Soft Commodity Prices Might Mean Slower Equipment Sales

May 02, 2016

There have been some challenges for farm equipment sales over the last couple of years, according to the CEO of the Western Equipment Dealers Association.

John Schmeiser says there was an incredible run of equipment sales from 2007 to 2014, and a lot of customers have re-invested in their machinery.

"At this point in time, because we've seen some softening in the commodity prices, they don't have to make that reinvestment," he says, "but having said that, in areas where there are lentils being grown — where the commodity price is still fairly strong — we are seeing a lot of sales activity. And what's really promising for us is we're still seeing a lot of quoting on deals."

On the manufacturing side, Schmeiser says they are seeing more new products rolling out to meet consumer demands for more production and better technology.

Source : Portageonline

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