Tractor sales up in Hawke's Bay

The NZ Tractor and Machinery Association (TAMA) reports that sales of new tractors in Hawke's Bay have risen 10 per cent. Photo / Duncan Brown

The strong performance of Hawke's Bay's agriculture and horticulture sectors are having a know-on effect of driving up sales of new tractors.

The NZ Tractor and Machinery Association (TAMA) reports that sales of new tractors in Hawke's Bay have risen 10 per cent and TAMA president Roger Nehof that boded well for the farm and primary sectors.

Hawkes Bay experienced slightly increased sales of 10 per cent indicating stability in the horticulture, arable farming and viticulture sectors, despite a wet and cold winter.

Mr Nehoff said Nationally, in the year to date (end of October) the total number of tractor sales was up about 11 per cent on the year before with some regions up by 45 to 50 per cent. Overall sales were 3164, compared with 2849 for the same period in 2016 and 2978 in 2015.

In addition, the total number of people employed in the tractor and farm machinery sales and servicing sector had increased by more than 350 since 2015 and was now at 2846.

"These figures show farmers have confidence in the future and are making the requisite investments in their machinery."

After a steady couple of years, sales in the traditional dairy, sheep and beef regions were slightly higher than they were in 2013, he said.

TAMA members were also taking on new staff and had jobs on offer.

TAMA board member John Tulloch of Tulloch Machinery said he had added two new employees in parts, one new sales apprentice and was currently seeing an additional tractor technician.

"My situation reflects what's happening with other members. In fact, a good number of our members have reported that they're having difficulties in hiring qualified staff," Mr Tulloch said.

"This job growth bodes well for the future of the primary sector and 2018 is looking set to be another strong year", Mr Nehoff said.

"This time last year TAMA was saying that tractor manufacturers were positive about 2017 as shown in their investment in R&D to improve technology, reduce maintenance costs and meet emission standards. Subsequent sales have proven that our sector was spot on with its optimism," he said.

Cervus Equipment NZ general sales manager Tim Harty confirmed the company had seen sale rise by 10 per cent in Hawke's Bay.

"There are a few factors driving this: Almost all commodity products are experiencing strong pricing – sheep, beef, apples, grapes, kiwifruit. With strong returns from products, farmers and growers are taking the opportunity to replace capital equipment and upgrading to the latest technology to be more efficient.

"Replacing equipment also reduces ongoing R&M costs and provides better employee comfort and safety which leads to increased productivity."