The used farm machinery and equipment market has been booming in 2022 with used sales very strong this year. One of the main reasons that demand for used equipment is so high is that it is very hard for ag manufacturers to get the parts necessary to make new equipment.
Ag equipment manufacturers have had a very difficult time producing new products to keep up with demand recently and that is due in large part to not having the necessary parts to send to the assembly line. Whether it?s a shortage in raw materials, supply chain disruptions, labor shortages, or a lack of needed computer chips; making new ag equipment has not been easy.
That?s Dr. Kanlaya Barr, director of corporate economics with John Deere, at the recent Ag Outlook Forum in Kansas City.
She says demand is expected to subside in the next 12-24 months with due to economic concerns. If that happens it should help manufacturers recover somewhat and catch up on back orders. It would also allow them to re-establish supply chains.
One of the biggest problems for ag equipment manufacturers right now is labor shortages.
That?s Dr. Kanlaya Barr, director of corporate economics with John Deere, at the recent Ag Outlook Forum in Kansas City.
