Trans-Pacific Partnership to be Signed; Leases on Farm Equipment Up
The 12 member nations included in the Trans-Pacific Partnership will sign the trade deal next week, in what Canadian officials call a “technical step.” While Canada will sign the trade pact, Canada’s Trade Minister Chrystia Freeland said this week the country’s government has not decided yet whether or not to formally ratify the agreement. The problem for Canada is that the former government negotiated the trade deal, representing a separate political party than what’s in office now. Once all 12 nations have signed, each will then have two years to ratify the deal.
While equipment sales are down, some farm machinery dealers are turning to leasing equipment to fill the sales gap. Dealership inventories of new equipment remains high with 37 percent of dealers reporting used inventory too high as well in November. Prices for used tractors in the same month dropped eight percent. A new estimate suggests that farm machinery leases now account for 30 to 40 percent of business at a growing number of dealerships.