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Coffee exchange for agricultural machinery is alternative to credit
New Holland began in 2015 to negotiate barter agricultural machines, accepting part or all of the funding in soybean sacks. Now, as a credit alternative, the brand started adopting the barter with coffee. With this, the producer gains access to high technology, visibility of investment in its currency (sacks) and directs efforts to increase crop productivity.
For Jefferson Kohler, New Holland’s marketing manager, barter operations have always mattered as a way to fund the producer. “For the brand this is an agile and safe model. The barter has been an alternative tool for financing machines in a time of credit shortage and can gain a greater representation in the agricultural machinery segment, “he points out.
Common among farmers for the acquisition of seeds, pesticides and fertilizers, the operation consists of the negotiation of agricultural machines for coffee sacks. “For New Holland, coffee deals are incipient, but with very positive potential for next year,” explains Kohler. In order to structure these negotiations we had the advice of Unibarter, a reference company in the subject and that led the operation with Louis Dreyfus Company, a leader in the commercialization and processing of agricultural products and one of the key partners of this program in Brazil.
New Holland prioritized the states of São Paulo, Bahia and Minas Gerais, the main coffee producers, to start this type of financing. The first negotiation took place in the municipality of Varginha (MG) with a tractor TT3880F. The producer can choose between paying the full value of the best coffee machines under 300 or a part of it, and the remainder financing on traditional agricultural lines.
For each commodity there are specific rules regarding deadlines and forms of negotiation. Marcelo Pavão, manager of the Igarapé concessionaire in Varginha, responsible for the first barter negotiation with New Holland coffee, says that now the customer has one more way to acquire the brand’s products. “My region produces far more coffee than soy and farmers have the option to trade and invest in machinery and technology for farming.”
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