Higher commodity prices and strong BPS payments are providing British farmers a welcome boost following Brexit woes since 2016.
The favourable conditions within the market has led to a number of farmers entering into joint ventures or releasing capital from farms in order to trade up machinery or buy more land.
Cheffins, a second-hand machinery auctioneer, has reported a successful second quarter.
With six on-farm auctions having taken place in Q2 2018, total gross sales have topped £3.4m over a total of 1,872 lots.
Auctions have occurred across the UK, and the top selling lot for Q2 was a 2013 John Deere S680 combine harvester, which sold for £149,000.
The on-farm sales have also seen increasing numbers of UK farmers in attendance, looking to pick up second-hand items in place of buying new.
Bill King, Chairman of Cheffins said: “Higher BPS payments and rising commodity prices has directly led to a series of high value on-farm sales as UK-farmers begin to bounce back from the uncertainty experienced following the Brexit vote
“Whilst it cannot be denied that the future of subsidies remains unclear, the combination of positive factors within the market has helped the industry to start to return to normal.
“In a similar vein, we have seen a marked increase in the number of end-users attending auctions in order to trade up kit, illustrating improved confidence within UK agriculture.
“Another driving force in the market for second-hand machinery is UK-based dealers attending on-farm sales as they look to underpin stock following high demand over the past six months.”
Mr King said many farmers are not stopping expansions plans due to Brexit, with many having a spring in their step for change.
“The spring in farming’s step is a welcome change from the doom and gloom which has been sensed by many since June 2016,” Mr King added.