victoria was down by 43 per cent YOY in June to be 28 per cent below last year.

Western Australia reported a drop of 41 per cent to be 16 per cent behind YTD while South Australia experienced a 49 per cent drop, now down 32 per cent YTD.

Tasmania was off 38 per cent for the month and sales in the Northern Territory finished 38 per cent down.

Sales in each of the reporting categories were well off this month. The under 40hp segment was down 33 per cent YOY to be 27 per cent behind YTD, while the 40 to 100hp range dipped by 53 per cent to sit 41 per cent behind YTD.

The 100 to 200hp category was down 50 per cent to be 31 per cent off for the year. Finally, the over 200hp range, which has been largely positive all year, fell 41 per cent YOY in June and is now 16 per cent behind YTD.

Sales of combine harvesters are off to a slow start with about 15 per cent of this year’s expected number sold so far.

Baler sales were down again with difficult growing conditions for hay and are now 20 per cent behind YTD. Finally, sales of out-front mowers were up by around seven per cent in the month.

The TMA is busy preparing for its upcoming conference scheduled to be held on Thursday, July 18 in Melbourne at the iconic MCG.

This year’s conference continues the theme of ‘Towards 2030’ and will feature a line-up of speakers on current industry topics such as Artificial Intelligence in Ag, Farm Safety and more. Westpac's Justin Smirk will return to provide an economic update while Kynetec will present the state of industry report. 

Last tickets are available on TMA's website.