Half-Price Foreign Tractors

Half-Price Foreign Tractors TRACTORS New Tractors 6-2-5 Sales of those cut-rate foreign tractors "dumped" on the U.S. market and being marketed by Menard Agri-Buildings appear to be off to a slow start, despite their attractive price tag of under $150 per horsepower. Menard has 14 area offices scattered throughout Minnesota, Iowa and Wisconsin. In checking with all seven Menard outlets in Minnesota shortly before this issue went to press, all reported "tremendous interest", but only two of the seven said they'd sold and delivered any of the imported Fiat tractors. Walt Brachvogel, manager of the Sauk Rapids outlet, said he'd sold one, and Menard's Carlton, Minn., office reported selling three tractors. Menard reportedly purchased 1,059 foreign-made Fiat tractors manufactured in Argentina. There are five models ù 48, 72, 90, 113 and 133 hp ù and prices range from $6,999 to $19,900 , which figures out to less than $150 per horsepower, about half the going price for comparable horsepower conventional tractors. Menard gave the tractors a new name (Agri-Power), repainted them, and is offering optional hydraulics, cabs and loaders. Advertisements describe them as being equipped with "heavy-duty 3 pt. hitches, fully synchronized transmissions, differential locks and super heavy duty throughout. Heaviest frame in the industry." A memo prepared for distribution to its dealers by the Allis-Chalmer's Co. notes that: "The tractors were built in Argentina, some as long ago as 1978 or earlier. Fiat was not able to sell this collection of surplus equipment in either Argentina or Italy. Somehow, they managed to `dump' them on the U.S. market. It is realistic to expect Menard or another æmerchandizer' to solicit Allis-Chalmers dealers for sales because of the purchases from Fiat Trattori. Dealers should be dissuaded from buying this equipment. Allis-Chalmers will neither provide nor warrant any service parts sold for use on one of these units. Because many are discontinued, it is not likely that Allis-Chalmers parts are compatible. It may not be possible for anyone to provide parts in this situation. "These tractors are primitive in appearance and function. They do not provide the high productivity features that the American farmer needs and wants, nor will they offer the comfort and convenience that he will be satisfied with. In addition, this equipment has not been manufactured under the standards of the Allis-Chalmers Quality Control System and does not meet our engineering specs and qualifications. In our opinion, any Allis-Chalmers dealer who decides to market these tractors will do himself a disservice and will discredit the image of his dealership." Menard is offering no service on the tractors but does have a limited parts warranty for one year from date of purchase. The buyer gets free replacement parts for the first year (or 1,000 hrs.) but has to find his own shop to do the service work, or do it himself. Says Joe Kline, Dawson, Minn., who with his brother Clarence bought one of the first Agri-Power tractors sold in Minnesota; "We realize there are some risks involved but, on a cost per horsepower basis, it looked like a good deal to us." The Klines paid $7,176, including tax, for a 48 hp model 4000 Agri-Power tractor. "Other makes in this horse-power range were right at $15,000 so we saved about $8,000. We've had good luck with a Deutz tractor we bought a couple of years ago so that's one reason we were willing to take a chance on this one. We plan to use it for haying and lighter work, and maybe to pull a grain drill this spring. We'll probably put a cab on it," Joe told FARM SHOW. For more information, contact: Menard Agri-Buildings, Rt. 2, Eau Claire, Wis. 54701 (715 874-5921).

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