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Farmers still making machinery purchases

The head of the Farm Equipment Manufacturers Association says the current ag economy is nothing compared to the 1980s farm crisis.

Executive Vice President Vernon Schmidt tells Brownfield while farmers are more reluctant to buy equipment priced near $80,000 and above, they’re in a much better position than in the ‘80s and are still making machinery purchases.  “On pieces of equipment that are not going to require, in many cases even any financing, there’s plenty of interest still there.”

He says interest at last week’s National Farm Machinery Show in Louisville, Kentucky was a prime example of the importance specialized shortline equipment made by smaller manufacturers still has with farmers.  “The farmers are talking right to the owner of the company and that has always brought innovation and a very quick turnaround on products.”

Vernon says with the current down farm economy he is concerned by the amount of consolidation the industry is facing and what that could mean for distribution.

AUDIO: Interview with Vernon Schmidt