While the unpredictability of commodity prices in the past year have given some cause for concern, the fact remains U.S. agricultural fundamentals continue to support the long-term health of the industry.
Source: Dealers Sentiments & Business Conditions Update, Dec. 2013
While we've come to expect dealers to report used equipment levels as "too high," for the fourth consecutive month, dealers are now also reporting their new equipment inventories as "too high."?
It wasn't that long ago that the dealers we spoke with weren't feeling at all certain about their business prospects for the year ahead. Many of their customers who were most impacted by the 2012 drought were in a "bad mood" as they watched their crops wither in the field. Talking about buying new ag equipment wasn't high on their list of priorities.
Despite the "high time"? the ag equipment business is enjoying these days, one shortline equipment manufacturer told Ag Equipment Intelligence that he's seeing signals that indicate a slowdown isn't too far down the road.
Despite recent increases in foreign ownership of forest land, annual data compiled by USDA's Farm Service Agency reveal that, as of February 2009, only 1.7 percent of privately owned land in farms or forest—22.8 million acres—was owned by foreigners.
Evidence continues to mount that ag is an attractive place to invest these days. News during the past few weeks has reinforced the trend of international investments in agriculture especially in farm equipment.
In this episode of On the Record, brought to you by Associated Equipment Distributors, we look at President Trump's tariff reduction on ag equipment, the latest dealer sales forecasts, and how high input costs are keeping farmer sentiment down.
Since 1980, A&I Products has become a leading manufacturer and wholesale distributor of aftermarket replacement parts for the agricultural, turf, and industrial equipment markets. A&I Products' experience and expertise has greatly contributed to the company's reputation as a top supplier of quality, reasonably priced parts. Founded with roots as a small machine shop and repair facility, the company made the transition by manufacturing new parts to replace those that were identified as commonly needing repair. Throughout the 1980s, the company quickly garnered a reputation for offering quality parts at a reasonable price.
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