Needs fixing: inquiry

The Productivity Commission has called for more practical steps that could make it easier for farmers to get their machinery repaired and enforce consumer guarantees.

In its Right to Repair report, the commission found many independent repairers have difficulty accessing spare parts, the right tools and the information they need to repair products, in particular for agricultural machinery.

The revenue from the repair and maintenance of agricultural machinery was estimated at about $720 million in 2018.

The Productivity Commission’s draft report found the competition in the agricultural machinery repair sector is ‘‘limited’’.

It echoed a finding from a recent Australian Competition and Consumer Commission Cause for concern . . . report, that found weak competition in the market ‘‘reduces purchaser access to genuine choice, and may result in higher prices agricultural businesses were charged by authorised repairers, small family-owned businesses, lower levels of customer service, resulting in limited bargaining and unnecessary delays in power against dealers and accessing repairs and servicing’’. multinational manufacturers.

The ACCC report found purchasers For agricultural machinery, of agricultural machinery access to diagnostic software would benefit from more independent tools was the primary barrier, competition in servicing according to the commission. $87

PER * and repair markets. One proposal to rectify the

WEEK is to require manufacturers The National Farmers’ Federation situation told the Productivity Commission to provide independent inquiry that agricultural repairers and consumers access manufacturers refused to supply to repair information, tools and technical information, diagnostic spare parts. tools and parts to anyone outside In addition, the commission their authorised network. proposes a change to copyright

“Of the concerns raised in submissions, law to allow independent about 80 per cent repairers to legally access and

d$e2al’,8,990 related to a ‘refusal to share manuals and software where manufacturers refused to diagnostics. provide repair supplies to anyone John Deere Australia and New outside their authorised network,” Zealand managing director Luke

81 the interim report said. $ Chandler PER was one of a number of

*

The VFF said the majority of maWchEiEnKery industry representatives

who wrote a submission to the inquiry.

He rejected any allegations that owners of John Deere equipment are prevented or limited from performing repairs.

“Deere supports our customers’ right to maintain and repair their equipment, but not the right to

162

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* modify embedded PER code in equipment, whichWrEaEiKses safety, emissions and intellectual property infringement and misuse concerns,” he wrote in his submission.

“JDL considers that the markets for the sale of agricultural machinery and after-sales services and repair in Australia $54,990 are competitive, and that there are no industry-wide issues which would warrant legislative intervention beyond the retention 119 of $ existing competition PER and consumer

* law pWroEEteKctions.”

He said John Deere did not void the warranty in the event a customer used non-John Deere parts or utilised a service provider other than an authorised John Deere dealer.

Machinery and appliance repairs are growing in revenue at a rate of 3.7 per cent each year.

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* Commissioner Julie PER Abramson said although conWsuEmEKers had considerable rights to have their products repaired, refunded or replaced under consumer guarantees, it could be difficult for them to exercise these rights.

“We also recommend further powers be given to regulators to help consumers resolve their

2w8ith,9m9an0ufacturers complaint$

s or suppliers,” Ms Abramson said.

The commission is calling for submissions to its Right to Repair

119 inquiry, with $ a final PER report to

* government due in OWcEtEoKber.