Ag machinery stock delays continue in SA

Ag machinery stock delays continue in SA

Machinery
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Machinery dealers and customers are still facing the havoc of COVID-19 causing delays on new purchases, with orders being placed now for 2023.

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Machinery dealers and customers are still facing the havoc of COVID-19 causing delays on new purchases, with orders being placed now for 2023.

GJ East Strathalbyn sales manager Matthew Keast said getting stock and it arriving late has been an issue but customers have kept ordering, despite it being more quiet in sales this year.

"It has been quiet but it was a bigger year last year," he said. "Demand is there for machinery but continuation hasn't been quite as dramatic. People are worried they can not get stock because we have not been able to get it.

"We have cancelled some orders of hay machines as they're going to turn up way too late, luckily we hadn't sold them as they wont get here before Christmas."

Mr Keast said their stock levels of parts were not too bad but some particular parts were taking weeks to arrive.

"We just had 13 tractors turn up, some of them are over a six-month delay," he said.

"They have all come at once, which makes it really hard because you have got to get the labour to get everything out quickly.

"There are a million things going on at the moment contributing to the delays such as component shortages, COVID shut down, a world-wide shortage of tyres and chips to list a few.

"The worst for part for us is the American-built machinery because they have had COVID so bad it has delayed everything and also shipping."

Mr Keast said seeders for next year were already delayed with Australian manufacturing wait extended until July next year due to lack of labour, steel and commodities.

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"Everything is a perfect storm really," he said.

"We are still getting a lot of enquiries and people are ordering but they don't know when they will get their machines, supply is getting harder.

"We have more on order than we usually would as our supplier said they can only get six machines through until June - we normally sell four so we ordered four straight up. Normally we would not take them all at once.

"Last year, the drought broke so Qld dealers started ordering machinery again, then we had the fires - and we sold a lot of machinery, and that is part of what has affected this year.

"A lot of guys especially on Kangaroo Island, bought up big last year while they could and that takes them out of the market this year."

Kadina and Maitland Larwood Ag Services dealer principal Scott Mercer said they were also still impacted with COVID-19 delays.

"Some buyers have purchased new equipment in their normal buying cycle, which was last summer, and are still waiting on those machines," he said.

"Firstly we have had supply issues and now shipping and freighting issues where we have not been able to supply the products purchased.

"In the meantime we are having to have buyers use their existing equipment to get them through this harvest. Fortunately our customers have been very understanding with the current pandemic situation we are in."

Mr Mercer said he has a larger order bank in with all their suppliers he has ever had in the past but unfortunately that order has meant the time frame to get something built was further delayed.

"I am looking to place my tractor order now for seeding in 2023 so we are looking at crystal ball sort of stuff," he says.

"We are looking at trends of what we would normally sell and looking at those indicators to come up with the best scenario we can.

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"I have already ordered for the next harvest off of historical data."

Case IH have put harvest hubs strategically in areas, which are close to the market for bulky and unusual parts.

"The hubs already have parts, which usually take time to get over here from Sydney due to their size and awkwardness," he said

"The harvest hubs are located in the Mid North and on the West Coast and are only accessible to consumers via their local Case IH dealers, who can utilise the machinery in there."

Mr Mercer urges customers to ensure they have got spare parts in their own sheds.

"Engine filters, fuel filters, air cleaners and just some basic parts for your own supplies at home would be beneficial so if you do need them over a weekend you have got something there to get yourself out of trouble," he said.

"Have some supply on hand and it is something you would ordinarily use anyway as your machine is going to need to be serviced after harvest.

"Why not have some parts on the shelf ready to go in case you do need them."

Read the entire Harvest SA publication here.

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