SUPPLY CHAIN
Strickland also urges growers assess the status of their current portfolio of equipment.
“If you have a backlog of repairs, consider investing in new equip- ment sooner and connect with your local dealer,” Strickland says.
If a grower is unable to secure a product they need, Strickland emphasizes the importance of communication with local dealers.
“Communicate with your local dealer; we are in close contact with them to understand their needs and are doing everything we can to support them as they look to support you,” Strickland says. “Planning ahead and being able to adjust as necessary are key to helping over the long run.”
McKenna Corson can be reached at
mckennacorson@irrigation.org.
A closer look
Electronics and critical raw materials like resin vital for the production of plastic molded parts have greatly been impacted by the supply chain disruptions, says Joe Strickland, the vice president of global irrigation operations at Valmont Industries Inc., Omaha, Nebraska.
“Shortages with silicon manufacturing (microchips) are a problem since it impacts every aspect of the machine manufacturing arena,” Strickland says. “New silicon capacity takes four years to come online so it will continue to be a concern.”
Resin and other polymers have experienced significant price hikes per the low supply and high demand. To avoid these price increases, ag professionals have started putting in a greater number of orders.
“The more orders you get with the capacity and the inventory that you have, if the influx is a lot and they all come at the same time, our lead times are going to be longer and longer as orders come in,” says Carlos Estrada, director of supply chain for Rivulis Irrigation-North America, San Diego.
But for those customers purchasing more items and expecting them to be shipped right away with a four-to-five- week lead time, there will just be another price increase.
“We’re really trying to mitigate some of those cost increases for our customers so that they don’t feel the pain, but in some cases, you just are not able to do that,” Estrada says.
Summer 2022 | Irrigation TODAY 19
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