Russia

[agstar77]

Putin has placed a 25 % duty on machinery from 50 of the largest foreign machinery firms including Deere and Cat. So if you are a Russian farmer you will be buying home grown equipment. This may make N. A. manufactures come back to us. They have also put in credit for buying locally produced equipment. This should set back the plans for ag expansion. Will this spread to other countries?

[bluefargo]

Looks like protectionism rearing its ugly head again.
It just means Russia can't compete.
Yes it will spread to other counties.

[SASKFARMER3]

Yea Remember how Bourgault wouldn't even talk to Canadian farmers last farm progress show. Or Deere and CNH Well what goes around comes around. These guys crapped on their core group.
NA farmers.

[liberty]

I understand that oil prices need to be around $70 per barrel for the Russian government just to pay its bills. The tariffs are likely just a tax grab levied on foreigners so as not to be politically unpopular.

The end result will be that Russian agriculture will be even more impoverished than it already is. Since foreign manufacturers will respond by scaling back exports to Russian, measures like this will also bring in far less revenue than the government claims.

[dalek]

Will this also apply to Russian-owned manufacturers? (Buhler?)

[pilpilsner]

Talked to a guy at degelman,he was not happy when i told him about this.

How much stuff have the ruskies been buying?

[wmoebis]

I have seen russian combines and tractors. I think this is the best thing going for us producers. Thier crop production will drop we will gain on grain sales.
We will be way more productive using North American tech. than they will be. It won't be long and thier producers will be crying for our comforts and production ability.

I don't see why we sell our tech wether it be seeds or equipment or what ever, to our compitition to begin with.

[furrowtickler]

Because the people selling inputs and machienery to Russia could care less about the bottom line of the local producers who help build their business from the start. You can bet that Canada would do the same if the shoe was on our foot.

[liberty]

To the previous two posters, you guys had better be careful what you wish for. Ag manufacturing is a huge part of the prairie economy these days. Russian sales have been a major boost to that economy over the past ten years or so. Many rural towns are dependent on export markets for jobs. When manufacturers sell equipment to Russia, they are able to spread out the cost of investment in more efficient manufacturing processes, which helps to lower the cost of the equipment that Canadian farmers buy.

[charliep]

Also have to be concerned about patent protection and other issues. There is a sizeable equipment manufacturing industry. sometimes all you have to do is send one piece of equipment and have it copied multiple times. Using low disturbance/minimum till seeding equipment as an example, very little use in the Ukraine and lots of scepticism but once the bigger farmers see application and results, they are quick to adapt (proveded they have money which is the real issue). You can be sure the manufactures in eastern Europe are looking at North American and western European technology and adapting.