Karen McMahon 2, Editor

August 1, 2008

1 Min Read

If You put in an order for a new combine and don't see it until next year, join the crowd. Agricultural machinery sales have skyrocketed, leading to lags in delivery of new equipment. While consumer goods languish in stores, it's the opposite in agriculture. U.S. manufacturers of ag equipment are basking in a rosy sales climate. (See “Over the top,” page 47.)

The U.S. manufacturers aren't the only ones experiencing good sales. Reports from the first Agrievolution conference held recently in Rome show a strong global demand for ag equipment. “This is going on all over the world,” reports Rusty Fowler, president of Krone North America. “The agriculture business worldwide is in a boom.”

The boom has led to tight supplies in equipment, which may be similar to the equipment shortages experienced in the 1970s, Fowler adds. “I think the lessons we learned from the '70s have to be remembered. This won't last forever.”

Driving the global demand is an effort in some countries to make up for lost time in crop production. The Russian ag manufacturing representative at Agrievolution told the assembly that the average age of all Russian equipment is about 25 years old. Now that Russia's financial and political sectors are relatively stable, Russian farmers are finally able to borrow money to grow crops and purchase new equipment. As a result, producers in Russia and other former Soviet bloc countries are on buying binges. The same is true in emerging countries like India and China that also are investing in their farmers.

In the end, manufacturing also will play catch-up, and soon there will be plenty of equipment for everyone to buy. including U.S. farmers.

About the Author(s)

Karen McMahon 2

Editor

Karen McMahon has been editor of Farm Industry News since 2000. She joined the staff in 1998 as senior editor and previously worked on the company’s National Hog Farmer magazine.

Karen grew up on a crop and livestock farm outside of LeMars, IA, and earned her journalism degree from South Dakota State University. After college, she worked on the local newspaper as farm editor and later started writing for various livestock and crop magazines.

She has written extensively about trends and technology related to corn and soybean production, the equipment needed for row-crop farming, and livestock production.   

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