Agricultural machinery associations release state-of-the-industry survey
Manufacturers of agricultural machinery are optimistic about near-term business expectations in most parts of the world, according to the Agritech Business Barometer from the Agrievolution Alliance. The alliance is a global coalition of agricultural equipment manufacturing associations that work to advance member companies’ interests in industry issues, data exchange and public policy on a worldwide basis.
The alliance’s Economic Committee created the twice-a-year “barometer” survey to obtain accurate, timely global market trend data for members’ use in business planning. The survey queries senior-level agricultural equipment manufacturing representatives about their current business and outlook for their respective markets.
The committee promotes international data exchanges for greater market transparency of agricultural modernization requirements on an economic basis. The committee initiated the member survey in 2010 and now provides a summary report to the public. The public report includes an executive summary and graphs by dates and by region.
The Agritech Business Barometer covers Brazil, western Europe, Japan, India, South Korea, Turkey and the United States.
Survey Summary Results
According to the latest Agritech Business Barometer, the global evaluation of current business remains very positive, and short-term growth expectations are dominant in all regions. For the first time in this survey, the majority of Japanese manufacturers have a positive outlook on the market situation. The boom in the Indian and Brazilian markets was confirmed. Also, half of the companies surveyed in the United States expect to see sales growth in the next six months, while the rest expect to at least maintain the high level reached in 2012. More cautious voices come from Europe, where some markets are declining.
The Assn. of Equipment Manufacturers (AEM) is Agrievolution Alliance secretariat. “While business remains positive, we have seen fluctuations in commodity supply and demand, especially corn. The next edition of the Farm Bill is being formulated in the U.S. House and Senate, and that also adds some uncertainty for the strength of future business,” stated Charlie O’Brien, AEM senior vice president and agriculture sector leader.
The Agritech Business Barometer survey is conducted in April and October. Each member association and their member companies participating in the online survey receive a comprehensive report. The public report is available online on the Agrievolution Alliance website.