Farm Equipment Manufacturers Remain Optimistic About The Coming.
One of the strongest sectors for both Marvel and Spartan products over the last two years has been agricultural equipment manufacturing. Throughout North America we have seen increasing sales to both major implement manufacturers and their second and third tier suppliers. Representatives of the industry are predicting that this trend will continue through 2013 and beyond.
According to a recent article in Farm Industry News, worldwide production for agricultural machinery remained positive last year with worldwide production volume increasing to $110 billion (€ 86 billion) by year-end, and growing by another 5% in 2013. Association of Equipment Manufacturers vice president Charlie O’Brien noted that in the United States, the Midwestern drought was a major challenge for farmers this year. However, with insurance payments substantially covering harvest losses, only a slight negative influence on machinery demand was expected.
John Deere chairman and chief executive officer Samuel R. Allen recently reported record third quarter performance in both sales and income which had increased by 15%. The report noted that demand remains strong for U.S. farm equipment while construction continues a solid recovery.