Farmers Focusing on Profit & Price for Equipment Purchases
As the ag equipment industry faces a variety of challenges, such as new equipment shortages and rising interest rates, some in the industry are wondering which factors are impacting equipment purchase plans for next year.
To help answer that question, Ag Equipment Intelligence surveyed growers asking what’s impacting their new production ag equipment purchasing decision for 2023.
According to the survey, the most common deciding factor is farm profitability, which 47% said was their top factor. Rising new equipment prices followed at 29%. At just 6.8%, rising interest rates was the least selected category.
By brand, growers identifying their farm operation with John Deere were the most concerned about rising new equipment prices, with 38% citing it as their top factor. Some 15% of Case IH farmers were most concerned about price increases, the lowest percentage.
When it comes to new equipment availability, just 3.9% of AGCO farmers picked it as their top factor when planning equipment purchases, the lowest among brand groups. New Holland farmers were the most concerned when it came to new equipment availability, with 10.5% saying it was their top purchase factor.