Tractor sales up 40pc YOY

The month of August has seen another massive surge in new tractor sales, with numbers up a whopping 40 per cent on the same time last year, according to the Tractor and Machinery Association of Australia’s (TMA) latest report.

If the trend continues, the market could reach a never-before-seen number of 16,000 tractors sold per annum.

“Whilst there remain considerable supply challenges and long lead times, the current demand is being fed by aggressive ordering by dealers back in 2020 in anticipation of strong ongoing activity,” said TMA executive director, Gary Northover.

“Sales have been strong in all states fuelled by the expectations of a bumper season coming up supported by the Government’s various tax incentive programs.”

On the east coast, New South Wales is once again leading the way with its numbers, up 44 per cent YOY to now sit 52 per cent ahead year-to-date. Queensland also recorded strong sales, up 38 per cent YOY to be 26 per cent ahead YTD, while Victoria was up 18 per cent YOY and up 17 per cent YTD.

However, the Northern Territory market was the real star of the month, recording a whopping 125 per cent increase in sales compared to this time last year. This is followed by South Australia with a 83 per cent increase YOY, Western Australia with a 64 per cent rise and lastly, Tasmania recorded a 60 per cent increase in sales YOY.

All performance reporting categories enjoyed strong rises in August except the under 40hp range, which still enjoyed a modest bump of six per cent in August to sit 18 per cent ahead YTD. According to the TMA, the slowdown in sales is due to ongoing supply challenges.

The 40 to 100hp range was again up strongly 23 per cent in the month to be 31 per cent ahead YTD, while the 100 to 200hp category recorded a 72 per cent increase to now sit 26 per cent ahead YTD.

The large 200hp and over category had another strong increase, up 144 per cent YOY and now sits 67 per cent ahead of last year.

Sales of combine harvesters have been forecast to be strong this year and deliveries have begun around the nation in preparation for this year's harvest. So far this year, 200 units have been sold with the TMA expecting the number to continue growing and possibly return to the 800-unit level not seen in a number of years.

Baler sales were down in August and remain 13 per cent behind last year’s outstanding season. On the other hand, sales of out-front mowers are flying, recording a 11 per cent increase YTD.

“As we have been highlighting for some months now, the industry is coping with a range of extremes on the supply side at present,” Northover said.

“Machine deliveries continue to be pushed out, particularly in the smaller ranges and price rises for raw materials are beginning to impact the finished product.

“New challenges continue to merge with items ranging from computer chips to tyres now having an impact.”