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Breaking is only option

24th June 1999, Page 52
24th June 1999
Page 52
Page 52, 24th June 1999 — Breaking is only option
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Which of the following most accurately describes the problem?

• Dealers with low-powered secondhand tractor units they cannot shift may have no option but to break them up and sell the spares, believes Bob Reed, heavy commercials editor at the CAP Used Values price guide. "One ERF dealer I know has 41 used 325hp ERF tractors in stock, and nobody is interested." he explains. Reed stresses this is not a problem peculiar to ERF. "And it's not the case that if he chopped the price by £3,000 each, they'd all sell.

"He's hiring them out at low rates, turned one or two into rigids, and is now saying those that haven't been transformed into rigids are available for breaking."

Reed wonders whether it might make sense for manufacturers to take the initiative. and pay dealers a premium to break up some of the less-saleable used tractors to take them out of the game.

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