BAGMA Bulletin Magazine May - June 2022

THE MEMBERSHIP MAGAZINE OF THE BRITISH AGRICULTURAL AND GARDEN MACHINERY ASSOCIATION ISSUE 33 | MAY-JUNE 2022

A place to grow BAGMA approved trainer Nigel Perrin shows us around Merlo’s new training centre CLIMMAR CHANGES | LAMMA REVIEW | INDUSTRY NEWS

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IN THIS ISSUE

Why we’ve been developing our strategy

ISSUE 33 MAY-JUNE 2022

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NEWS New AEA president praises ‘beneficial’ merger; Farmtrac doubles dealer network; meet BAGMA’s new marketing executive

BAGMA President Peter Arrand advises all members to find the time to clearly define their business will become our priorities in the coming months and years.

PETER ARRAND I would advise, despite the curPRESIDENT rent time and resource pressure that we BAGMA are all facing now, that you find time to clearly define your business strategy and involve all your key stakeholders in your business. You THE BAGMA COUNCIL and staff have been may very well find that your priority initiative, working hard recently on amending, expanding which may drive the highest success, is receivand further developing our strategy in both the ing your secondary attention. All organisations short term and the long term. I am sure many have hardworking employees, but of our members have been doing are they putting all their efforts the same recently considering the DEVELOPING into areas that have little or no global pressures that we face today. A STRATEGY Since Russia launched a full-scale TAKES TIME AND effect on strategic success?

Then we need to communimilitary invasion into Ukraine on RESOURCES cate our plan to staff, suppliers February 24 commodity prices AND REQUIRES and even customers so and global supply chain issues have CONSIDERABLE they know where we are worsened for many and businesses COMMITMENT going which allows for have had to revisit their plans and greater opportunities for people to expectations. help us maximise in the success of One thing for sure is developing a strategy the journey. takes time and resources and requires considWe look forward to sharerable commitment from the people within ing some of our strategy and any organisation. It is important to get this plans with you in the comright, as poor planning could be worse than ing months through our no planning at all. magazine, e-briefings, So why have we been working hard in the social media and, finally, background on our strategy? It’s been nearly a in person at the shows year since BAGMA found a new home within and events we will be the AEA, but we have been re-setting and attending this year. adjusting our direction and establishing what

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EXPERTS Advice on marketing and safety

COMMENT

The membership magazine of the British Agricultural & Garden Machinery Association Editor Chris Boiling 07713 192344 chrisboiling@live.com Design Alan Bingle 07949 024737 alan@forty6design.com All advertising and media enquiries please email: keith.christian@bagma.com

BAGMA BULLETIN MAY-JUNE 2022

BAGMA, Samuelson House, 62 Forder Way, Hampton, Peterborough PE7 8JB. 01295 713344 bagma.com BAGMA president Peter Arrand BAGMA director Keith Christian 07823 416849 BAGMA business development manager Richard Jenkins 07432 290605

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COVER STORY BAGMA approved trainer Nigel Perrin shows us around Merlo's new training centre

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SPECIAL REPORT CLIMMAR, the international dealership network, is undergoing some significant changes

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SPECIAL FEATURE David Withers, incoming president of the AEA, gives his view on the future

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LAMMA REVIEW What were the hot topics in the new dealer zone?

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OUT & ABOUT BAGMA visits the South West

Every effort is made to ensure the accuracy of the material published in BAGMA Bulletin. BAGMA can accept no responsibility for claims made by manufacturers, advertisers or contributors. Views expressed by advertisers or contributors are not necessarily those of the publisher or of BAGMA. Advertisers in BAGMA Bulletin are not agents of BAGMA or any of their associated businesses. Also, BAGMA and its associated businesses never act as agents for any advertisers. Printed in the UK by Stephens & George.

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BAGMA NEWS

BULLETIN BOARD

NEW IAGRE PRESIDENT

Steve Constable, managing director of Spaldings Limited, has been appointed president of the Institution of Agricultural Engineers (IAgrE) for two years.

Steve, who has worked for Spaldings for 32 years, said: “I am committed to working hard in helping develop this institution to remain at the forefront of this exciting industry.”

TRACTOR SALES UP

The number of agricultural tractors registered in April was higher than in the same month last year. It’s the first that has been the case this year. At 1,152 machines, the monthly total was 14% higher than in April 2021, although it was close to the average for the time of year in the previous five years. Delivery lead times for tractors remain extended due to multiple supply chain challenges and registrations would no doubt have been higher in recent months otherwise. The total for the year to date is now less than 2% lower than in the opening four months of last year, at 4,199 machines.

DRONE FUTURE

By 2050, every Dutch fruit and vegetable grower will be using a drone to spray crops.

The surprising thing from a study by SEO Economic Research into the potential of drones in horticulture and arable farming is that the Netherlands will only need 44 drones to do the job, saying one drone could spray 500ha. But 1,455 will be required for crop inspection.

POSITIVE FEEDBACK FOR ECHO

With Echo Tools UK now under the wing of FGM Claymore, the aim is to build the brand to significant levels through a network of independent servicing dealers. Six months on from the change, the company says there has been plenty of positive feedback from both customers and dealership sales staff.

“Echo is a fantastic brand to have and with the extensive range of products being available, it offers our customers great quality and choice at the right price,” said Julian Weightman, director at David Dixon Ltd.

ECO-FRIENDLY CAN

A US website which promotes modern sustainability has named a British-made watering can as one of its ten favourite eco-friendly gardening tools. Treehugger gave five stars to the long-lasting Haws Traditional Watering Can which is handmade from galvanized steel and powder-coated for corrosion protection.

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Campey introduces new recruits Campey Turf Care Systems is boosting its customer support with the addition of four new team members at its new branch in Bosley, Macclesfield.

The new recruits are workshop manager Bob Nixon, outside service engineer Dave Juke, sales demonstrator Archie Thomas and product specialist Tom Weston, a former greenkeeper. They are based at Campey’s second branch in Macclesfield, which includes a showroom and walk-in retail shop as well as additional servicing facilities.

BAGMA appoints new Price rises will decrease demand marketing executive TWO AGRICULTURAL ASSOCIATIONS in France have written to the French government expressing their concerns that price rises, following increases in the cost of raw materials, will lead to a sharp decline in sales.

France’s national federation for service companies and agricultural equipment distribution, SEDIMA, and the French association of industrial businesses in the agricultural equipment and agri-environment sector, Axema, say this will disrupt agricultural production.

“Prices of raw materials have risen dramatically since 24 February,” they point out. “Steel sheets from Northern Europe were trading at €680 per ton in January 2021 and are now reaching prices of €1,800 per ton, with peaks of €2,200.”

Suppliers to manufacturers, who are also dependent on highly disrupted supply chains, are no longer able to guarantee prices and lead times, and are applying price increases without notice to their customers, who in turn are forced to pass on all or part of the increase .

As their cash flow is critical, equipment manufacturers have no alternative but to pass on further increases, following on from the 10 to 15% rises already applied last year.

Also, they are seeing a worsening of supply challenges. “Delivery times for agricultural machinery have increased by an average of 11 weeks compared to normal.”

BAGMA HAS APPOINTED Stephanie Young (below) to the position of marketing executive.

Based at the association’s head office in Peterborough, she will focus on all aspects of marketing – but especially digital, CRM and social media – to help promote and grow the organisation.

Stephanie has more than 14 years’ experience in marketing and a diploma in digital marketing. She commented: “I’m very excited to be joining the team, this is a great time for BAGMA and I’m looking forward to being able to use my skills and experience to help develop and grow the organisation.”

BAGMA BULLETIN MAY-JUNE 2022

BAGMA NEWS

New AEA president praises ‘beneficial’ BAGMA merger THE INCOMING PRESIDENT of the Agricultural Engineers Association (AEA) has described the acquisition of BAGMA last year as “a huge step forward for both organisations”.

Speaking at the AEA conference in London nearly a year on, David Withers said the move “will be beneficial for all members”.

David, managing director of ISEKI UK & Ireland, went on to say one of the key benefits is “the ability to talk with stakeholders and the Government in particular representing the entire supply chain rather than just parts of it and never has it been more important to talk to Government as we move into further regulatory changes and possible divergence from European standards as well as new technologies in AI, autonomy and the electrification of power sources”.

Regarding his appointment as AEA president, David said: “It really is an honour to be appointed to this role and to be involved at this

level within the AEA at what is truly a time of change. New technologies are driving change at ever greater pace and with possible post-Brexit standards’ divergence, the supply chain crisis we face, and now hanging over everything, the war in Ukraine, the AEA has never been more important to its members than right now.”

David entered this industry as a demonstrator at Charterhouse Turf Machinery before moving to a 25-year career at Textron. Starting as a regional manager, David had various roles and responsibilities with increasing seniority culminating in eight years as managing director of Ransomes Jacobsen, followed by six years as USA-based president of Jacobsen. For the last four years David (pictured) has been back in the UK with his new company ISEKI UK & Ireland.

Turn to page 12 for David’s view of the future.

Raven opens advanced engineering centre RAVEN INDUSTRIES, A CNH subsidiary which supplies autonomous systems to Case IH and New Holland, has opened a new engineering centre in Scottsdale, Arizona, USA. The location provides the company, which has its headquarters in Sioux Falls, with strong connections to Arizona State University.

With a focus on product development, data science and artificial intelligence, workers at the new centre will also have access to a nearby test farm, where they can do same-day testing.

In addition to the new Scottsdale location, Raven is also planning a significant expansion

of its Innovation Campus, located near the company’s headquarters. The revamped facilities will supply more space and resources for real-time engineering testing, research and development for AI, autonomy, machine learning and core technologies.

“These expansions are a direct reflection of our commitment to autonomous development,” said John Preheim, vice-president of engineering.

“We are dedicated to delivering autonomous solutions that help growers optimise their operations, and these centres of excellence will provide the space and resources to support this vision.”

Record year for STIHL Group

STIHL GROUP ACHIEVED a record revenue of €5.06bn in fiscal year 2021, equating to a yearon-year increase of 10.4%.

The German manufacturer says it also saw records in sales, production, and headcount.

The STIHL Group now has 20,094 employees worldwide.

“We exceeded our own expectations in 2021,” said chairman Michael Traub. “Not only did we BAGMA BULLETIN MAY-JUNE 2022

achieve new records in terms of sales and production, we also exceeded the €5bn mark in revenue for the first time in our 96-year history, despite enormously challenging circumstances.”

STIHL says online sales experienced significant growth while the gardening and DIY trend continued in 2021. Sales of battery-operated tools increased for both consumers and professionals, as did sales of petrol-powered products.

Farmtrac doubles dealer network Farmtrac’s UK distributor Reesink Agriculture says its dealer network has doubled in the past year.

The reason, according to tractor sales manager Steven Haynes, is: “Dealers are finding there is a growing market for great value-for-money tractors that focus on the core elements the customer needs, rather than being overburdened with more complicated electronic features.”

He went on to explain that the expansion is due to word of mouth.

“So many tell us they’ve heard about Farmtrac from the dealer community, whether that’s with a farming, agricultural, small holding, domestic or landscaping focus,” he said. “Or they’ve seen it on TV or social media. It’s driving its own success.”

Dealerships which have taken on the franchise in the past year include ABA Groundcare, AJ Mowers, Chichester Farm Machinery, Comvex Group, Fentons of Bourne, Gammies, Oakleys Groundcare, Off-Road Electric, Shinners Bridge, and Stag Machinery.

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BAGMA NEWS

Lively red diesel debate at LAMMA THERE WAS A lively debate on red diesel in the Dealer Zone at LAMMA, resulting in several important clarifications from HMRC. Michael Lyttle, HMRC, explained that excepted machines are special vehicles such as diggers and cherry pickers, unlicensed vehicles, trains, mowing machines and other machines and appliances that are used for purposes relating to agriculture, aquatic farming, horticulture and forestry or for any purpose on a golf course or land maintained by a community amateur sports club, or for powering the equipment of a travelling fair or circus, or, lastly, for heating of or generating power for non-commercial premises.

HMRC also said red diesel fuel cannot be used for a non-accepted use.

There were a lot of questions from the audience, including getting clarification that maintaining farm tracks and activities such as bailing straw are an accepted use. However, if you are only moving the straw and not bailing it, this would then be classed as haulage, and therefore not an accepted use.

It was also clarified when service dealers can use red diesel. HMRC confirmed it is based on what the fuel is being used for. The dealer can provide a machine with red diesel in if the customer is using the machine for an accepted use.

A key question also for dealers was how to prove to RDCOs (Registered Dealers in Controlled Oil) they are a reliable user. HMRC said the dealers need to explain to RDCOs the intended purpose and explain it is allowed in Notice 75.

How much would you pay for this tractor?

THIS COUNTY 1474 ‘Short Nose’ tractor, which cost £20,000 in 1982, has sold at auction for £214,400.

Stockport businessman Tom O’Connor, who grew up on a farm in Ireland, bought the tractor, paying well over the presale estimate of £120,000-140,000. Having been fully restored, the tractor saw significant presale interest and now holds the record for the most expensive modern classic tractor sold to date.

Mr O’Connor, who owns a utilities business in Stockport, said he now has a ‘dozen’ tractors stored on his farm as part of his collection. He explained: “I have lived in the UK for the past 30-odd years and collecting these Fords which we had when I was young is something which I have always aspired to do.

“Luckily I am now in a position in my life where I can do that. This particular County had been perfectly restored and this was really what I was looking for. It’s getting harder to find people who will do a good job of restoring these tractors, so I have been looking for a really clean example, which is what this was.

“I have built a new shed on the farm for my collection and the County will be living in there, I intend to keep hold of it for the next generation and don’t intend to sell it anytime soon. I started collecting quite late in life and now have about a dozen tractors in my collection, a few of which have been restored.”

The County 1474 was part of the first Cheffins

collective vintage sale of 2022 – which grossed more than £2m as record prices were paid for classic and vintage machinery and collectors’ items. Taking place at the Cheffins sale ground at Sutton, near Ely, the sale saw more than 2,800 lots go under the hammer and buyers in attendance from across the UK and Europe.

Other significant sales in the tractor section included £73,000 for a 2004 JCB 2140, against an estimate of £60-65,000; £48,240 for a 1983 Mercedes-Benz MB-Trac 1500, well over its presale estimate and £42,880 for a stunning 1974 County 1164. Another noteworthy lot was a 1956 Fowler VF Crawler, which was found in original condition having been used on the Landwade Hall Estate, near Newmarket, since new. It sold for £16,080, against a presale estimate of £6-7,000 and is a new record price for this particular model.

Back to normal and still busy

BAGMA’s director, Keith Christian, outlines some of the many issues facing your association COMMENT

KEITH CHRISTIAN DIRECTOR BAGMA I was told a long time ago by our former director of publishing to focus my comments on one or two subjects. Good advice but nearly impossible to stick to when there is so much going on. As the adage goes, ‘When you are up to your backside in alligators it is difficult to remember that the

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main objective is to drain the swamp!’

As I write this piece, we have just closed the LAMMA Dealer Zone, sponsored by BAGMA, after two very busy days for BAGMA and those dealers that exhibited within the zone. After a couple of years of Covid, it was great to get back to a busy show and sign up some new members.

We have just spent over a month trying to get to the bottom of the changes made to the use of red diesel and some of the issues faced by

dealers who have been refused deliveries. I am very pleased to say that with the complete cooperation of the HMRC we can confirm that dealers can purchase red diesel for the allowable uses that are outlined in Notice 75. This is a complicated issue and the HMRC had a team at LAMMA to present the new rules and answer questions which was very helpful in clarifying what users can and can’t do. More on page 14.

We continue to work with our industry on apprenticeship

details, recruitment, waste management issues to do with lithium-ion batteries and will report on these matters throughout the year.

In our new home we are still in the process of moving our member services and benefits over to new BAGMA platforms along with building a new website for launch in June. We have added a new marketing executive to our team, Stephanie Young, and are looking forward to getting back to normal business, as I am sure most of you will be as well.

BAGMA BULLETIN MAY-JUNE 2022

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BAGMA BULLETIN MAY-JUNE 2022

EXPERT VIEWS

The importance of training for young workers SAFETY

PAUL MARSH

Office manager SafetyAide

AN APPRENTICE SUFFERED a serious hand injury after being left unsupervised following insufficient training. What were the implications for his employer and what can you do to prevent a similar accident?

What happened?

In October 2019 the young worker had been instructed to use a machine which had rotating moving parts controlled by a foot pedal. Another apprentice showed him what to do and after watching him approximately four times, he left him to continue unsupervised. His safety glove caught in the rotating parts and although he removed his foot from the pedal, his hand was drawn into the machine, causing crush injuries. As a result, he was unable to work for two months.

REGULATION 19 STATES THAT SUITABLE AND SUFFICIENT RISK ASSESSMENTS MUST BE UNDERTAKEN FOR YOUNG PERSONS

In court R Briggs Sheetmetal Fabrication Ltd pleaded guilty to breaching s.2(1) Health and Safety at Work etc. Act 1974, which states that every employer must ensure so far as is reasonably practicable the health, safety, and welfare of their employees. The company was fined £13,000 and ordered to pay costs of £2,682.

Regulation 19 - Management of Health and Safety at Work Regulations

1999 states that suitable and sufficient risk assessments must be undertaken for young persons. The HSE noted that there were insufficient risk assessments and supervision for an inexperienced person and the company had also failed to recognise the entanglement hazard.

Training lessons Comprehensive training and competent supervision are the foundation of safety and when managed well will reduce incidents and enable your business to work efficiently. It can be tempting to cut corners when it comes to training, especially when there can be other business factors that put pressure on your resources. However, if you invest in training which is aimed specifically at your staff and directly linked to not only the activities undertaken but the hazards that are present, you will gain greater rewards than just improved safety performance.

What are the benefits?

These can include increased productivity, engaged workers, and possibly less waste of materials, time and resources. Don’t assume that this will come with a hefty price tag; often the training can be conducted in-house at no cost to the business.

Tip. Your risk assessment will help you identify the level of training required, and how often it needs to be conducted. There are three basic levels of training to facilitate competency within your workforce: induction (when an employee starts); on the job (how to do the tasks safely and efficiently); and refresher (to avoid complacency).

In the above case, training was not given priority by the company. The apprentice was still in training and so not qualified to train new employees, particularly as this was a high-risk environment. If you are employing young persons, then extra care and attention should be paid at their commencement of work.

Tip. Taking the time at commencement of employment to train new starters will send a strong message to them about your safety culture and intent to look after them.

Tip. A risk assessment will ascertain the levels of supervision required, especially for an inexperienced worker, and this will mean you can plan your workload more effectively.

The firm was fined £13,000 as a result of this accident. Simply having robust risk assessments in place is not enough; you must ensure that you have trained all members of staff in the safe systems of work.

Are you using content pillars?

MARKETING

MARY EVANS

Owner ME Marketing and Events

Email mary@ memarketingand events.com, call her on 07917347451, or visit www. memarketingand events.com

WHEN YOU ARE putting content out on social media, it is important that you make sure you are giving your audience a rounded understanding of your business and who you are. There are lots of great ways you can approach your content but to really ensure that you are getting the balance right, I want to introduce you to content pillars.

The official definition of content pillars is an informative piece of content on a specific topic or theme that can be broken into many derivative sections, pieces, and materials. In simpler terms, the pillars are your topics that you shape your content around. This ensures you are getting a balance, guaranteeing consistency, and staying organised.

Putting the concept into practice,

BAGMA BULLETIN MAY-JUNE 2022

if you were a clothing shop, your content pillars may be customer feedback, fashion trends, dressing for your figure, sustainability. I would suggest sticking to a minimum of three and a maximum of five, this will ensure there is a defined style to your content. When defining your pillars, your analytics can be a great place to start, see what content has really taken off and what your audience engages with.

So, you have your content pillars, how do you implement them? By having this structure, you will naturally feel more organised in getting your content, you have a topic already after all! It is great practice to keep a bank of content ideas for each pillar so creating the posts doesn’t become a chore! For my own

business, I have a calendar with my content pillars spread out over the month, I find it best to print the sheet and write different ideas in under the different days. I will then find relevant photos/ videos and accompany with some text that all relates to the chosen pillar.

What we are really trying to get away from here is being too salesy!

Your social media is a place to promote your offerings and generate sales, but it is also the place where you showcase your expertise, shout about your company’s wins and share customer feedback. Basically, we want to build a relationship with our audience not bombard them with pushy sales messages. If you are struggling with defining your pillars, get in touch!

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MEMBER PROFILE

Merlo opens new We take a look inside the company’s new facilities and refurbished offices MERLO HAS OFFICIALLY opened the new training centre at its Ringwood UK headquarters. A select group of members of the Press from relevant industry magazines attended the opening and were given an insight into Merlo’s history and a tour of the completely refurbished offices and site, as well as the new addition of a dedicated training centre.

Shaun Groom, general manager of Merlo in the UK, James Knight, marketing coordinator, and Robin Cooch, national parts manager, welcomed the group with some pride. This issue's cover star, NigelPerrin, product training and development manager, joined the group later in the new training facility.

The company Merlo has six subsidiaries around the world with over 800 dealers and 1,600 employees. 80% of production goes abroad and the company enjoys a marketshare that is now 50/50 with agriculture and construction with over 7,200 machines sold in 2021, making Merlo the third largest telehandler producer in the world. Merlo is a market leader in many countries. Based in Cuneo in Italy, Merlo has a 35,000sq m production plant that produces 90% of the components and body parts required for its machines. In-house quality control and automated processes are state of the art with over 60 robots, seven automatic cutting stations and four hi-tech painting lines.

Background Markets Merlo UK was first established in the UK in The Merlo products cover most markets including 1993 as a 50/50 joint venture company and agriculture, construction, quarrying and mining, opened its own dedicated premises in 1996, industrial, ecological with urban waste collection becoming a 100% Merlo owned company in and compaction and communal services such as 2011. The more recent refurbishment was startbank and verge mowing, snow clearing as well as ed in 2021 having been delayed by providing equipment for the military.

Covid. This included a long-awaited MERLO RECENTLY JOINED BAGMA dedicated training facility.

Parts Merlo’s company history starts AS AN ASSOCIATE A new automated parts warehouse in 1964 with a new innovation in MEMBER has a capacity of 16,000 cubic dumper trucks and adding selfmetres with over 40,000 SKUs and loading concrete mixers a few years later. The a pick rate of 94%. first Merlo telehandlers came in 1981 with the Interestingly, the UK parts facility, managed SM30 but very quickly Merlo conceived the

by Robin Cooch, is an HMRC customs bonded design of having the engine parallel to the boom warehouse. This means that Merlo UK can conand opposite the cab. This is now the benchtrol its parts distribution in a much more organmark for the telehandler industry. Cab visibility ised way whilst maximising the available space was so good that Merlo named the product line and parts availability. “Having the customs Panoramic. bonded status enables us to use CFSP (Customs In 2000 yet another innovation created the Freight Simplified Procedures) to bring spares tractor/telehandler which was a fully homolointo the UK without experiencing any delays in gated handler designed to tow trailers. With the customs at the ports and airports,” Robin said. raft of legislation surrounding this sort of activPartnered with Carousel Logistics, there is ity this was a blessing for farmers who could betnow an extended order cut off time of 5.30pm, so ter utilise their telehandlers with this approval. parts can be dropped at unattended safe zones Moving into 2021, Merlo introduced a with dealers receiving most orders prior to 8am. hybrid telehandler, the E Worker, which is 100% The service includes a 360-degree delivery proelectric and includes two models – a 2WD and cess so parts returns can be sent back through a 4WD of 90KW (120hp) with a 2.5 tonne lift the same process. A weekly trucking service is capacity and a 5.5m reach. This is Merlo’s Genalso in place between Merlo UK and the factory eration Zero product range. for bulk deliveries.

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Shaun Groom, general manager of Merlo UK Ltd

BAGMA BULLETIN MAY-JUNE 2022

MEMBER PROFILE

training centre

Training Merlo UK train dealer technicians in-house with the first batch of candidates using the new facility from January 2022. Merlo training units include transmissions and cab systems as well as a range of machines. Small groups allow for more personalised training with a mix of workshop, work and classroom style training. A refreshment facility keeps candidates ‘fuelled’ up through the day. Over 300 technicians were trained in 2021 so the new facilities should increase this number through 2022.

Nigel Perrin, training manager, has worked with technicians online throughout Covid and also delivers BAGMA training for Installation and Handover and for Thorough Examination, BAGMA BULLETIN MAY-JUNE 2022

working closely with BAGMA to keep the training up to date and help dealerships keep up with legislation in these areas. Nigel works with the latest computerised training material developed in-house for Merlo.

The new facility is designed to lend itself to both in person and virtual training. ● A fully online Talent LMS Merlo Training facility is available for remote learning. ● Flexible workspaces allow for hybrid training. ● Mobile workbenches allow for social distancing. ● Training calendar offers a wide range of courses from machine installation to electrics and diagnostics. ● Fully simulated learning.

Nigel has been with Merlo in this role now for 25 years and was congratulated by the visiting group for his long service to Merlo and dealer support in this area. As a BAGMA approved trainer, BAGMA would like to offer its congratulations to Nigel and thank him for all his support to BAGMA training and the dealer network.

Merlo recently joined BAGMA as an associate member to further support BAGMA in the industry. BAGMA would also like to congratulate Merlo UK for its investment in the future support for its dealer network and the quality of its training for the dealer network.

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SPECIAL REPORT

Big changes for CLIMMAR CLIMMAR, the international dealership network, is undergoing some significant changes.

One will give dealers more lobbying power in the European Parliament AT A RECENT gathering in Belgium, significant progress was made in moving CLIMMAR forward and changing the structure of the association (which comprises 16 national dealer associations).

Instead of the presidency and secretariat rotating from country to country (not always on a regular basis), from this year CLIMMAR will have a permanent general secretary based in Brussels. A company called SMEunited, which provides support services for many trade organisations and representation in the European Parliament, including the Federation of Small Businesses from the UK, has been hired.

The CLIMMAR representative at SMEunited is Friedrich Trosse who is 34 years old and has been working as an accredited parliamentary assistant in the European Parliament until recently, so BAGMA hopes with his contacts and knowledge and the fact that he speaks English, German, Dutch, French and Italian, he will represent CLIMMAR well going forward and we look forward to being recognised in Europe with more lobbying power on items that affect our industry.

The statutes of CLIMMAR are being legally changed to represent a confederation permanently based in Belgium with its own office (behind the building of the European Commission and the European Parliament), bank account and legal structure under Belgium law.

Interestingly, the working language under the new structure is English but the legal language under Belgium law is French.

CLIMMAR has elected four new board members: president Roberto Rinaldin (Federacma, Italy), vice-presidents Stefane Le Blond (SEDIMA, France) and Stefan Sprock (Landbautechnick-Bundesverband, Germany) while our own Howard Pullen has been elected treasurer for a maximum of three years.

At the spring meeting at the SMEunited offices in Brussels, previous president Erik Hogervorst and previous general secretary Jelle Bartlema, both from FEDECOM (Netherlands), were thanked for their work over the last seven years and for all their time and inspiration in moving CLIMMAR to a new home in Brussels.

The new statutes were presented, discussed and accepted unanimously after several months of work by the working group dealing with this change.

The following working papers were presented by the working groups at the meeting, show-

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Delegates from the 16 national dealer associations meet in Brussels Right: CLIMMAR’s permanent general secretary, Friedrich Trosse will be based in Brussels

ing the range of topics covered. ● Education Initiatives by the Netherlands and Germany, following previous work focussing on Recruitment, Retention and Development of Technicians from a working group headed

by BAGMA’s Keith Christian. ● Repair and Maintenance of Agricultural Tractors and New Tractor and Machinery Regulations were covered by Per Hedetoft from the Danish trade association who is doing an excellent job at representing CLIMMAR. ● Smart Farming Opportunities for Dealers in the future, particularly with robotics coming on stream, was supported by a CLIMMAR position paper. ● Dealer 2030 is a working group which presented its first report in 2017, outlining actions

What’s CLIMMAR? CLIMMAR, formed in France in 1953, stands for Centre de Liaison International des Marchhands de Machines Agricoles et Repararteurs.

The ‘c’ for ‘centre’ is set to change to Confederation soon.

There are currently 16 member countries representing just over 19,000 agricultural and land-based machinery dealers predominately in Europe, over 166,000 employees and nearly 3.5 million farmers.

that dealers and manufacturers need to take to secure the future of dealerships. It makes interesting reading and some of the predictions have already come to fruition.

In addition to the working papers, delegates presented their branch reports. These are submitted by each country every six months and show business trends and expectations in all departments of machinery dealerships.

Most countries have shown very positive business improvements during the last six months and are optimistic for the next six months but problems in the supply of new machinery and a shortage in the workforce are common problems across Europe.

The latest figures from the CLIMMAR Index, a survey of members’ members, was presented, showing sales remained at a high level in most of Europe – growing in most countries but static in Great Britain. However, there was little optimism for the coming months. The survey, conducted before the Russian invasion of Ukraine, showed that dealers do not expect further significant increases this year.

The final topic at the meeting was a discussion and presentation on the 67th CLIMMAR Annual Conference, which will take place in Budapest, Hungary, on October 6 and 7, 2022.

Having missed two years due to Covid, we hope this one will go ahead!

BAGMA BULLETIN MAY-JUNE 2022

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SPECIAL FEATURE

What’s the future for dealers?

David Withers, incoming president of the Agricultural Engineers Association (AEA) and managing director of ISEKI UK & Ireland, gives his view while also explaining what we can learn from Tesla LIKE SO MANY others, I came into this industry by accident. Not many kids leave school begging to be a turf machinery salesman, and I was the same, But having got into the industry, I have never in 35 years considered leaving it. It is a great industry where people still matter, the products make a difference to people’s lives and the environments we work in can be some of the most beautiful in the world.

I have had the tremendous opportunity to visit and spend time with customers in more than 50 different countries. I have had the joy of visiting Augusta, Pebble Beach, Wembley, Twickenham, the Normandy war graves, and St Andrews.

It has been amazing.

I started in the late 1980s working as a demonstrator at Charterhouse Turf Machinery, followed by 24 years at Textron – or Ransomes or Jacobsen, whichever you prefer – including six years working in the States. And now, I’m in my fifth year working with lovely tractors and mowers at ISEKI. I have enjoyed it all, worked with some great people and made lasting friendships.

So, what might the future hold for manufacturers and dealers in the coming years?

I think the big manufacturers will continue to use their enormous financial muscle and strategic vision to expand their product lines.

Either organically or by acquisition, manufacturers who are long liners will look to become even longer liners and those in the next tier down will look to emulate them.

You can see why: the advantages in leveraging SG&A (if I may revert to my American life!), diluting the costs of selling and marketing over a larger and larger revenue base is attractive. But it is not just that, it is also the ability to attract and retain the best distribution partners available by offering such a wide product range that as long as the partner has the required capital and scale then it is a win-win for both parties, though pos-

12

sibly for the dealer some sacrifice of control.

What about the other manufacturers who are not quite as large as the industry giants?

We will probably continue to see consolidation which has been happening over many years but off-set by new companies coming into the space. Others will see niche opportunities and be very happy to be niche players. Sometimes the margins available in these areas are significantly better than in more crowded areas.

We will continue to see new companies coming in based on the new technologies – autonomous machines, electric machines, intelligent machines – but will these companies go on to maturity or will they be snapped up by the existing players?

It is interesting to look at the automotive industry, where Tesla, for example, has certainly shaken up the previous status quo. It is not that Tesla technology is so massively different to the technology in the electric vehicle offerings from established manufacturers. I think it is pretty similar.

In most cases you would expect an industry giant to snap them up during their infancy, but they came in with massive funding in place and were therefore able to withstand the years of prerevenue losses as they built factories and processes. Will that happen in our industry or does its relatively smaller size mean it is unlikely that a start-up could come up with the mega-bucks

required to go from idea to mass production? It’s more likely they will get to proof of concept and then sell to an existing player.

For many manufacturers, the next few years will be interesting, If you have built a company on the excellence of your diesel or petrol engines, most likely over many years, it is a tough call to move away from a winning formula and accept that the market in future will not want your wonderful engines anymore, particularly when we have all just spent millions of dollars designing new engines to meet Stage 5 emissions; it is tough call to say forget all that and let’s become battery electric experts.

One area where I do not believe we will see a technology change is in the actual grass cutting method. Prior to 1832 there was only one way of cutting grass and that was a scythe. I guess we all know the story but since Edwin Budding worked out how to wrap one half of a pair of scissors round in a cylindrical shape and fix Tesla's Cybertruck

BAGMA BULLETIN MAY-JUNE 2022

SPECIAL FEATURE

the other as a fixed blade, there have been two ways of cutting grass. The rotary mower and flail are simply spinning scythes and so nothing has changed in almost 200 years and I don’t expect it to anytime soon.

What does this mean for dealers and distributors?

Dealers have also been consolidating – driven by manufactures to be bigger and to absorb neighbouring dealers and spread the fixed costs over higher revenues and larger areas. We have seen some of these larger dealers become importers and distributors in their own right and blur the lines between dealing and distributing. I would imagine that this approach will only increase in the future.

Much of what we do here follows on from what happens in the largest market in the world, the USA. There, corporatisation of dealers is further forwards – large venture capital outfits have been buying dealerships and then expanding their operations both geographically and in breadth of line offered. I think we will see more of that here as well, as dealer principals age out and look to retirement. The succession plans are not always there for a family member to continue the dynasty, so to monetise the going

BAGMA BULLETIN MAY-JUNE 2022

developers, mobile phone repairers, AI developconcern rather than simply close and liquidate ers? must become a potential way forwards for some If in the future products can be diagnosed dealerships. and fixed remotely, with the key items in the But there will be a divergence of dealers – as toolbox a laptop and mobile phone connection some move to being larger and more corporate, rather than a spanner and hammer, what will a possibly with different ownership structures, dealership physically look like? I, for one, don’t while others will want to stay family owned, know but I do think it is exciting and that those with low overheads, not trying to be everything companies that embrace the changes will probto everybody but specialists in their niche, and ably succeed in this changing world. focused on relationships with their chosen cusSo, new companies coming in, tomer base. These can also be very ONE AREA WHERE further consolidation both of mansuccessful. ufacturers and dealers, and changWhat really intrigues me is I DO NOT BELIEVE es in technology will undoubtedly where will the new dealers come WE WILL SEE A TECHNOLOGY make some winners and losers and from? there are no doubt changes to come.

Dealers who started in the 19th CHANGE IS IN Many that I have not even touched century – basically pre-internal THE ACTUAL on here and who knows what other combustion engine – were often GRASS CUTTING macro-economic shocks may be in blacksmiths before they became METHOD store for us in the future? farm equipment dealers and But what I am convinced about is the indusoftentimes did both roles in a town. 20th centry’s ability to survive and adapt to the challenges tury dealers often came out of automotive or ahead and I am sure that the AEA and BAGMA at any rate were at heart internal combustion will be there to help and support us all in an engine specialists and engineers. Hydraulics uncertain but exciting future. and diesel were core backgrounds.

Where will 21st century dealership start-ups This is an edited version of part of David's come from? Will it be spin-offs from software speech at the AEA Conference in London.

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LAMMA REVIEW

‘The addition of the Dealer Zone is a really positive step forward’ MAKING ITS DEBUT this year was the LAMMA365 Dealer Zone.

Showcasing some of the country’s most influential and market-leading dealers, the BAGMA-sponsored area gave visitors the opportunity to see a wide range of new and used machinery, after-sales support and farming technology.

Created with the help of BAGMA, the zone recognised the key role the UK dealer network plays in the agricultural sector and hosted a series of talks on topics such as servicing, maintenance, financing, farm safety, legislation and red diesel (see page 4).

NEW TRAINING COURSE For many years BAGMA has been delivering training to the UK dealer network on tractor and trailer brake testing and working with the DFT and HSE to improve tractor and trailer safety. BAGMA has recently introduced a new two-day training course that combines the inspection of tractor and trailers with a brake performance test.

At LAMMA, Andy Scarlett of Scarlett Research Ltd presented a short piece on tractor and trailer safety asking if vehicles were pushing the legal and physical limits and explaining many of the issues surrounding this subject. He explained the need for regular safety checks and some of the legal requirements owners and users face.

The AEA’s Look Behind You guide to tractor and trailer braking was covered along with the 140-page BAGMA Technicians Reference Guide for its training courses and inspection and reporting procedures.

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Claydon

Kubota Kubota (UK) took the covers off a cost-sensitive, five-model M6-001 Utility series tractor range. As the successor to the MGX models, the M6-001 Utility series spans 104-143hp, and meets EU Stage V emissions thanks to an improved exhaust after-treatment package that contributes to a lower cost of ownership. Short wheelbase models include the M6-101U and M6-111U, and both use a 3.8L Kubota V3800 four-cylinder engine. Maximum

power outputs are 104hp and 111hp, with maximum torque figures of 346Nm and 379Nm respectively.

These two models weigh 4.3 tonnes and use a 2.54m wheelbase.

Long wheelbase M6-121U, M6-131U and M6-141U use Kubota’s 6.1L V6108 four-cylinder engine. Power outputs are 123hp, 133hp and 143hp, with maximum torque figures of 503Nm, 544Nm and 586Nm respectively. These three larger models weigh 4.8 tonnes and use a 2.68m wheelbase.

Claydon launched a new 9m mounted Straw Harrow. Claydon developed this model to bridge the gap between the company’s popular 7.5m mounted and 12.5m trailed models. Manufactured in the UK by Claydon, it provides larger farms with greater flexibility and output, without incurring the higher cost of a trailed unit. The Claydon Straw Harrow is simple, robust, and effective. It achieves the high working speeds (15 to 25km/h) which are necessary to create a micro-tilth in the top 30mm of soil, as well as breaking up straw so that it decomposes rapidly.

It does so quickly and costeffectively, typically using just one litre of fuel per hectare.

Bobcat Bobcat displayed two additions to its R-Series agricultural telehandler range – the top-of-the-range TL43.80HF Agri 4 Star model and the compact TL30.60 telehandler.

John Christofides, regional sales director, said the new range “offers superior machines that combine all-day comfort, maximum productivity and reliability, intelligent features, a robust build with intuitive operation and excellent 360-degree ergonomics.”

Richard Western Richard Western’s pusher ram trailer made its UK show debut at LAMMA 2022. The principle behind the pusher-ram trailer design is that not only does it enable push-off discharge, but also load compression,

allowing the potential capacity of the trailer to be fully utilised, and forager harvester output to be thoroughly exploited, while also potentially reducing required trailer numbers. Further advantages include the ability to eject in restricted spaces, such as within sheds, and the possibility to partdischarge full loads.

BAGMA BULLETIN MAY-JUNE 2022

LAMMA REVIEW

What BAGMA members had to say about the new Dealer Zone

Massey Ferguson Massey Ferguson proudly displayed the MF 5S Series tractors which recently won a Red Dot Award for product design.

Thierry Lhotte, vice-president and managing director Massey Ferguson, Europe & Middle East, said: “Since its launch the MF 5S has quickly earned a superb reputation as the best in class dairy and livestock tractor. A great all-round-

er, the MF 5S is designed and built to handle a wide range of tasks with ease and comfort.

“This award clearly shows its excellent design, with the narrowest steep-nose bonnet delivering outstanding visibility. Along with its straightforward and dependable operation, it offers an industry-leading 4m turning radius and many other practical features for unrivalled versatility.”

Cousins Cousins of Emneth, celebrating its 70th anniversary this year, showed its new Low Disturbance Soil Loosener, which offers less disturbance, lift, mixing, moisture loss, fuel consumption and carbon release.

Both 3m rigid and 4m hydraulic folding linkage mounted models were at the NEC, fitted with the new Step Change Low Disturbance Leg and new Shark Fin Roller option. The Step Change Leg can also be retro-fitted to all existing Cousins V-form soil looseners,

giving users more versatility with their machine.

The Low Disturbance Soil Loosener has a working depth of 8-12ins and the Step Change Low Disturbance Leg can be changed to either the Micro-Wing, Quik Foot or Level Lift Tine to suit the task in hand.

“Great exposure to a new set of customers, really good quality enquires. It is a great platform for the new CAT partnership we are launching today.”

Peter Fleming, Cooks

“Really enjoying it here at LAMMA Show 2022 in the Dealer Zone, plenty of customers, plenty of people, plenty of cups of tea and coffee.”

Marley Lawrence, T H White

“The addition of the Dealer Zone is a really positive step forward for LAMMA and helps show the strength of BAGMA.” Ben Tallis, Tallis Amos Group

“It’s great to be with fellow dealers and to fly the flag of our own company and BAGMA.” Peter Heming, Heming

“From our perspective it is a great opportunity to come and exhibit and showcase our dealership. It’s not normal for us to exhibit at a national show; if every one was like this, we would be here every year.”

Stuart Cornthwaite, Cornthwaite

“We’re pleased LAMMA through BAGMA have asked us to be here. We wanted to come, there’s a big footfall here, lots of our customers, it’s a good opportunity to showcase our company.”

Anthony Deacon, MKM Agriculture

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OUT AND ABOUT

Royal Highland Show returns for anniversary event The Royal Highland Show is set to return this year, with the first full show since 2019 taking place at Ingliston from June 23-26.

2022 is a significant milestone in the Royal Highland Show’s history – marking the 200th anniversary since the very first show was held in 1822.

The four-day event provides a great opportunity for visitors to get up close to prize livestock, taste an amazing array of premium food and drink, and meet the team from BAGMA.

ScotGrass returns The triennial one-day grassland event, ScotGrass, returns to SRUC’s Crichton Royal Farm in Dumfries, Scotland, on Wednesday, May 18.

Organised by the AEA, it presents an opportunity to see the latest machinery in action on field scale plots and a live working clamp zone with commentated demonstrations.

Throughout the day, visitors will also have access to industry experts who will be on hand in the static exhibitor village to answer questions on technical subjects affecting the livestock industry, together with numerous product and service suppliers.

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Return to BAGMA Regional meeting AFTER MORE THAN two years without a meeting due to Covid, BAGMA’S business development manager Richard Jenkins joined members in Cornwall for the South West Regional meeting.

BAGMA has a strong presence in the South West in both garden machinery and agricultural dealers and the members were determined to meet again as soon as it became possible after the lifting of the Covid restrictions.

Richard joined members at the Eagle House Hotel in Launceston to discuss subjects such as Red Diesel, issues with supply chains and the forthcoming Royal Cornwall Show. “It was great to see so many members there and listen to Julian Fry from Devon and Cornwall Police give a talk on rural crime and farm security,” Richard said. Rural crime is on the increase with quad bikes number one

on the list currently for items stolen from farms.

The meeting and lunch were organised by Jackie Russell and Elliot Prior of Mason Kings.

The South West Regional group is always looking for BAGMA members to attend the two meetings each year, in March and October. Please contact Jackie should you or any work colleagues be interested.

BAGMA BULLETIN MAY-JUNE 2022

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Join hundreds of like-minded dealers We’ve been supporting independent, agricultural and garden machinery businesses across the UK since 1917. In this time, we’ve consistently delivered genuine business savings and benefits for members, as well as networking opportunities and business support.

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