With farm incomes expected to drop, many people at the annual Farm Progress Show may be kicking more tires on new farm equipment rather than buying.
Count Missouri farmer Danny Bradshaw among those farmers, who recent said in an Associated Press report that he uses two nine-year-old tractors on his 2,000-acre farm. If he were to get farm equipment because the old machines need replacement, Bradshaw said he would probably buy used tractors.
"I bought things back when prices were up a little bit," Bradshaw told the AP. "Right now, we're just probably holding on."
According to a recent report from the U.S. Department of Agriculture, net farm income is expected to drop by 38 percent in 2009. The preliminary 2008 estimate for the year was at $87.2 billion but is now forecast to be at $54 billion. Overall, that's $9 billion lower than the average net farm income earned during the past 10 years.
As a result, the AP noted, many farmers are holding off on buy new farm equipment, though the news organization also reported that sales in North America have been relatively strong.
MachineFinder was created by John Deere in 1998. Since then we have served millions of visitors, tens of thousands of pieces of equipment and integrated with our entire dealer network.
MachineFinder, John Deere and the associated trademarks are property and available only for the specific use of Deere & Company. All Rights Reserved. 2007-2008