In the face of declining grain prices, uncertainty about depreciation rules, skepticism about a new farm bill, and a lot of talk about farm equipment sales peaking, North American farm equipment dealers continue to see good potential for solid sales in 2014.
Changing farming practices, including the trend toward concentrated production on specialized operations, along with others such as wider use of irrigation and growing adoption of precision agriculture technologies, have allowed the farm sector to increase total output by nearly 50% over the past three decades, even as resources used in farming declined.
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In this episode of On the Record, brought to you by Associated Equipment Distributors, Deere Director of Investor Relations Josh Beal told JP Morgan analysts that the OEM is confident it will be “producing to demand” in fiscal year 2025.