Beefing up: Rising farm incomes have supported industry demand and revenue growth

Operators in the Farm and Construction Machinery Wholesaling industry have faced fluctuating conditions over the past five years. Demand from the Agriculture division increased due to rising farm incomes, which promoted greater demand for wholesale farming machinery. Demand from construction displayed strong growth over the three years through 2014-15 on the back of significant growth in heavy and civil engineering construction. Overall industry revenue is expected to grow at an annualised 1.6% over the five years through 2017-18, to reach $23.8 billion. This includes an expected decline of 1.8% in the current year, due to a projected drop in dwelling commencements and a significant decline in activity in the heavy industry construction market over the two years through 2017-18...read more.

Industry Statistics & Market Size
Revenue
$24bn
Annual Growth 13-18
1.6%
Forecast Growth 18-23
Profit
Employment
26,757
Businesses
1,876
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Industry revenue has increased despite mixed demand from the Agriculture and Construction divisions
  • Strong investment in resources projects has contributed to industry revenue growth
  • Expenditure on machinery is forecast to increase, supporting industry growth
  • Industry Report - Industry Locations Chapter

    The Farm and Construction Machinery Wholesaling industry is concentrated in New South Wales, Queensland and Victoria. Together, these states account for more than 75% of industry operators. The industry's geographic spread is largely determined by the distribution of construction and agriculture activity in Australia. Queensland and Western Australia account for a high level of industry activity (relative to their share of the national population) due to strong agricultural and mining bases. Victoria is also overrepresented when compared with its population, which is largely due to its greater share of house, apartment and multi-unit construction activity. Sin...purchase to read more.

    Additional Insights for the Farm and Construction Machinery Wholesaling Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Farm and Construction Machinery Wholesaling Industry are

  • Having a good technical knowledge of the product
  • Having an extensive distribution/collection network
  • Effective cost controls
  • IBISWorld analysts also discuss how external factors such as Demand from construction and Private capital expenditure on machinery and equipment in the Farm and Construction Machinery Wholesaling industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Farm and Construction Machinery Wholesaling Industry?

    Industry operators wholesale agricultural machinery, agricultural implements, earthmoving machinery and other construction machinery and equipment. They also wholesale parts for this equipment.

    Industry Products
  • Tractors
  • Lifting and material-handling equipment
  • Excavators and shovels
  • Loaders and dozers
  • Planting and harvesting equipment
  • Other construction machinery and parts
  • Other agricultural machinery and parts
  • Industry Activities
  • Agricultural implement wholesaling
  • Agricultural machinery wholesaling
  • Construction machinery or equipment wholesaling
  • Agricultural or construction parts wholesaling
  • Earthmoving machinery wholesaling
  • Harvester wholesaling
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from construction
  • Private capital expenditure on machinery and equipment
  • Demand from agriculture
  • Trade-weighted index

  • Current Performance
  • Chart: Revenue Growth

  • Industry Outlook
  • Table: Farm and Construction Machinery Wholesaling Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Farm and Construction Machinery Wholesaling Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Construction
  • Machinery and Scaffolding Rental
  • Agribusiness
  • Organic Farming

  • Key Selling Industries
  • Agricultural Machinery Manufacturing
  • Mining and Construction Machinery Manufacturing

  • Products & Services
  • Tractors
  • Other construction machinery and parts
  • Lifting and material-handling equipment
  • Excavators and shovels
  • Planting and harvesting equipment
  • Loaders and dozers
  • Other agricultural machinery and parts
  • Chart: Farm and Construction Machinery Wholesaling Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Construction Services subdivision
  • Building Construction subdivision
  • Heavy and Civil Engineering Construction subdivision
  • Agriculture sector
  • Mining sector
  • Chart: Major Market Segmentation for the Farm and Construction Machinery Wholesaling Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Farm and Construction Machinery Wholesaling

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Farm and Construction Machinery Wholesaling Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Farm and Construction Machinery Wholesaling Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Farm and Construction Machinery Wholesaling Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Earth-Boring Machinery
  • Machinery used to mechanically excavate a tunnel in the earth, often used as an alternative to drilling or blasting.
  • Tillage
  • The agricultural preparation of soil by ploughing, ripping or turning. Australian manufacturers specialise in tillage equipment for use in crop farming.
  • Wholesale Bypass
  • A procurement process within retail and manufacturing industries whereby retailers buy products directly from manufacturers, without dealing with a wholesaler.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Farm and Construction Machinery Wholesaling market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Farm and Construction Machinery Wholesaling:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Farm and Construction Machinery Wholesaling market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Farm and Construction Machinery Wholesaling, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear