THE rising Australian dollar value and high stock levels of equipment have machinery buyers well-placed to invest in new gear.

Machinery suppliers around the country are also urging potential buyers to take advantage of the Federal Government's 50 per cent investment allowance, which is available until the end of the month.

According to AGCO Australia Challenger product manager Anthony Ryan, equipment such as large horsepower tractors should prove attractive buying.

"Generally in December harvest is still continuing in Southern Australia so the focus is not on buying tractors for the next seeding season," Anthony said.

"However, we have a number of customers wanting to utilise the Government's 50 per cent investment allowance and we are expecting most of the supply of large tractors for seeding in 2010 to have customer names against them earlier than normal."

Evidence of the better trading conditions for machinery importers has seen AGCO announce a decrease to its recommended retail pricing for high horsepower Challenger tractors, sourced from North America.

The Challenger range comprises several tracked tractors rated at 238kW to 436kW and articulated wheel tractors from 328kW to 436kW.

The 955C wheeled, articulated tractor, which has a rated engine power of 354kW is priced at $423, 500, about $10,000 cheaper than 12 months ago, according to Anthony.

The price drop reflected the strength of the Australian economy, he said.

"We have been able to purchase machinery at better pricing from the US and we have passed this along in cost savings to our customers," Anthony said.