Manufacturers predict fall of up to 40% on the sale of agricultural machinery

Ribeirão Preto-despite the optimistic speech for medium and long term, the agricultural machinery manufacturers seek strategies to get through another year of difficulty in marketing. This is because, in practice, the lack of clarity about the economic situation that will be drawn to the industry left the rural producers more cautious and, facing losses of up to 40%, the best is to repeat the results of 2014. Data from the agribusiness confidence index (ICAgro), measured by the Federação das Indústrias do Estado de São Paulo (Fiesp) and the Organization of Brazilian cooperatives (OCB), point retraction of 17.2 points on the credibility of the segment from the point of view of farmers and ranchers. The climate of uncertainty has become the background for performance of the year, according to the survey, only 13 percent plan to invest in farming and that is reflected in the machinery purchased. During the 22nd Edition of the international fair of technology in action (Agrishow), in Ribeirão Preto (SP) the agreement between the companies is a market between 10% and 15% lower compared to 2014. However, the Vice President for Latin America of New Holland, Alessandro Maritano, an estimated 15% to indentation 20% for tractors and 35% to 40% for harvesters. "It's hard to analyze 2015 projections as a whole. The expectation is that the market for the second quarter is better than the first, which was very negative in numbers. The nearly total uncertainty lies in the second half, "explains the Executive. After the increase of three percentage points in the interest of the programme for the modernisation of the fleet of agricultural tractors and Implements Associated spares (Moderfrota), it is known that the tariffs of agricultural and livestock Plan (PAP) to 2015/2016 crop costing will also have high tariffs. On the other hand, the Minister of agriculture, Kátia Abreu, ensured that the Crop Plan is out of Government cuts. The commercial Director of Massey Ferguson, Carlito Eckert, falls between 15% and projected 20% to the overall market of bulldozers and 30% to the harvesters. The Valtra, in 2014, were marketed 55,623 tractors and harvesters 6,330. According to the company's commercial Director, Paulo Balakrishnan, this year should be fall between 16% and 20% to 25% for tractors and combine harvesters. The President of the United States John Deere in Brazil and Vice President of marketing and sales company for Latin America, Paul Herrmann, bet on maintenance of the figures obtained in 2014. "If there's any company that does not have the ambition to grow, fire her Director", she comments. "We are at a bad time but there have been worse", adds the Executive of Valtra. Personal adjustment as a reflection of the situation, it has not been possible to avoid layoffs in some plants. In AGCO-Massey and Valtra brand owner-were switched off 154 employees in the municipality of Santa Rosa (RS) and settle for a relaxation of journeys with the unions in the region. According to the Senior Vice President of North and South America, Robert Crain, the company is now aligned with the workforce. "We made adjustments last year, when competitors did not. Our method of measurement is different because we are low on the machines at retail and not based on submission to the concessionaires, namely only consider low when the equipment passes to the client and we were able to identify a decrease in purchases in 2014. The current retail measurement does not see standing in the market, "explains the President of John Deere. The shutdowns occurred in unit gaúcha de Horizontina and reached about 150 workers. In spite of adversity, "I am very confident that the market will recover faster than you think", emphasizes Crain.