By Marcelo Teixeira
By Marcelo Teixeira
SAO PAULO, Nov 29 (Reuters) – Agricultural machine producers are working with banks in Brazil to keep away from a repeat of slumping gross sales when public financing is anticipated to expire subsequent yr, the pinnacle of the native unit of U.S. tractor maker Deere & Co DE.N instructed Reuters on Thursday.
The Brazilian authorities’s strikes to cut back its position within the sector disrupted one of many world’s largest markets for agriculture equipment earlier this yr.
A government-sponsored financing package deal for farmers ran out sooner than anticipated, leaving a spot of credit score within the sector that hit gross sales of tractors, combines and different tools.
“The cash was over, and we stayed 90 to 120 days with very low exercise (in gross sales),” mentioned Paulo Herrmann, Brazil CEO for the maker of John Deere model machines.
Herrmann mentioned he expects credit score from the so-called Crop Plan, a authorities annual coverage that extends sponsored financing traces, will finish…