Industry Analysis & Industry Trends
Operators in the Agricultural Machinery and Equipment Wholesaling industry sell agricultural and forestry machinery and equipment on the wholesale market. The industry has faced volatile conditions over the past five years. In 2011-12 revenue surged by 20% as a result of a change in the Annual Investment Allowance (AIA) in April 2012. The maximum amount businesses were able to deduct from their taxable profit was lowered from £100,000 to just £25,000, prompting a rapid increase in investment in the year prior to this change.
Downstream agriculture industries have had to contend with flooding over the past five years; first in 2012 and then in the winter of 2013 and finally in the winter of 2015... purchase to read more
Industry Report - Starting a New Business Chapter
The industry's barriers to entry are moderate and steady. The main deterrent to potential new entrants is the difficulty of gaining distribution agreements, particularly among the leading brands of agricultural machinery. The largest companies involved in the industry are subsidiaries of machinery and equipment manufacturers that have a global footprint. The distribution of some of the top brands is exclusively held by one company. Brands are important to the end customers in the supply chain because they act as a signal of quality and reliability. Wholesaling agricultural equipment is not as simple as distributing the equipment itself, because many downstream dealers expect to be able to source replacement parts for most pieces of machinery from the wholesaler too. How.. purchase to read more