October 19, 2017

Rent-to-purchase preferred option over outright purchase

It’s not a situation that can be likened to a train smash in equipment sales in the plant and hire sector, according to a third quarter assessment of the plant hire sector released by Construction and Mining Equipment Suppliers Association (CONMESA).

The report shows a rise in sales in the plant hire sector. Additionally, it says a the continued growing trend towards ‘rental with option to purchase’ options, rather than the investment in new equipment, as was previously the case.

Other positive trends recognised by CONMESA in the third quarter include a rise in sales in the plant hire sector and the continued growing trend towards ‘rental with option to purchase’ options, rather than the investment in new equipment, as was previously the case. “There is also a shift by end users to commission OEM’s to maintain equipment through formal service and maintenance contracts, as opposed to in-house maintenance teams,” notes the report.

Association members have identified chief factors behind weak economic growth in the third quarter of 2015 as a consequence of extended labour strikes, high wage demands, lethargic investor confidence and ongoing power shortages.

Related posts

Leave a Reply

Your email address will not be published. Required fields are marked *

Time limit is exhausted. Please reload the CAPTCHA.