Business · Economy · 1 hr ago
Falling farm incomes weigh on agricultural machinery investment
The 2026 Eima agricultural machinery fair opened in Bologna as farmers face rising production costs and falling incomes.
Eima is organised by FederUnacoma, the association of Italian manufacturers of agricultural machinery.
Farmers receive only a limited share of the money consumers spend on food: about a quarter of the value added in Europe’s food chain, according to FederUnacoma.
Lower incomes are holding back investment in new machines and technology.
By October, registrations in Italy had fallen 5.4% for tractors, 9% for transplanters and 7.3% for trailers, while combine harvesters were up 10.4%.
Machinery sales are also down in major overseas markets, including the United States, Canada, Brazil and several European countries.
FederUnacoma estimates the value of Italian tractor production will fall 4.7% in 2026, to €1.8 billion.
Falling agricultural incomes are weighing on investment in machinery and technology, as rising production costs erode farmers’ earnings.
The 2026 Eima agricultural machinery exhibition opened in Bologna amid this difficult market outlook.
FederUnacoma data to October showed lower registrations for tractors, transplanters and trailers in Italy.
Agricultural machinery sales also fell in several major international markets.
FederUnacoma estimated that the value of Italian tractor production would fall by 4.7% in 2026, to €1.8 billion.
- Who
- Farmers and agricultural machinery producers, including those represented by FederUnacoma.
- What
- Falling farm incomes and weaker machinery sales are weighing on investment in agricultural technology.
- When
- The 2026 Eima exhibition opened on 10 November; market figures were updated to October.
- Where
- Bologna, Italy, where Eima opened; the reported market declines also cover several countries.
- Why
- Rising production costs are eroding farm incomes and making investment in machinery harder to support.
This story does not have two clearly opposing sides.
Tractor sales fell 13% in the United States, while declines were also reported in Canada and Latin American markets.
FederUnacoma’s latest Italian registration data showed declines for tractors, transplanters and trailers.
The 2026 Eima agricultural machinery exhibition opened in Bologna.
- Italian tractor registrations
- Down 5.4% in data updated to October
- Italian transplanter registrations
- Down 9% in data updated to October
- Italian trailer registrations
- Down 7.3% in data updated to October
- Italian combine harvesters
- Up 10.4%, with 245 machines sold
- Estimated 2026 tractor production value
- Down 4.7% to €1.8 billion
What people are saying
Agricultural producers receive a very limited share of the price consumers pay.