Victoria leads way as tractor sales rise 3.3 per cent in September

While farmer confidence remains down and order banks slim, there has been a reasonable number of deals in the tractor market.

High point: Baler sales are up 43 per cent on year-to-date sales.

AFTER a series of bad news stories, tractor sales strengthened in September, rising 3.3 per cent against last September but remain about 11 per cent behind last year on a full-year basis.

While confidence remains down, and order banks are slim, there has been a reasonable number of deals in the market with dealers keen to quit stock at less margin than we’re used to seeing.

The improvement in sales for the month was shared across three of the four size ranges.

Sales in the 200hp (150kw) and above range were the standout, up 20 per cent for the month and now 2.2 per cent behind year-to-date.

The 100 to 200hp (75-150kw) segment also enjoyed a lift, up 4 per cent for the month, but remaining 12 per cent behind last year.

The 40 to 100hp (30-75kw) range was the only category not to report a lift for the month, down 3 per cent now sitting 13 per cent behind last year, and the under-40hp (30kw) range enjoyed a 2.3 per cent rise in September, now 10 per cent down on a yearly basis.

Across the nation, NSW reported its first rise compared to the same month last year for some time, up 6.2 per cent, driven by a mix of 0-40hp machines and larger above-200hp units, now 20 per cent behind last year.

Queensland reported another dip, with only the 40hp to 100hp range up, down 5 per cent in the month and now 7 per cent behind for the year.

Victoria had a very solid month driven by buoyant conditions overall to be up 23 per cent on the same month last year, but remains 5 per cent behind for the full year.

Victoria has accounted for more than 30 per cent of industry sales in this quarter and is playing a pivotal role in the supporting the market.

South Australian sales continue to struggle, down another 39 per cent to be 26 per cent behind last year. Finally, Tasmanian sales continue to roll along, now 7 per cent ahead year-to-date; and sales in the Northern Territory dropped for the month, and are now 7 per cent behind last year.

Combine harvester sales are continuing to follow the trend, down 23 per cent compared to September 2018 to now be 16 per cent behind on a 12-month basis. Little to no activity in NSW is being offset to an extent by activity in Victoria, SA and Western Australia.

Baler sales continue to be the one high point in the market.

September sales were up 43 per cent on last year and are now 34 per cent ahead on a year-to-date basis. Suppliers are reporting that demand for hay is so strong that the use of contractors to cut hay is “maxed out” forcing many growers to take matters into their own hands and purchase equipment to do the job.

Finally, sales of out-front mowers bounced another 20 per cent in the month in preparation for the grass -growing season, now sitting slightly behind on a yearly basis.

With the field day season upon us, we have been able to gauge sentiment in the market a little more closely and the message continues to be one of concern in the medium term with summer rains appearing unlikely.