Claims farm machinery buyers can’t get finance despite good credit

FARM machinery sales are being held up because purchasers can’t get finance despite having good credit records.

This was revealed at the Farm Machinery Show, which continued at Punchestown Event Centre in Co Kildare yesterday.

Farm Tractor and Machinery Trade Association (FTMTA) president Eamonn Tinney said the main finance providers operating within the sector say they look on the agricultural market as a good option to provide finance.

But the experience of many FTMTA members is that this claim is found wanting when it is put to the test.

“Many of our members report being unable to complete sales of farm machinery as the purchasers are unable to get financing despite having good credit records,” he said.

Mr Tinney said a situation where small businesses in Ireland are left without recourse to vital financing due to a situation that is entirely not of their making cannot be left to continue.

“Hopefully the ongoing efforts of Government aimed at the revitalisation of the banking sector will bear fruit in the near future in this area at least,” he said.

Mr Tinney said agriculture remains a strong force in the Irish economy. It may not have enjoyed some of the highs of the Celtic Tiger, but it is in a very healthy condition, particularly when it is compared with some other areas.

“We have seen bad times before and perhaps no other sector in Ireland has gone through the various challenges over the years and reinvented and improved itself so much as agriculture and its associated service industries,” he said.

On the issue of the farm waste management scheme he said 17,000 farmers cannot be penalised for whatever has caused the current issue.

Urging Agriculture Minister Brendan Smith to move to a resolution immediately, he said the farm machinery industry fully supports its farming customers on this issue.

Mr Tinney said the recent increase in the standard rate of VAT has acted as a disincentive to economic activity. He called on the Government to revisit the rate.

More in this section

IE logo


The Business Hub

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
Puzzles logo

Puzzles hub

News Wrap

A lunchtime summary of content highlights on the Irish Examiner website. Delivered at 1pm each day.

Sign up
Cookie Policy Privacy Policy FAQ Help Contact Us Terms and Conditions

© Irish Examiner Ltd