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Friday, 08 October 2021 09:55

Major changes ahead for NZ tractor market

Written by  Mark Daniel
CNH Industrial Agriculture Australia and New Zealand managing director Brandon Stannett. CNH Industrial Agriculture Australia and New Zealand managing director Brandon Stannett.

In a move that is expected to have a significant impact in the New Zealand farm machinery supply sector, CNH is taking over importing and the distribution of its Case IH and New Holland tractor brands. 

Following the route favoured by other multinationals, CNH has reached agreement with CB Norwood Distributors (trading as Norwood) to relinquish its distributor status following a transition period. The change will come into effect in July 2022, ending a period of 17 years where Norwood has acted as the importer/distributor for Case and New Holland.

CNH Industrial Agriculture Australia and New Zealand managing director Brandon Stannett says both companies recognised the benefits of the change.

“CNH Industrial and Norwood see this as an opportunity to drive efficiencies in the supply chain and for both companies to focus more on our respective roles in that process,” he claims. “This change draws us closer to the dealer network and of course, to customers.”

Stannett says the changes will speed up the time it takes to get product to market, with machines moving direct from the factory to the dealer. On the support front, he says there will be day-to-day parts support from local dealers, an expanded parts supply held in key locations throughout NZ and back up support from Australia.

On the product front, Stannett adds that there will be appointments made in key areas such as sales, service, parts, product management and communications – with business hubs likely to be established in places like Hamilton and Christchurch.

“Norwood is viewing the shift very positively. This change reflects a global trend in how OEM businesses take their products to market,” says Tim Myers, chief executive of C B Norwood Distributors Ltd.

“We will be able to focus on bestin- class customer experiences, using our network approach to allow us to leverage our reach and scale to better serve customers. As well as selling and servicing world-class agricultural machinery, we’re better positioned to front foot the changes in farming with technology-led products and services, so we can be genuine partners that support farmers, in what are frankly uncertain times.”

Myers says Norwood’s retail footprint will remain unchanged.

During the transition, both parties say these behind-the-scenes changes will have no impact on operations.

Norwood’s sales, parts, service and warranty support for New Holland and Case IH tractors, harvesters and equipment will continue as normal. For suppliers of the Case IH and New Holland network, which are independently owned, existing agreements and processes for dealerships will remain unchanged during the transition process. CNH Industrial says it continue to work closely with these dealerships.

“It’s our intention for a seamless transition with a renewed emphasis for our customers on delivery efficiencies, service, capital, parts supply and support.”

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