LAMMA 2025, which was held last week at the NEC in Birmingham, saw a strong attendance at the show. With over 40,000 visitors attending and over 650 trade stands sold can we see this as a sign of good times ahead for dealers?
Over the past few weeks there have been subtle signs of optimism and improvement in the market. For example at the recent FTMTA exhibition that was held in Punchestown last November all the stands were fully booked out well before the cut-off date. It should have been worthwhile for the exhibitors as huge numbers attended over the three days. It would be good to know if the large attendances translated into new orders.
With BTME taking place this week in Harrogate. I hope that the same level of enthusiasm will continue at this event, which is mainly aimed at the horticultural and sportsturf industry. BTME attracts many Irish dealers and groundsmen so it is an important event for many of us. Signs are looking good as the organisers are saying that trade stand bookings have already exceeded the overall total reached in 2024.
Another sign of optimism has been the recent turnaround in market trends. The European Agricultural Machinery Association’s (CEMA) business barometer reports have shown a continuous improvement since November 2024, even if it is at a snail’s pace. A majority of CEMA’s survey participants expect incoming orders to rise in the coming six months.
The Central Statistics Office (CSO) recently published their tractor licensing figures for 2024. Even though it shows the number of new tractors registered for the whole of 2024 was down 8% on the 2023 registration figures, the December 2024 registration numbers paint a much different picture. It shows an increase of 7% on the previous year. Over in the UK the Agricultural Engineers Association (AEA) show similar figures to Ireland except that the AEA’s December 2024 figures are double the Irish stats with a 14% increase of tractor registrations over the same period in 2023. Is this another sign that the market is improving?
With energy costs at January 2022 levels (before the Russian invasion of Ukraine) running a farm, sportsclub or business should be less expensive than it was a year ago. This could mean the difference between making a profit and may encourage farmers and sports facilities to invest in new tractors and machinery. Interest rates on loans have been dropping and economists are predicting that the European Central Bank (ECB) will reduce interest rates in 2025. If this is the case then taking out a loan on capital machinery purchases would be more favourable giving a much needed lift for dealers around the country.
The budget last October was one of the biggest giveaway budgets in recent years, paving the way for more disposable income. This may encourage spending on recreation and home improvement items, including new equipment for the garden, which should be good news for dealers in the domestic garden machinery trade.
I am optimistic that things will improve for dealers in 2025. The one concern I have is what will President Donald Trump do? We don’t want him throwing too many curve balls at us.
