New tractor sales show no sign of abating, with the Tractor and Machinery Association of Australia's July figures revealing a 19 per cent year-on-year increase.
TMA executive director Gary Northover said against this backdrop, reports from across the country were indicating an outstanding season ahead with abundant rain falling in most regions.
"Activity is showing no signs of abating as the federal government's temporary full expensing program replaces the instant asset write-off program, giving buyers the ability to write the entire value of their purchase off against this year's profit compared to the $150,000 limit in place to this point," Mr Northover said.
"This has clearly appealed to buyers, with renowned interest in the larger categories of machine now becoming apparent."
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All states experienced an increase, with NSW leading the pack with a rise of 28pc. Victoria was up 11pc and Queensland enjoyed a 16pc rise for the month.
Sales in Western Australia lifted 8pc, South Australia reported a 25pc increase for the month and Tasmania finished 19pc ahead. Sales into the Northern Territory experienced an 11pc rise.
Mr Northover said all performance reporting categories enjoyed strong rises for the year with the exception of the under 30 kilowatt (40 horsepower) range, which was down 17pc in July due largely to stock shortages.
The 30 to 75kw (40-100hp) range increased 20pc for the month, while the 75 to 150kw (100 to 200hp) category was up 36pc.
The 150kw-plus (200hp) range experienced a very strong rise of 138pc compared to a quiet sales month in July 2020.
Mr Northover said sales of combine harvesters have been staging a steady recovery over the past year and dealers are reporting strong demand, which should be realised over the coming months leading to harvest.
"Forecasts are for a return to the 800-plus unit sales levels not seen for a year or two," he said.
Baler sales were up 27pc and sales of out-front mowers started the financial year strongly, recording an 11pc rise.
Mr Northover said the industry was coping with a range of extremes on the supply side at present.
"Machine deliveries continue to be pushed out, particularly in the smaller ranges and price rises for raw materials are beginning to impact the finished product," he said.
"New challenges continue to merge with items ranging from computer chips to tyres now having an impact."
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