Tractor sales on track to break record

As 2022 draws to a close, the agricultural machinery market is once again showing resilience as it weathered multiple challenges this year including supply and weather issues to once again set a new sales record, according to the Tractor and Machinery Association of Australia’s (TMA) November sales report.

New tractor sales in November 2022 were up 4.7 per cent on the same month last year (YOY) to sit 2.5 per cent ahead on a year-to-date (YTD) basis.

“The scene is now set for another 19,000-tractor sales year which is the second in a row representing the strongest run for the industry since the 1980’s,” said TMA executive director, Gary Northover.  

The TMA also reported the total tractor sales value will exceed $2 billion, another high-water mark for the industry.

“With another seven months to go for the Temporary Full Expensing program, dealers continue to report high demand for machines both new and used, however rising interest rates combined with recent price increases is ensuring that there remains a note of caution in the market regarding the medium-term outlook,” Northover said.

“Whilst supply chain challenges remain, particularly with European suppliers battling energy shortages, there are signs that shipping times are improving so one is hopeful of a return to better conditions for our suppliers.”

All states except South Australia recorded increases in tractor sales this month, with Tasmania and Queensland leading the pack with 14 per cent and 12 per cent increases YOY respectively.

New South Wales enjoyed a healthy lift of five per cent YOY to now be in line YTD, while Victoria recorded a modest rise of 1.5 per cent to also be in line with last year's numbers.

Sales in Western Australia were again strong, up eight per cent and now 2.4 per cent up YTD while NT enjoyed a 11 per cent rise YTD.

South Australia, on the other hand, recorded a 15 per cent decline to be three per cent off for the full year.

In terms of machine categories, the sub-compact under-40 hp category experienced the biggest jump - up 23 per cent to be 10 per cent ahead YTD. The 40-to-100hp range was up one per cent in the month to remain two per cent ahead YTD while the 100-to-200hp category trended downwards, this time by seven per cent in November to be three per cent behind YTD.

Sales in the large-200hp-and-over category were again strong this month, four per cent up YOY to sit four per cent ahead YTD.   

Combine Harvester sales are also thriving across the nation, up 20 per cent on the same month last year and are now ahead of the 1000-unit mark for the full year.

Challenges in the hay market continue and this is reflected in another subdued result, down 33 per cent on November last year to remain 33 per cent behind YTD.

Finally, sales of out-front mowers enjoyed a slight lift, up four per cent YOY but still remaining behind YTD by 21 per cent.

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