In December 2021, activity in the agricultural equipment sector accelerated after a lackluster month of November: manufacturers' turnover picked up, driven by the good performance of exports: +19.7% compared to December 2020 , an increase of +17.3% cumulatively over the whole year of 2021.
Although distributor activity is still well oriented, it is progressing more slowly : +9% in December 2021 compared to the same month of the previous year, i.e. an increase of +10.8% since January.
Driven by a favorable economic climate in 2021, activity for the entire sector remained at levels well above those of the last two years, at +14% vs 2020 level and at +11, 8% vs 2019 level over the same period.
In December 2021, trade in agricultural equipment was particularly dynamic, thanks to the global economic recovery: French exports jumped by +37.8% compared to December 2020, despite the persistent difficulties of manufacturers to deliver. Imports followed the same trend: +38.8% over one year, driven by a still favorable French market in December.
Over the whole of 2021, the flow of agricultural equipment is thus well above its 2020 level over the same period: +25.5% for imports and above all +28.1% for exports.
In February 2022, the dynamism of the market is undeniable: the first registrations of agricultural equipment are 6% above their level of February 2021.
In January 2022, producer prices for all agricultural goods continued to increase compared to January 2021, by +15.7%. The surge in prices recorded since autumn 2021 continues.
Except horticulture, fruit and vegetables, all the major product families contributed to the overall increase, particularly field crops and wines and, to a lesser extent, livestock and milk. As a direct consequence of the surge in energy and especially fertilizer prices, the input costs borne by farmers are following the same trend: +17.7% compared to January 2021.
While 2022 promises to be an excellent year, the impact of the war waged by Russia in Ukraine risks to permanently affect the agricultural situation and particularly the European agricultural equipment sector: escalation of tensions on the market for industrial and agricultural raw materials (cereals, energy, steel, superalloys, etc.), expected shortages in the supply of parts, cancellation of orders and deliveries, soaring transport costs.
According to the latest CEMA survey at the beginning of March, Belarus, Russia and Ukraine together accounted for around 5% of the total sales of the companies surveyed in 2021. While the impact for Germany is likely to be particularly strong, it should be more moderate for France.
