U.S. large Ag retail sales increased 4% in December after a weaker November. Combined U.S. and Canada large ag declined 2%. “Canada declined more severely with large ag sales down 23.3%, the largest year-over-year decline since July,” said Mig Dobre, analyst for RW Baird, in his summary of sales for the month from the Assn. of Equipment Manufacturers.

In this week’s podcast we look at the emerging hemp industry and what it could mean for the farm machinery business. In the Technology Corner, Jack Zemlicka shares some insights on how ag start-ups, particularly on the software side, could offer some lucrative opportunities for dealers. We also discuss tractor and combine sales for the first half of the year and what we might expect in the second half of the year. Also in this episode, dealers and manufacturers say hay and forage equipment sales have seen a nice pick up recently, and we discuss the moderate increases in non-real estate farm lending.

North American ag equipment sales were down 16% year-over-year in June following a 1% increase in May and flat growth in April.

Recovering sales of Fendt-built tractors in the North American market, thanks largely to the introduction of new 400-500 horsepower wheeled models, are expected to get a further shot in the arm with the launch of a new range of 300-415 horsepower models using similar hi-tech features, including a row crop version clearly targeting the Midwest Corn Belt.

North American ag equipment sales were up 1% year-over-year in May following 17% growth in April and flat growth in March. U.S. sales increased were up 5% year-over-year (combines down 13%, 4WD tractors up 2%, row crop tractors up 9%).

During a call with Ag Equipment Intelligence regarding the current market situation in Brazil, the Brazilian Assn. of Machines and Equipment (Abimaq) blamed the lack of subsidized credit for the drop off in sales of farm tractors and combines in the past 2 months. In the beginning of 2019, the association forecast a 10% increase in total machinery sales.

The June report from Brazil’s Anfavea says that farm tractor sales in May fell 9.5% year-over-year, with 2,562 units sold. At the same time, sales were up 2.6% compared to the previous month, when 2,495 units were registered.

Following AEM’s release of the May 2019 North American retail tractor and combine sales, John Deere announced its retail sales as they compared with the rest of the industry. Overall, Deere’s numbers were mixed vs. the rest of the ag industry.

An April 26 report from Bloomberg was headlined “Farm Equipment Sales Plunge Most Since 2016 in Trade War Fallout.” The tractor and combine sales numbers published by the Assn. of Equipment Manufacturers (AEM) throughout the first quarter of this year don’t seem to tell the same story.

Mahindra & Mahindra’s Farm Equipment Sector reported total year-over-year sales of its tractors dropped in March 2019 to 19,688 units from 28,477 in March 2018. Exports during the month were 1,242 units.