An interesting tidbit of information came recently from a Russian agricultural report.
According to the report in The Moscow Times, the Russian government plans to start a cash-for-clunkers program for farm equipment next year, Prime Minister Vladimir Putin said. This is similar to the incentives it offered for used passenger cars, apparently taking a page from the U.S. economic playbook.
The authorities may allocate 3.5 billion rubles ($125 million) for the rebate plan to spur demand, Putin said recently in Rostov-on-Don, southern Russia.
The incentives are designed to spur demand in the tractor market. With Washington in an intense battle over its budget, don’t expect such a program to be offered here. However, depending on the popularity of the program and the demand for U.S. based tractors, it will be interesting to see if there are any ripple effects in the U.S. market, especially for late-model used tractors.
How would a government-sponsored buyback program in the U.S. for farm equipment impact you and your operation?