posted 19 hours ago
I recently watched a YouTube video that described the growth of the tractor industry from late 90’s till about 1950. It was interesting to see who bought a tractor, how it was affordable, and sheds light on today’s industry.
The video began in the late 1800’s. There had been coal fired steam engine tractors for a while but they were HUGE (I mean far larger than today’s tractors!), slow, and expensive. Only farm operations that were gigantic bothered to own one of these.
I suppose the first modern—as in small enough to easily transit roads—came about as first diesel and then gasoline and then again diesel engines powered the machines. The very first petroleum fueled tractors actually ran on kerosene, a very close substitute for diesel. These were at first expensive novelties until much cheaper gasoline engines became available. Fun fact, gasoline used to be considered a waste product of the petroleum industry and it was disposed of by burning, burial, or dumping into river, lake, ocean, etc. etc. But when gasoline was adapted to fuel small, cheap engines, it was then sold as a commodity. Nice trick—sell your poisonous, explosive, carcinogenic and highly flammable toxic waste!
At any rate, row-crop tractors appeared just as the American Frontier was closing. These great land-rush was over, which is bad timing for industrial production. These gasoline engine tractors were notoriously unreliable—they were unlikely to survive one year. They did not even have dust filters for the engine! By the time harvest was over, the machine was shot.
That sounds awful (it is), but those who owned a tractor were something like 4-5 times more productive than those without tractors, so they were worth the investment, even if they were extremely short lived.
Consequently, there was something of a revolution in the Midwest. Although there was no new land to own, most of the acreage on a farm was either pasture, or more likely just unbroken soil. Breaking ground by horse was so laborious that only a small amount could be done in a season, or for that matter, a lifetime! Midwestern land began a long process where increasingly more soil was brought into cultivation each year. This could not have been done by horse alone.
I will spare the comings and goings of various tractor manufacturers, almost all of which have either gone bankrupt or been bought out by larger companies. The focus I was struck by was that with the advent of the tractor, there began an approximately 70 year span of time where soil entered production at an ever-increasing rate.
Animals still did the majority of farm traction work (plowing, etc.) until about 1950! I had no idea that it took so long for a farm horse to become obsolete! And as draft animals became obsolete, so too did their pastures and field plots dedicated to their feed. In a sense, the American land rush did not end until sometime after 1950.
But, these were not good times for tractor manufacturers. They face the same issues then as today—there is no more land left for settlement. In the United States, farms got larger, making larger equipment more practical and efficient. This meant far fewer individual tractors sold. The market was diminishing from its own success.
Such is the case today that the real money-makers for tractor manufacturers are the huge tractors and not the old row-crop ones. But there is another side poking its head out—small landowners who just need a small tractor. Kubota was built on this very principle, and John Deere is all in. And there are an assortment of other manufacturers with a stake as well.
Ultimately I found it interesting how long draft animals were dominant, that productivity increase alone meant that even a small farmer could afford to buy a brand new tractor every year with no trade-in, and this last fact—that unlike cars, which most people expect to need as a basic fact of life, tractor manufacturers could not count on an increasing population of drive future sales. Tractor growth—until very recently—was driven by acquisition of new land, none of which is coming forth.
I get fascinated by turns of events like these—I mean I am a history teacher after all.
Eric
Some places need to be wild