VFF says competition stifled, in response to TMA right-to-repair statement

Victoria’s farming lobby has doubled down on calls for reform in the ag machinery repair market, after tractor manufacturers raised concerns that reforms would compromise safety.

“Workable solutions that won’t create safety, warranty or environmental issues, or adversely affect rural communities” are needed, the TMA says. Picture: Zoe Phillips

The Victorian Farmers’ Federation has reiterated its call for more choice in the agriculture machinery repair market, after Australia’s Tractor and Machinery Association yesterday raised concerns about safety and productivity implications of proposed “right to repair” reforms.

VFF grains group president Ashley Fraser said barriers to the repair of farm machinery were a serious and longstanding issue for the Australian farming sector.

“All repairers need access to the software at a reasonable charge, not just the dealerships. We are a country built on choice and at the moment our choices are extremely limited,” he said.

“It’s as clear as day that a ‘right to repair’ needs be created to remove restrictions to allow the owner of the machinery to make their own choices when it comes to who services and repairs their agricultural machinery.”

In a statement released yesterday, the TMA said it supported farmers’ rights to repair their own machinery, but called for “workable solutions that won’t create safety, warranty or environmental issues, or adversely affect rural communities”, saying some recommendations made by the Productivity Commission would deal a blow to farm safety, productivity and rural communities.

TMA executive director Gary Northover said changes needed to be made to address “far-reaching unintended consequences” for the ag sector and rural communities.

“Agricultural machinery is often highly complex and requires extensive training and experience to repair or service,” he said. “We support the right for farmers to carry out their own repairs or maintenance, but that does not mean a right to modify.

“Modifying them creates significant safety risks.

“If the recommendations from the ACCC and Productivity Commission are implemented in their current form, we are concerned repairs will be made by people who don’t have the required training and may result in machines not being fixed correctly the first time. That can in turn lead to increased downtime and other breakdowns, which create knock on effects that can be expensive to remedy.”

Mr Fraser acknowledged that dealerships had invested significant funds into training, parts, tools and equipment.

“They deserve to have a return on that investment, but this should not be a reason to limit competition,” he said, adding that allowing other companies and repairers to provide aftermarket services could enhance competition and improve consumer outcomes.

The Productivity Commission’s agricultural machinery inquiry report released in June found farm machinery manufacturers had an incentive to limit third-party access to repair supplies.

A submission to the inquiry from the National Farmers’ Federation stated that agricultural machinery manufacturers refused to supply technical information to businesses or people outside their authorised network, limiting competition.

In its statement today, the TMA said its members were committed to “providing farmers and repairers with training, diagnostic information and support, plus information on service, parts, operation and safety”.

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