Agricultural machinery: a "platform" for market recovery

23.07.2020
The digital edition of EIMA International, which allows you to experience the exhibition in virtual reality, aims to ferry the market towards a recovery. The data on tractor sales in April and May, which were most directly affected by the stoppage of activities for the Covid emergency, indicate decreases in Europe of 25.8% and 22.6% respectively, with an overall reduction of 12% in the first five months of the year. Demand is growing in other areas of the world: businesspeople from 40 countries are expected at EIMA Digital Preview.

The health emergency has had unimaginable consequences on the economy, since there have never been comparable experiences in recent history. The crisis of 2008/2009 originated from a financial collapse, while the Covid 19 crisis attacked directly the real economy with a stop to production and trade.

The International Monetary Fund estimates for 2020 a drop in production at a global level of around 4.9%, with a deficit of 3% for emerging economies and a drop of 8% for advanced economies. The impact will surely be felt in the agricultural machinery sector.

"The health crisis occurred in a phase that was already critical for the sector - explained the president of FederUnacoma Alessandro Malavolti during the press conference held this afternoon in live streaming - given that already in 2019 the market trend had been dropping, and that in the first three months of this year sales had suffered a fairly substantial drop".

The FederUnacoma calculations using the Agrievolution data indicate for 2019 a negative balance of 5.6% for tractors in terms of units, mainly caused by the negative performance of the two Asian giants India and China, respectively down by 9.1% and 9.9%, only partially offset by the good result of the European (+7.9%) and US (+3.7%) markets.

After the negative close of 2019, in the first three months of 2020 tractors sales saw a further drop on all the main markets: the United States were down 7.6%, Europe 4.9%, India 11.5%, the Russian Federation 6.2%, and Japan 28.8%.

"The data on the tractor market in the months of April and May, which were most directly affected by the stoppage of activities for the Covid emergency - specified the president of FederUnacoma - indicate a drop in Europe of 25.8% and 22.6% respectively, with an overall reduction of 12% in the first five months of the year".

This context helps us understand the value of EIMA Digital Preview, the "virtual" edition of the world exhibition of agricultural machinery organized by FederUnacoma. The Digital Preview will be staged from 11 to 15 November, the same days initially scheduled for the traditional EIMA, which was moved to February 2021 due to the Covid emergency. "The digital preview is important for operators from all over the world - said Malavolti - and particularly for those countries which, despite suffering from the consequences of the health crisis, nevertheless show a significant push towards mechanization". "In this light, collaboration with the ICE Agency is truly fundamental - concluded Malavolti - to create together with FederUnacoma the Business-to-Business meetings between exhibiting companies and foreign businesspeople".

The foreign delegations of 40 countries from the five continents will be organized remotely, and will be selected precisely on the basis of the dynamics that the agricultural mechanization market shows in the various contexts. Countries like Canada, Mexico, Russia and many others continue to express a growing demand for technology even in this difficult economic situation, and it is to be expected that their businesspeople will be very active in November on the EIMA platform.

 


The latest FederUnacoma press releases

21.10.2020

Agricultural machinery: market recovering in September

Positive balance for the month in all the main machine categories. Double-digit increases for tractors, which posted a generous +20.7%. Despite the recovery in September, the balance of the first nine months of the year is still in deficit, given the heavy losses caused by the lockdown last spring. A further recovery in sales volumes is possible at the end of the year.
21.10.2020

SACE and FederUnacoma alongside agricultural machinery manufacturers

The agreement in support of the internationalization and development of SMEs in the sector has been renewed
13.10.2020

EIMA International: the "green corridors" for foreign businesspeople are coming

The organizational offices of the world exhibition of agricultural machinery launch the procedures required to authorize the arrival of foreign businesspeople to the exhibition. Due to the small number of nations that cannot benefit from the preferential route established for trade exhibitions, business contacts will be possible through the virtual platform EIMA Digital Preview, active from 11 to 15 November 2020.
02.10.2020

EIMA International, "active safety"

The organizational machine of EIMA works to ensure the highest level of health facilities and safety standards. To date, approximately 1,600 companies have confirmed their participation and intend to contribute in a vigilant and responsible way to the success of the showcase. In the months of September, October and November alone, the general exhibition landscape will include 25 important exhibitions in the major Italian exhibition districts; the Covid emergency is manageable and must not induce companies to give up.

Italian Implements Manufacturers Association
Italian Self-Propelled Machinery Manufacturers Association
Italian Tractors Manufacturers Association
Italian Components Manufacturers Association
Italian Garden Machinery Manufacturers Association