SASKATOON – Combine sales in Canada climbed to an all-time high this summer as farmers optimistic about a record crop snapped up machines at the highest rate since the early 1970s.
Self-propelled combine sales alone jumped nearly 100 percent to 531 for August, according to a report by the Canadian Farm and Industrial Equipment Institute.
To date, 1,536 combines have been bought from dealers in Canada, compared to 1,011 at this time last year, the report said.
Institute analysts were shocked by the numbers, said president Brent Hamre, and were prompted to double-check all figures coming in from member manufacturers and distributors.
Read Also
U.S. loses out on sales of soybean to China
U.S. soybean exporters risk missing out on billions of dollars worth of sales to China this year as trade talks drag on and buyers in the top oilseed importer lock in cargoes from Brazil.
“It was such a surprise that we did a phone survey to be certain the data was correct,” Hamre said from his Burlington, Ont., office.
Big jump
A good year for farmers means a good year for farm equipment dealers, said Lawrence Fritz, general manager of Saskatchewan’s Shaunavon Industries (1980) Ltd. Combine sales at his John Deere dealership in the southwest corner of the province were 21Ú2 times greater than last year.
“Dealers are making some money this year,” he said. “Our business goes hand in hand with what’s happening with the farmers.”
Since last September, Fritz and his staff have sold 17 combines compared to only seven at this time last year.
The low purchasing power farmers experienced in the 1980s made buying a new combine difficult. Now, farmers seem to be taking advantage of optimistic price projections to replace old equipment.
“Farmers in the West are particularly bullish,” said Hamre. “They are looking at a more solid income for this year and using the opportunity to upgrade machinery.”
The report released by the institute, which serves 15 member companies that manufacture and distribute 95 percent of farm equipment in Canada, also revealed an 18 percent increase in sales of two-wheel drive tractors with 100 horsepower or more and a 16 percent increase in self-propelled swathers over last year.
