Last month the government and the public service unions came to an agreement on a wage increase. It amounted to 10.25% spread over three years with 4.25% being paid this year, backdating to the 1st of January 2024. A further 4.25% increase will be given in 2025.

Not surprisingly, workers in the private sector felt a little bit left out. As a result, the Irish Congress of Trade Unions (ICTU) has recommended that unions should be seeking pay increases of between 4% and 6% in the private sector during the coming year, as long as they are affordable for employers. This is all very well in theory but can dealers afford to give such a pay increase? 

Given the background that tractor sales have dropped in Ireland and across Europe over the last few months with no sign of an immediate improvement and if you also include the already high fuel, energy and insurance costs in running a business, a further increase on the wage bill may not be feasible for some dealers.

No dealer will begrudge giving their employees a pay rise, provided that they can afford it. More tractor and machinery sales will be required to make it possible for awarding pay increases. Passing on the extra costs to customers may not be an option either as already high interest rates and lower crop prices are affecting demand for tractors, especially in the higher price market. This was evident in the recent John Deere financial results for 2023. They showed that operating margins contracted due to lower sales of large agricultural equipment. John Deere expect a further decline of 20% in 2024.

The Central Statistics Office (CSO) recorded 2,310 new tractors licensed for the first time in Ireland during 2023. This is a decrease of 58 compared to the 2022 figures. However, the number of second hand tractors that were licensed for the first time increased in 2023 compared to 2022. CSO figures showed that 2,510 second hand tractors were licensed in 2023 versus 2,381 in 2022.

Premiums for property and public liability insurance are also on the rise and they are increasing a lot faster than the rate of inflation. The recent floods around the country, especially in the Cork town of Middleton, showed the devastation they caused to business owners. More floods like these are expected in the future, which will put a lot of upward pressure on insurance premiums.

One possible option that is available is to offer tax free vouchers to your employees. Since January 2022, workers can receive up to €1,000 a year in vouchers. This could be a cost effective means of rewarding employees. For staff to receive €1,000 into their hand through the tax system would cost employers a lot more. You can find out about tax free vouchers by visiting Revenue.ie under ‘Small Benefit Exemption’.

2024 will be a challenging year for dealers. Increased costs are staring us in the face. Let’s hope that the market for our machines improves to offset these extra costs. 

The Farm Tractor & Machinery Trade Association’s (FTMTA) Farm Machinery Show is reverting to its traditional indoor format for 2024 and will be held at the Punchestown Event Centre from Tuesday, November 12th to Thursday, November 14th. 

Bumper crowds were attracted to last year’s FTMTA Farm Machinery Show. Photo: Dylan Vaughan 

The 35th edition of the show has moved to its new winter date in reaction to industry demands according to FTMTA executive director Michael Farrelly. 

“FTMTA 2024, in its most familiar guise, as the country’s flagship indoor farm machinery show and running over three days, is well and truly back,” said Mr Farrelly. 

“Having previously been associated with February, the show is now moving to November and will revert to being held on a bi-annual basis and will therefore take place out of sync with AgriTechnica.” 

Michael Farrelly added, “Since the pandemic, the ordering cycle for farm machinery has shifted significantly. 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.”   

Highlighting why the FTMTA Farm Machinery Show stands alone in an Irish context, Mr Farrelly added, “As is our tradition, we’ll have the manufacturers on-site at Punchestown, talking directly with the visiting public who consistently seek out that first-hand level of detail from the industry’s experts. That’s a unique level of interaction that our show prides itself on providing.”  

According to FTMTA president Karol Duigenan: “Exhibitors and visitors alike will be delighted to see our show returning to its indoor format while moving to a new slot in the farming calendar. The industry is constantly evolving and FTMTA has always recognised and reacted to emerging trends and developments. Taking the show back indoors was something we had always envisaged following the pandemic so we’re delighted to have taken this significant step.” 

Since 1989, the FTMTA Farm Machinery Show has attracted Irish and international farm machinery specialists, displaying tractors, harvesters and tillage equipment in addition to autonomous farm technology, livestock handling systems and aftermarket products. 

Kverneland Group Ireland has unveiled a new partnership, appointing Swaine Agri of Co. Offaly as an official dealer from 2024 - with the manufacturer saying this strategic collaboration marks a significant expansion of their dealer network in Ireland.

L-R: Greg Tennyson, Key Account Manager, Kverneland Group Ireland, Philip English, Managing Director, Kverneland Group Ireland & Liam Swaine of Swaine Agri, Ballyheashill

Swaine Agri, an established business of over 30 years, located in Co. Offaly, brings a rich history and deep community ties, positioning itself as a key player in the local farming landscape. 

Philip English, managing director of Kverneland Group Ireland, expressed enthusiasm about the new collaboration, saying, "The addition of Swaine Agri to our dealer network marks a significant milestone for Kverneland. We believe that their strong local presence and commitment to customer satisfaction will greatly contribute to our mission of providing innovative and high-quality agricultural machinery."

Co. Offaly holds strategic importance in Kverneland's expansion plans, and the partnership aims to offer a comprehensive range of machinery tailored to the needs of farmers and contractors in the region. The product line-up includes ploughs, cultivation equipment, seeding tools, spraying equipment, fertiliser spreaders, mowers, rakes, tedders, balers, and bale choppers.

Liam Swaine, director of Swaine Agri, said, "We believe that by providing farmers and contractors in Co. Offaly with access to such high-calibre machinery, we are not only contributing to advancing agriculture but also offering them a more profitable way of working. The strong reputation and reliability of Kverneland products align perfectly with our commitment to delivering top-notch equipment and services, ensuring that local farmers can enhance their efficiency and productivity."

Swaine Agri plan to waste no time as they look to host an open day at their premises in Ballyheashill, Co. Offaly, displaying a range of Kverneland and McConnel equipment on offer in March.

P&D Agri Services Ltd, based in Clonberne, Ballinasloe, County Galway, has become the latest Argo Tractors Ireland partner through its new McCormick dealership.

Since opening its doors in 2013, P&D Agri Services has built up a steady line of business in County Galway - including the Athenry, Loughrea and Connemara hinterlands - as well as in neighbouring counties.  

“We’re delighted to have established this new relationship with Argo Tractors Ireland by stocking models from the McCormick range,” said Patrick Dolan, co-proprietor of P&D Agri Services. 

With a six-strong team at its Ballinasloe premises, this new partnership shall see P&D selling “new tractors, fresh off the production line, for the first time,” according to Patrick.   

“Up until now, we had exclusively sold second-hand tractors. But several conversations with customers led myself and co-owner Derek Raftery to make the decision to stock new models and offer something fresh to our customers. We’re accustomed to servicing market-leading FPT engines and ZF transmissions so we’re looking forward to seeing how customers will respond to the new McCormick models.  

Welcoming P&D Agri Services’ arrival to an expanding list of McCormick dealerships, Kevin Phelan, country manager for Argo Tractors Ireland said, “We’re thrilled to have P&D Agri Services on board to service new & existing McCormick customers in the Galway region, as we deepen our commercial footprint in the west of Ireland. P&D has established and consolidated a reputation for reliability, know-how and top-level customer and tractor service over the past decade and I’m confident that they’ll add tremendous value to the strength of the McCormick brand in the region. 

Gianni Ferrari have announced that replacement parts are now available via the Kubota dealer network in the Republic of Ireland (RoI) and the UK, with immediate effect.

The company says the move is designed to streamline the supply of parts for existing Gianni Ferrari customers and brings the parts business in-line with the current distribution strategy for Kubota’s groundcare portfolio, following the formation of the Kubota Gianni Ferrari S.R.L. subsidiary in the summer of 2022.

With a network of approved groundcare dealers throughout the RoI and UK, existing Gianni Ferrari customers can now access the catalogue of replacement parts, with fast delivery and the expertise of Kubota trained technicians. Kubota says systems are in place to provide a comprehensive range of spare parts for existing ranges including - but not limited to - the GT, SR, PG and Turbo series of machinery, together with the new FC3 and FC4 out-front centre-collect mower series, introduced under the Kubota banner over the last twelve months. 

Commenting on the announcement Tim Yates, Kubota (U.K) sales manager, said, “This is great news for existing Gianni Ferrari customers, who now have a clear and accessible nationwide route to obtain service support and replacement parts."

It has been announced that Jef O'Riley has joined FGM Claymore as head of marketing.

Jef O'Riley (left) with Paul Butterly, md of FGM Claymore

Since acquiring distribution rights to the Echo brand two years ago, the company says they have seen significant growth in the U.K. market.

Paul Butterly, MD of FGM Claymore, said, "We’ve had a fantastic couple of years. But we have even bigger ambitions for the future. To get there, we know that we need to invest in building our marketing effort.

“Jef is a well-respected figure in the industry and has a proven track record for developing brands that can go toe-to-toe against the biggest names in the industry.” 

As head of marketing for both Ireland and the U.K, Jef brings with him 27 years’ experience in the garden machinery industry. Most of this time was spent marketing Echo, alongside other industry stalwarts including Ariens, Gravely, Countax, and Westwood.

Watch Service Dealer speak to Peter Melrose, managing director of EGO Europe, who tells us his company is hoping for a bit of predictability this year.

View the video below or via Service Dealer's YouTube channel.

Service Dealer owner, Duncan Murray-Clarke, is encouraging anyone who wants to get involved in plogging - jogging and picking up litter - to join a special Strava group.

Duncan explained, "I have recently completed my 240th plog. If I am truthful, I thought I invented the concept a few years ago. I was out running one day, kickstarted by Covid boredom, and noticed how much litter there was around the place - and I live in the countryside!

"So I started picking it up along the way whilst jogging. Picking up litter plus jogging equals plogging - very simple.

"But as the saying goes, there is no such thing as a new idea - it actually transpires that the word 'plogga' In Sweden combines jogging with litter removal and was thought of by one Erik Ahlstrom several years earlier."

Duncan continued, "I soon started to take a bag with me and now I can collect up to a carrier bag of rubbish every run. So I recon my 240 runs have collected a skip’s worth.

"When I travel, I always try and sneak a plog in and do some good wherever I am (and another side effect of a plog is it makes you feel doubly virtuous after a run). My most memorable plog was meeting Arnie halfway across the the Big Four bridge over the Ohio River in Louisville when visiting the Equip trade show.

Service Dealer owner, Duncan Murray-Clarke plogging in Louisville with Arnie

"Arnie was also plogging! The only difference being he was picking up trash and I was picking up rubbish. And I managed to get a selfie with the lovely guy. He was good, the bridge was immaculate."

Now Duncan says he is delighted that the TAP team want to get behind plogging as part of B Corp Month. "I would urge anyone who runs or walks to join our Plogging Strava group and share what they are doing," said Duncan. "Share a picture - feel good about what you are doing!

"Let’s see how much rubbish (or trash) we can shift together (whether you are a “to hell with my time and collect a whole bag” or “just a couple of bits and a fast pace” type of person). 

"If you are an organisation please, please share with your employees and beyond. No strings, we just want to share this lovely concept (even if I didn’t think of it first)."