The production of russian agricultural machinery in the first quarter increased in money terms by 39% to 27.3 billion rubles (information of Kommersant Publishing House according to Rosagromash).
In the reporting period, domestic enterprises produced 620 tractors (an increase of 48%), 1.3 thousand seeders (+ 34%), 465 harvesters (+ 20%), 1.4 thousand combine harvesters (+ 29%), harrows (+ 9%). Market participants explain the significant growth in production by a large-scale state support: the state compensates the discounts provided by the plants to consumers. In the first quarter, 8.9 billion rubles of subsidies for 2016 were paid. As a result of last year, payments of subsidies increased 2.2 times, and production of equipment in monetary terms increased by 58%.
The growth of exports of agricultural machinery in the first quarter exceeded 60%, shipments abroad amounted to about 1.3 billion rubles in monetary terms. However, according to experts, this was due to long-term contracts concluded during the devaluation of the ruble in 2015-2016. A strengthened ruble could adversely affect exports. So, according to Dmitry Babansky from SBS Consulting, the implementation of plans to double exports by 2018 depends largely on the exchange rate of the national currency.
According to a source from Rostselmash, the oversupply of the domestic market in the industry is unlikely. According to the calculations of the enterprise, the capacity of the market in the next 12 years will be up to 11 thousand combine harvesters per year. Currently, the market consumption is about 5 thousand pieces.
Source: Sfera Publishing House.
