Q&A with Jaco Kriel, John Deere Financial

Jaco Kriel matriculated at Vredendal High School 1991 and started working at Volkskas Bank after completing his national service. He has been in the banking industry for over 30 years, in various roles from teller to portfolio manager to business development officer (commercial asset finance) and Absa Private Banker. Jaco is based in the Western Cape, where he is the regional Finance Specialist for John Deere Financial.

What excites you about working at JDF?

Working at JDF allows me to be a part of a company that directly supports the agricultural sector, which is vital to both the economy and food security. Being able to contribute to farmers by helping them access the financial solutions they need.

I am proud to be associated with a brand like John Deere that has a very strong reputation as global leader in agriculture and technology.

What excites me most is the opportunity to make real difference, working with clients, understanding their needs and helping them succeed. It’s rewarding to know that my work contributes to something bigger than just finance, but to the success of the agricultural community.

What challenges do wine producers currently face and how does JDF help address them?

Increasing heatwaves and droughts are affecting grape quality and yields. The current drought in the Western Cape has already reduced production and increased irrigation costs. The result is lower yields and inconsistent product quality.

Another challenge is production cost. Producers facing higher labour cost and that makes them rely more on machinery (Harvesters, tractors etc). Rising input cost (Fuel, compost, pesticides ) places significant strain on profitability.

Export and trade challenges are also ever-present. Global wine consumption is declining while competition in other beverages is increasing. Current export tariffs make South African wine less competitive. Locally, wine consumption is relatively low compared to other drinks.

John Deere Financial plays an important role in addressing these challenges by offering accessible and flexible financing solutions. The purchase of new machinery requires a capital investment, which can place pressure on a business’s cash flow if paid up front. Through personalised financing options, John Deere Financial enables clients to acquire the equipment they need while maintaining financial stability and supporting ongoing operations.

What Finance options does JDF offer the wine industry?

There is a range of flexible finance solutions that are relevant to wine producers, particularly given the capital-intensive and seasonal nature of viticulture. JDF offers equipment finance which enables producers to acquire John Deere equipment. This financing can be structured as either new equipment finance or used equipment finance.

JDF provides customised asset finance solutions, personalised to the needs, scale and cash flow of each farming operation. JDF considers seasonal income patterns, allowing flexible repayment terms, such as yearly, quarterly, half-yearly and monthly payments.

We pride ourselves on having competitive rates on agricultural equipment and dedicated relationship support, ensuring a more personalised finance approach.

These finance options help to improve cash flow management, enabling investment in technology and sustainability and reducing the financial burden of large capital purchases.

What are the advantages of taking a line of credit with JDF?

Credit line offers the producer the comfort of having pre- approved finance from JDF. This makes purchasing decisions easier and saves time when a crisis hits mid-harvest and clients need to replace a Tractor, for instance.

The dealer or customer sends an invoice from the dealership to a JDF Finance Specialist, who will arrange a finance quote and, after agreement of the terms, arrange the signing of the contract. Then delivery can take place.

Contact John Deere Financial: www.deere.africa/en/finance/financing/contact-john-deere-financial/