The second-hand agricultural machinery market is forecast to flourish in 2023 on the back of strong demand witnessed over the past two years.
One of Australia's largest auction houses has this week revealed its agricultural sales volumes increased 28 per cent in 2022.
The Ritchie Bros Annual Market Trends Report pointed to global original equipment manufacturer supply issues as a key driver of demand for used equipment.
In the agricultural sector, this demand was also fuelled by strong commodity prices and the federal government's temporary full expensing program.
The top and second-top priced agricultural items sold last year were both Case IH Patriot 4430 sprayers.
A 2020 model went for $545,000 while a machine just a year older sold for $515,000.
Coming in at number three was a 2019 Case IH Steiger 550, which returned $385,000.
Next up was a 2019 New Holland CR8.90 harvester, which sold for $345,000.
Rounding out the top five with a sale price of $335,000 was a 2020 John Deere 8345R.
While the number of units sold increased across the board, there was a decrease in median prices.
The second-hand sprayer market soared in 2022, with sales up 133 per cent on the year prior.
There were 50 units sold last year, up from 21 in 2021, however, the median price decreased by 16pc to sit at $38,778.
There were 44 grain bins sold, up from 15 in 2021, representing a 193pc change.
The median price for grain bins was $34,421.
Tractor sales increased by 4pc, with 205 machines sold last year.
The median tractor price fell by 25pc to settle at $44,409.
Ritchie Bros expects "the need to source used machinery at auction will continue to trend into 2023 as wait times on new tractors persist".
However, the company pointed to rising inflation, interest rates, fuel prices and supply chain disruptions as concerns the machinery sector was keeping an eye on.
Ritchie Bros APAC sales director Cody Watson said the company was delighted to see that customers had leveraged the strength of the used equipment market to capitalise on the seller's market.
"We recorded significant increases in registered bidders, sellers, lots sold, and buyers purchasing power in FY22, which is a testament to the confidence our customers have in Ritchie Bros' ability to operate in all markets regardless of economic conditions," Mr Watson said.
"Looking ahead, we remain confident in our ability to navigate challenges, leveraging our global network of expertise and reach to support our customers and help them capitalise on the opportunities presented by the used equipment market."
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The transport sector was the star performer last year and a leading driver behind Ritchie Bros recording its second consecutive year of record growth.
Sales volumes for all types of transport equipment increased 37pc compared to 2021, including 29pc more trailers and 41pc more trucks sold.
There was a 22pc median price rise for prime movers and median prices for van and reefer trailers increased by a whopping 128pc.
Ritchie Bros recorded a 42pc increase in registered bidders, a 9pc lift in sellers and a 27pc rise in lots sold across all reporting categories last year.
