It was with great relief to farmers that fine weather prevailed last week. Many of them are still in catch-up mode. I was talking to one farmer who told me that he is five weeks behind schedule. He wasted no time getting his tractor and implements out into the fields, working long hours in order to catch up on lost time.

It is in our interest that our commercial customers are doing well. If they are making money they are likely to re-invest and upgrade their equipment.

Farmers have been having a hard time of late and this is showing in the tractor sales statistics. According to the Central Statistics Office, tractor sales for the first three months of 2024 are down 13% compared to the same period last year. There are many reasons for the reduction on new tractor sales. Lower farm incomes and high interest rates are having an effect on demand. 

While some dealers are experiencing a slowdown in sales, New Holland dealers, in particular, are facing a further potential worry. An industrial dispute in England may have an impact on the supply of New Holland tractors. There is some unease among CNH Industrial’s factory workers at its UK assembly line in Basildon. The factory, which is located on a 100 acre site in Essex, have been assembling New Holland tractors for more than 60 years. It employs around 800 staff. The workers are set to strike tomorrow (Tuesday) over pay increases. They comprise nearly the entire shop floor of the factory (around 500 staff) and will strike this week from May 14-16. More strikes are planned for May 21-23, and May 28-30. You can read more about this in today's Update here.

The knock on effect of the strike will compromise the supply of New Holland tractors. However, it will probably be a while before we feel the impact of this, not, perhaps, until the already high stocks in dealers showrooms are used up. It would be very frustrating to be in a position to turn customers away because of unavailable stock.

However, there is some good news on the horizon for Irish dealers. Last Thursday, the Irish government announced its allocation of grants under the latest round of the Sports Capital and Equipment Programme (‘SCEP’). A total of just over €26 million has been awarded to over 900 sports groups who were successful in their applications for various types of equipment. The funding is to be used specifically to purchase equipment. Dealers should be able to benefit from some of this €26 million funding. It will be important to get your marketing campaign up and running in order to take advantage of the grants.

A full list of the sporting organisations who were successful, and are sorted by county, is available to view or download on the government website. It is worth looking at as the list also includes what equipment each organisation will be purchasing. Here is a direct link to the list.

Kubota (UK) has appointed Gary Walsh as agricultural and groundcare dealer manager for Ireland.

Gary Walsh

The company says Gary has considerable experience working in the sector, both at manufacturer and dealer level. After leaving school, he embarked on a career as a technician following completion of a four-year apprenticeship in Ireland.

He has been with Kubota (UK) for the last eight years, where his previous roles included that of regional sales representative across all Kubota’s business sectors, and latterly spending two years as aftersales dealer manager for Ireland. 

“I’m delighted to be able to step-up and take on the role of agricultural and groundcare dealer manager for Ireland,” explains Gary. “This is a great opportunity to work much more closely with my dealers, to support them as they grow their businesses by introducing the Kubota brand to a wider audience.”

Gary is passionate about farming and machinery, and comes from a background that introduced him to machinery at an early age. Two of his uncles ran contracting businesses, and after leaving school, much of his spare time was spent either repairing or operating equipment. It was an experience that cemented his decision to remain involved with the sector.

Speaking about Gary’s appointment as a dealer manager, Kubota’s agricultural and groundcare sales manager Tim Yates said, “Gary’s knowledge provides us with a great opportunity to continue supporting dealers as they continue to build on the growth already achieved in agricultural and groundcare markets across Ireland.”

The Farm Tractor & Machinery Trade Association (FTMTA) has opened its online application portal for exhibitors for its 2024 Farm Machinery Show, which runs at the Punchestown Event Centre from Tuesday, November 12th to Thursday, November 14th. 

Ireland’s premier agricultural machinery show will run at the Punchestown Event Centre from Tuesday, November 12th to Thursday, November 14th. Photo: Dylan Vaughan

FTMTA executive director, Michael Farrelly, said, “We’re encouraging exhibitors to access our online application portal to avail of the stand type and stand area that most suits their needs.
 
“We have five indoor stand types to choose from, ranging from 50 square metres all the way up to 400 square metres in 50 square metre increments. In terms of the indoor/outdoor stands, there are seven different size options available, with the larger stand areas (200 to 400 square metres indoor and up to 200 square metres outdoor) ideally designed for exhibitors who are keen to showcase the scale of the machinery.   
 
“In addition, we have three shell stand schemes available: 10.5 square metres, 21 square metres and 31.5 metres (all indoor) so we believe we have created an offering which is suitably tailored with all manufacturers in mind. And should exhibitors have bespoke requests when it comes to their stand, we’ll do our utmost to accommodate them.” 
 
Any exhibitor making full payment of their show fee by Friday, June 14th will receive a number of free customer invitation tickets (10 for an open stand and 5 for a shell stand). 
 
“There’s no duplication of brands at the Farm Machinery Show,” said Michael Farrelly. “Each exhibitor is either a manufacturer, importer and distributor of the machinery which they will have on display, which remains one of our show’s distinctive and enduring selling points.” 
 
The 35th edition of the show has moved to a new Winter date in reaction to industry demands according to Michael. “Having previously been associated with February, the show is now moving to November and will revert to being held on a bi-annual basis, out of sync with Agritechnica,” he said. 
 
Mr Farrelly added: “A typical February nowadays involves machines being delivered into dealers’ yards while most serious conversations about new machinery now tend to be had in and around the previous November. So taking that key factor into account, along with the busy spring calving and lambing seasons from the typical farmer’s perspective, moving the show to November was a logical step to take.” 

More than 500 workers at the CNH Industrial tractor factory at Basildon, will begin pay strikes in May, the Unite union announced on Wednesday last week (April 8th 2024).

According to Unite, workers are angry that the company has reneged on an agreement struck during 2022, stating pay increases would be calculated by the average rate of inflation over the year.

The union says that instead, CNH is offering four per cent for 2024, rather than the 7.4 per cent it should be under the original agreement. For 2025, the company is offering the rate of inflation as of December 2024.

Service Dealer contacted CNH in the UK for a statement to pass on to our dealer network readership - who will naturally be concerned about any potential delays to supply of machinery.

We received what appears to be a generic quote from a 'company spokesperson' representing the Global Comms team which read, "CNH is in negotiations with the Unite Trade Union representing employees based at the company’s manufacturing site in Basildon, Essex. Following a ballot of its members, the Union has informed the company that the workforce has voted in favour of both Industrial Action Short of Strike Action and for Strike Action. The Union has also informed the company of the dates on which it intends to hold strikes. The company is disappointed that the parties were unable to reach an agreement and that the Unite Union has decided on this course of action.

"We recognise the Union’s decision creates high anxiety among our represented employees in Basildon, as well as our other employees, our customers, and our community. During this period, we foresee no disruption to tractor supply. 

"The company remains committed to reaching an agreement, and we are keen to work with the Union to resolve this situation in a timely manner. We will continue to negotiate in good faith and trust that the Union will do the same."

Record profits

Unite went on to point out that CNH Group reported record profits of £2.4 billion in 2023, and profits are forecast to stay high for the next three years. They also highlighted that CEO Scott Wine received a total compensation package of £19 million in 2022, which was 310 times the pay of the average worker at CNH Group.

Unite general secretary Sharon Graham said, “The pay deal with CNH was agreed in good faith and the company’s extremely healthy finances show that there is absolutely no reason whatsoever for it not to be adhered to.

“CNH is simply trying to rake in even more profits by short-changing its workers. Unite never accepts attacks on our members’ jobs, pay or conditions and the CNH Basildon workforce have their union’s total backing in taking strike action.”

Unite say the workers, comprising nearly the entire shopfloor of the factory, will strike on 14, 15, 16, 21, 22, 23, 28, 29 and 30 May. More strikes will be scheduled if the dispute is not resolved. 

Unite believe strike action will severely compromise the supply of New Holland tractors from the factory, which are shipped across the world.

Unite regional officer Michelle Cook said, “Paying these workers what was agreed would be water off a duck’s back to CNH. Instead, the company will have to explain to its clients that its penny-pinching greed has caused tractor shortages. Strike action can still be avoided if CNH stops trying to double cross its workers and sticks to the original agreement.”

Husqvarna Group have announced that they have successfully halved their absolute CO2 emissions compared to the 2015 baseline year - at the same time as the business's sales has increased by 47 percent.

Carbon is one of Husqvarna Group’s three Sustainability targets, together with Circular and People, with a -35% CO2 reduction target by 2025. The carbon target is approved by the Science Based Targets initiative (SBTi), reflecting the Group’s commitment of doing its fair share to limit the global temperature rise by maximum 1.5° C. By the end of March 2024, Husqvarna Group’s CO2 emissions were down by -51% across the whole value chain (Scope 1, 2 and 3) since base year 2015. During the same period, net sales have increased 47% from SEK 36,2bn to SEK 53,3bn.

Husqvarna Group say their key efforts to reduce carbon emissions are as follows:
 
Reducing emissions from product use 

More than 90% of the Group’s total emissions occur during customers’ use of products. To be able to lead the industry in low-carbon solutions, a systematic approach for electrification is key. By 2026, the Group’s ambition is to increase the share of electrified products sold to two-thirds. Since 2015 the share of electrified motor driven products has grown from 11% to 43%.
 
Reducing emissions from own operations 
Lowering CO2 emissions through more efficient production, sourcing renewable electricity, driving electric vehicles, or by heating buildings with renewable energy sources.
 
Collaborating with suppliers 
Apart from collaborating with strategic suppliers in CO2 reduction initiatives, suppliers are requested to report carbon reduction strategies, their work with science-based targets and measure and report CO2 emissions to the CDP (global disclosure system). 
 
More efficient transportation 
Transport is optimised through better logistics network, smarter packaging and improved supply and demand planning alongside an accelerating shift to sea and road from air cargo. 
 
Calle Medin, head of Sustainability at Husqvarna Group said, “Throughout the years we have invested in products and solutions fit for a low-carbon economy. Halving our CO2 emissions is thanks to bold and wise decisions that decreased our CO2 impact and created new business opportunities. The demand for our battery-driven products and especially robotic lawn mowers is constantly increasing, whilst CO2 emissions are going down."

Another company who will be supporting November's Service Dealer Conference & Awards has been unveiled.

AGCO will be returning as a Gold Sponsor.

Service Dealer owner Duncan Murray-Clarke said, "This year's event is promising to be bigger and better than ever, with so much fantastic content curated specifically for the needs of our dealer delegates.

"And of course, we couldn't do this without the wonderful support of our sponsors - hence we're so pleased today to welcome back AGCO."

Jason Webb, manager, national aftersales commercial, UK & Ireland said, "At AGCO Parts & Service, we are committed to supporting end users through our extensive franchised and independent dealers in the UK.

"We are delighted to be supporting this very worthwhile Service Dealer annual conference and awards ceremony for the UK dealer network."

The theme for this year's Service Dealer Conference has been announced as Driving Success and it will take place, along with the Dealer Of The Year Awards, once again at the Crowne Plaza, Stratford-Upon-Avon on Thursday 28th November 2024.

For more information on how you can be a part of the event and to stay updated on conference news visit our website or follow us on social media @servicedealer

Redexim has announced the appointment of Curtis Allen as its new global commercial director.

Curtis Allen, centre, with Herman de Bree and Justine de Bree

In his new role, the company says Curtis will oversee worldwide sales and commercial activities, heading efforts to enhance sales operations, expand partner networks, and drive global revenue growth and customer satisfaction.

With a rich background spanning over two decades in the industry, Curtis brings a track record of success and a profound understanding of the market to his new role. His journey with Redexim began in 2005 at Charterhouse in the UK, where he initially served as a demonstrator on the Verti-Art line before assuming the role of artificial turf machinery specialist. He initially started at Redexim HQ, responsible for sales in several countries, and built strong relationships over the years with our partners worldwide, demonstrating his commitment to excellence.

Herman de Bree, COO at Redexim, said, “Curtis is an immensely driven individual, exceptionally organised, and adept at tailoring his approach to meet the diverse needs of Redexim’s global clients and partners. His extensive tenure at Redexim, combined with his comprehensive knowledge of the organisation and the market, make him an invaluable part of our company.”

Justine de Bree, CEO said, “During all his years with the company, Curtis has proven to be a highly skilled professional in all sorts of ways. His extensive commercial and global market knowledge in combination with his people management skills, make him the right man for this important position."

Curtis added, "I am honoured to have been offered this position and very much look forward to working in the field with our external global team, partners, and customers as well as our valuable internal team at the Dutch HQ  to continue to develop the Redexim business through innovation, customer service and, strong relationships”.