Western Australia’s best start to the cropping season on record is fuelling strong demand for plant and machinery upgrades, according to a recent survey of 1000 Australian farmers.
The survey found nine out of 10 farmers in WA are looking to increase or maintain their level of investment this season – holding the highest investment appetite in the country.
Almost a third of WA farmers intending to increase their investment are looking to renew farm equipment, which, Rabobank says, is indicative of what it is seeing on the ground.
“Demand has been strong for equipment finance this year, with a flurry of activity earlier in the season as farmers upgraded seeding and spraying equipment, while we are starting to see renewed interest in harvesting equipment,” Rabobank WA regional manager Stephen Kelly says.
With the bank offering highly flexible repayment terms on equipment finance, Mr Kelly says farmers can obtain an “instant quote” by ringing any of Rabobank’s 10 branches around the state.
“With more than 50 dedicated agri banking specialists in WA, our strong local footprint and understanding of the industry means we can have quality discussions with farmers, to ensure that their proposed investment will generate a return to warrant the purchase,” he says.
“For us, it is not about doing the transaction, but ensuring the equipment will increase productivity and is the best use of debt for that business. And by having staff that are often from a farming background, or well-versed in the agribusiness industry, they intrinsically understand advances in technology and its role in lifting efficiency.”
With appetite for plant and machinery upgrades set to be high in coming months, Mr Kelly says the bank has the staff and systems in place to ensure a fast turnaround to settlement not only for their clients, but those that do not currently have a relationship with Rabobank.
“Response time is critical,” he says, “with our specialised product offering up to 100 per cent finance to fund the purchase of new or second hand equipment,” he says.
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