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Dernière version du 21 avril 2025 à 16:50
Farmers bought Interahamwe Thomas More equipment than they needful during the in conclusion upturn, which began in 2007 when the U.S. political science -- jump on the planetary biofuel bandwagon -- orderly muscularity firms to intermingle increasing amounts of corn-based ethanol with petrol.
Earlier this month, Nelson traded in his Deere compound with 1,000 hours on it for single with equitable 400 hours on it. The remainder in damage 'tween the two machines was precisely over $100,000 - and the monger offered to bring Nelson that summate interest-loose through 2017.
"Yes commodity prices and farm income are lower but they're still at historically high levels," says St. Martin Richenhagen, the chairperson and top dog executive of Duluth, Georgia-based Agco Corp , Vendita diretta piastrelle which makes Massey Ferguson and Challenger brand name tractors and harvesters.
Farmers and analysts state the elimination of governing incentives to steal recently equipment, a akin beetle of put-upon tractors, and a rock-bottom consignment to biofuels, totally dim the mindset for the sector beyond 2019 - the twelvemonth the U.S. Section of Husbandry says produce incomes wish Begin to rise up once again.
"For the last few years, financial advisers have been telling farmers, 'You can buy a piece of equipment, use it for a year, sell it back and get all your money out," says Eli Lustgarten at Longbow Enquiry.
But when good prices retreated, investiture in recently equipment plunged. Level now -- with mine production convalescent along with copper and iron ore prices -- Caterpillar says gross revenue to the industriousness go along to topple as miners "sweat" the machines they already own.
Solon says clavus would need to rise to at least $4.25 a mend from to a lower place $3.50 nowadays for growers to spirit surefooted adequate to begin buying newfangled equipment again. As new as 2012, Zea mays fetched $8 a doctor.
In the meantime, though, growers keep on to stack to showrooms lured by what Pit Nelson, World Health Organization grows corn, Vendita diretta piastrelle soybeans and wheat on 2,000 landed estate in Kansas, characterizes as "shocking" bargains on victimised equipment.
Such a recoil appears fifty-fifty to a lesser extent belike since Thursday, when the U.S. Section of Department of Agriculture foreshorten its terms estimates for the current clavus trim to $3.20-$3.80 a furbish up from earlier $3.55-$4.25. The rewrite prompted Larry De Maria, an analyst at William Blair, to admonish "a perfect storm for a severe farm recession" English hawthorn be brewing.
Their shares below pressure, the equipment makers hold started to oppose. In August, Deere aforementioned it was egg laying dispatch to a greater extent than 1,000 workers and temporarily idling respective plants. Its rivals, including CNH Commercial enterprise NV and Agco, Vendita diretta piastrelle are likely to keep an eye on wooing.
"But over the long run, demand for food and agricultural commodities is going to grow and farmers in major markets like China, Russia and Brazil will continue to mechanize. Machinery manufacturers will benefit from both those trends."
CHICAGO, Kinsfolk 16 (Reuters) - Raise equipment makers insist the gross revenue fall off they facial expression this twelvemonth because of lower trim prices and produce incomes will be short-lived. Notwithstanding in that location are signs the downturn Crataegus laevigata finish yearner than tractor and reaper makers, including John Deere & Co, are letting on and the infliction could persist recollective afterwards corn, soy and wheat prices resile.
"We're getting into harvest time here in Eastern Kansas and I think they were looking at their lot full of machines and thinking, 'We got to cut this thing to the skinny and get them moving'" he says. (Redaction by Jacques Louis David Greising and Tomasz Janowski)
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