Who Owns Whom

manufacture wholesale agricultural forestry machinery south africa

Manufacture and Wholesale of Agricultural and Forestry Machinery in South Africa 2023

Alex Conradie | South Africa | 23 June 2023

Enquire about this report

Report Coverage

This report on the manufacture and wholesale of agricultural and forestry machinery in South Africa includes information on the state and size of the sector, agricultural and other industry-related economic data, notable players, corporate actions, and factors influencing the sector such as competition from importers and distributors of international brands, input costs and power disruption. The report includes profiles of 23 companies such as Bell Equipment, Senwes, John Deere, BHBW and Iveco.

Introduction

• After increasing for several years, sales of agricultural machinery reached multi-decade highs in 2022.\r\n
• Sales increases have largely been due to good harvests and high agricultural commodity prices that boosted farmers’ incomes. \r\n
• Manufacturers and wholesalers of agricultural and forestry machinery are facing challenges such as poor economic growth, high input costs and inconsistent supply of electricity.\r\n
• Manufacturers and wholesalers are facing challenges such as poor economic growth, high input costs, inconsistent supply of electricity, exchange rate volatility, growing structural challenges around water and sanitation, and road infrastructure and port inefficiencies.

Strengths

• Manufacturers invest in R&D and innovation.
• Manufactures high-quality products.
• Several well-established companies.
• Well-established consumer markets.
• Well-located to supply machinery, especially into southern Africa.

Weaknesses

• Severe shortages of skilled artisans, technicians, engineers and project managers.
• Structural problems that lead to the declining competitiveness of South African manufacturers relative to other countries.

Opportunities

• Demand from other African countries as a result of efforts to boost the continent’s food production.
• Export growth due to the implementation of the African Continental Free Trade Area agreement.

Threats

• Inconsistent supply of electricity.
• Increasing cost of steel, electricity, water, labour and logistics in particular.
• Local manufacturers face competition from numerous importers and distributors of international brands.
• Poor economic growth affects demand for machinery.

Outlook

• Globally, sales of agricultural machinery are forecast to increase as growing demand for food leads to sales of more units, and machinery prices rise with more advanced technology. \r\n
• Sales should also be boosted by incentives and subsidies provided by several governments for buying agricultural machinery. \r\n
• Revenue from forestry machinery sales is expected to increase on growing demand for wood products and increasing mechanisation.\r\n
• Local sales of agricultural machinery may decrease in 2023 to around 2021 levels. \r\n
• In the medium term, the industry may be affected by rising interest rates and inflation, high input costs, debt, and lower commodity prices.

Read More..
Manufacture and Wholesale of Agricultural and Forestry Machinery in South Africa
Manufacture and Wholesale of Agricultural and Forestry Machinery in South Africa 2023

Full Report

R 9 500.00(ZAR) estimated $542.40 (USD)*

Industry Landscape

R 6 650.00(ZAR) estimated $ 379.68 (USD)*

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 2
2.2. Geographic Position 3
2.3. Size of the Industry 5
3. LOCAL 5
3.1. State of the Industry 5
3.2. Key Trends 7
3.3. Key Issues 8
3.4. Notable Players 8
3.5. Trade 12
3.6. Corporate Actions 14
3.7. Regulations 15
3.8. Enterprise Development and Social Economic Development 16
4. AFRICA 17
5. INTERNATIONAL 18
6. INFLUENCING FACTORS 20
6.1. Performance of the Agricultural and Forestry Industries 20
6.2. Economic Environment 22
6.3. Input Costs 23
6.4. Inconsistent Electricity Supply 24
6.5. Technology, R&D and Innovation 25
6.6. Unforeseen Events 25
6.7. Labour 26
6.8. Environmental Issues 27
6.9. Government Support 28
7. COMPETITIVE ENVIRONMENT 28
7.1. Competition 28
7.2. Ownership Structure of the Industry 29
7.3. Barriers to Entry 29
8. SWOT ANALYSIS 30
9. OUTLOOK 30
10. INDUSTRY ASSOCIATIONS 31
11. REFERENCES 31
11.1. Publications 31
11.2. Websites 31
APPENDIX 1 33
Summary of Notable Players 33
COMPANY PROFILES 35
African Traction and Associated Technologies (Pty) Ltd 35
AGCO South Africa (Pty) Ltd 37
Agrico (Pty) Ltd 39
ARGO Industrial (Pty) Ltd 42
Bell Equipment Company S A (Pty) Ltd 44
Bell Equipment Sales South Africa Ltd 46
BHBW South Africa (Pty) Ltd 49
Desmond Equipment S A (Pty) Ltd 51
Engitek (Pty) Ltd 53
Forestry Plant and Equipment Sales CC 54
G C Tillage CC 56
Iveco SA (Pty) Ltd 57
John Deere (Pty) Ltd 60
LEMKEN South Africa (Pty) Ltd 62
Nukor Woodtech (Pty) Ltd 64
Orbach Agri (Pty) Ltd 66
Packo RSA (Pty) Ltd 67
Piket Implemente (Pty) Ltd 69
Radium Engineering (Pty) Ltd 71
Rovic and Leers (Pty) Ltd 72
Senwes Ltd 74
Talbert Pivots (Pty) Ltd 90
Vincemus Investments (Pty) Ltd 92