According to the latest figures from the Tractor and Machinery Association of Australia, agricultural tractor sales are down by 28% year-to-date compared to the same period in 2023 (16% lower in AUD terms). This decline follows the end of the Federal Government’s Temporary Full Expensing Program in June 2023, marking a correction after the recent boom period, more here.

Subsidies, alongside commodity prices, profitability, and other factors, are key drivers of agricultural machinery and technology sales. The chart below, based on our AGCUMEN data from January 2022 to September 2024, highlights the countries most active in offering subsidies (such as tax incentives, subsidized loans, guarantees, and grants). While we haven’t quantified the total subsidy amounts, this quick one-minute query provides a clear picture of where subsidies play a significant role.

Understanding these trends is crucial for the adoption of new technologies in agriculture, including precision technology, robotics, and more sustainable machinery, such as those powered by alternative energy sources like solar technology on farms.

Agricultural Tractor Subsidies