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85
INPUT AND PRODUCTION OVERVIEW
Graph 8
compares the price indexes of the tractor price and the maize price since 1985/1986. From
the graph, the price ratio between tractors and the maize price narrowed the past few seasons,
predominantly due to the high maize prices.
Tractor sales
Graph 9
depicts what is currently happening with tractor sales in the South African market. Note that
these figures exclude exports and include only local sales. Annual tractor sales during this period
(1995 - 2022) varied between a minimum of 2 624 units in 1999 and a maximum of 7 899 units in
2012. Between September 2021 and September 2022, tractor sales increased by about 15,5%, from
5 610 units to 6 479 units. Sentiments in the market are still very positive. The market for agricultural
machinery remains very active. It appears that producers are taking advantage of the past good
summer grain crop and good commodity prices to invest in new equipment and replace older exist-
ing equipment. According to Agfacts, with the continued good sales, it looks like tractor sales could
exceed 8 500 units for the 2022 season.
GRAPH 8
INDICES FOR THE PRODUCER PRICE FOR MAIZE AND THE PRICES
OF TRACTORS
1985/1986
1986/1987
1987/1988
1988/1989
1989/1990
1990/1991
1991/1992
1992/1993
1993/1994
1994/1995
1995/1996
1996/1997
1997/1998
1998/1999
1999/2000
2000/2001
2001/2002
2002/2003
2003/2004
2004/2005
2005/2006
2006/2007
2007/2008
2008/2009
2009/2010
2010/2011
2011/2012
2012/2013
2013/2014
2014/2015
2015/2016
2016/2017
2017/2018
2018/2019
2019/2020
2020/2021
2021/2022*
2022/2023*
2 000
1 800
1 600
1 400
1 200
1 000
800
600
400
200
0
TRACTOR PRICE INDEX
Index
MAIZE PRICE INDEX
*Preliminary
SOURCE: GRAIN SA
SOURCE: GRAIN SA
AVERAGE TRACTOR SALES = 5 578 UNITS
Indices: 1985/1986 = 100
GRAPH 9
ANNUAL TRACTOR SALES
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
9 000
8 000
7 000
6 000
5 000
4 000
3 000
2 000
1 000
0
Units