January 2024: TRACTOR and COMBINE HARVESTER SALES

Retail sales of agricultural equipment during January 2024 were as follows:

Month                    Percentage              Year-to-date              Percentage

January                     change                     January                    change

2024
2023
%
2024
2023
%
Tractors
353
474
-25.5%
353
474
-25.5%
Combine Harvesters
8
16
-50.0%
8
16
-50.0%

 

January tractor sales of 353 units were significantly (25%) less than the 474 units sold in January last year. Eight combine harvesters were sold in January, eight less than the 16 units sold in January last year.

In general, most of the summer crops are looking good, particularly in the eastern parts of the country. In the west, there are still some areas which require rain in the next week or two. The El Niño phenomenon which predicted lower rainfall in January and February, thankfully, has not expressed itself fully. However, infrastructural problems in regard to electricity, road and rail transportation and harbours are affecting agriculture negatively, namely, in the production and movement of equipment and products to and from local and overseas markets. Thus, while sentiment in the market is positive, caution in the market is now the prevailing sentiment and understandably so.

It is still early in the year to be predicting overall 2024 calendar year tractor sales. Nevertheless, expectations are that, despite the market being very competitive and that this will probably drive sales, calendar year 2024 tractor sales will be of the order of 15% down on last year.

Tallie Giessing

Chairman: South African Agricultural Machinery Association

Contact: Tallie Giessing (082) 874-0449 or Dr. Jim Rankin (011) 453-7249