New farm tractor sales in Australia are on track to hit the 14,000 mark this year after another record month in February.
Latest data from the Tractor and Machinery Association of Australia (TMA) show tractor sales have been setting monthly records for the past 12 months.
TMA executive director Gary Northover said sales were now 34 per cent higher compared with the same period last year.
He said tractor sales had passed the 13,000 mark for the first time in about 40 years in 2020 and would hit 14,000 units this year if current demand continued.
February sales were up a whopping 74pc on the same month last year which Mr Northover said was a great result but also reflected the challenges facing the industry 12 months ago.
"The current level of activity is even more remarkable given the strains with supply being experienced right across the supply chain although there are early signs that this may be improving," he said.
"Since mid-2020, supply of product from manufacturing facilities in Europe, the US and Asia have been heavily impacted by the COVID-19 lockdowns and social distancing requirements.
"An indicator of this is the amount of shipping activity being seen through Australian ports which were reported to be around 40-50pc of normal capacity in the middle of last year. This has now improved to around 90pc of normal capacity.
"Sales activity in the month was strong in all states with NSW again the standout, up 104pc on the same month last year and now 107pc higher for the year-to-date."
Victoria reported a 53pc lifted in February sales and was now 43pc ahead for the year while Queensland's February sales rose 61pc and now sit 62pc higher for the year-to-date.
Western Australia sales picked up 92pc in February, putting it 72pc ahead for the year.
Sales in South Australia were up a solid 83pc for the month while Tasmania finished the month up 45pc.
Mr Northover said the increased sales numbers were spread evenly across the four reporting categories, supported by the federal government's instant asset write off scheme.
The under 30 kilowatt (40 horsepower) range was up 66pc for February and 73pc for the year-to-date.
The 30-75kW (40-100hp) range jumped 68pc in February and now sits 63pc higher than the same period last year.
February sales for the 75-150kW (100-200hp) category were up 55pc and are now 50pc higher for the year.
The large 150kW (200hp) plus range climbed 141pc and now sits 110pc ahead for the year.
"Sales of this category of larger tractors have been the most heavily hit by supply issues and we are now seeing evidence of the backlog of orders from 2020 now coming through," Mr Northover said.
"The federal government's instant asset write off scheme is due to expire on June 30, so we expect a continuation of the strong demand for machines to remain at least until then," he said.
"Sales of combine harvesters are in a period of hiatus with the usual order intake season now well underway.
"Baler sales were up 55pc on the same month last year and are expected to remain strong in 2021 and sales of out-front mowers are still flying, up 51pc on the same time last year."
Meanwhile, the TMA's annual conference will be held this year in Melbourne at the Hyatt Essendon Fields on Tuesday, July 20.
"Full event details will be published shortly and we hope that people will take the opportunity to come together again after what feels like a very long break," Mr Northover said.
Vernon Graham
Former editor of The Land, former Fairfax Media Agricultural Editor
Former editor of The Land, former Fairfax Media Agricultural Editor
