Farm Equipment Market - Trends Forecast Till 2028

Market Overview

The global farm equipment market size is anticipated to reach USD 95.2 billion by 2020 growing at a CAGR of 4.6% during the forecasting period, 2020-2028.

Factors such as increasing government support towards farm loan waivers/credit finance, increasing incentives to support rental operations are some of the major factors for the farm equipment market. Growing mechanization in agriculture, along with an increase in farmer income, is predicted to be a significant driver of growth of the farm equipment market share. Technologically improved A.I. agricultural robots, such as self-driving tractors and flying drones, can assist farmers in producing food at a cheap cost in order to meet the rising need for food.

OEMs worldwide are now facing a semiconductor scarcity as well as increased commodity prices for steel, aluminum, and other raw materials. As a result, OEMs are unable to balance supply and demand, which may allow OEMs to raise product prices by 4% to 22% in the coming quarters of 2022, a trend that is likely to continue until 2023. However, increased crop output in Asian nations, particularly in China and India, as well as the need to replace aged equipment, are projected to fuel market expansion.

Also check Report on Autonomous Driving Market

According to Association of Equipment Manufacturer, total farm tractor sales in the United States increased by 0.3 percent in December compared to 2020, while self-propelled combine sales increased by 25.3 percent. These advances amounted to a total rise of 10.3 percent for tractors and 24.7 percent for combine harvesters for the year.

The high initial cost of agricultural equipment is expected to be one of the barriers to adoption, particularly for low-income farmers. To address such problems, the rental sector is likely to be one of the new income sources for market growth. Additionally, growing demand in the construction industry in countries such as Singapore, the United States, Kuwait, Malta, Japan, China, Hong Kong, and others has resulted in individuals moving their emphasis to a work, resulting in a labor shortage to operate agricultural equipment and gears.

Key Findings

According to Farm Equipment Market report analysis, low-horsepower tractors will rise at the fastest pace in North America by the end of 2021, while high-horsepower tractors will see an increase in demand in 2022.

North America has been a dominant market for crawler tractors and is expected to continue being a key region with steady growth in the coming years. Europe and Asia-Pacific are also expected to experience rapid growth in this segment.

The global farm equipment system market is segmented into Equipment Type, Power Output, Drive Type, Application, and Geography.

The Equipment Type segment is segmented into tractor, harvester, planting equipment, irrigation & crop processing, spraying equipment, hay & forage equipment, and others

Power Output segment is segmented into <30 HP, 31-70 HP, 71-30 HP, 131-250 HP and >250 HP

The Drive Type segment is segmented into two-wheel drive and four-wheel drive  

Application is further segmented into plowing & cultivating, sowing & plantation, plant protection & fertilizing, harvesting & threshing, and others

Geographically, the global farm equipment system market is sub-segmented into North America, Europe, Asia-Pacific, Middle East and Africa and South America and insights are provided for each region and major countries within the regions

Regional Analysis

Asia-Pacific region is the largest contributor to the farm equipment market in the forecast period 2020-2028 

Competitive Landscape

Key players in the global farm equipment market are John Deere, CNH Industrial, AGCO, CLAAS, Mahindra & Mahindra, FlieglAgro-Center GmbH, Agromaster, Amazone Inc., APV GmbH, Bellota Agrisolutions, CLAAS KGaAmbH, Escorts Limited, HORSCH Maschinen GmbH, ISEKI & Co., Ltd., J C Bamford Excavators Ltd, Quivogne CEE GmbH (Kiwon RUS LLC), Rostselmash, KRUKOWIAK, KUHN SAS, LEMKEN , GmbH & Co. KG, MascarSpA, MaschioGaspardo S.p.A, MaterMacc S.p.A, Morris Equipment Ltd, SDF S.p.A., Tractors and Farm Equipment Limited (TAFE), Väderstad AB, Valmont Industries, Inc, and Kubota.

Recent Developments

The companies have come up with various promotional activities in from of launch, investment, acquisition, and other, for instance:

• In 2020, New Holland, Legambiente, and CNH Industrial launched the ‘Evoluzione Terra’ project for the growth of sustainable and social farming in Italy
• In 2019, John Deere, John Deere launched a new range of technology and power-driven tractor, and harvester 

Hence, tremendous progress has been made over the last decade and yet a lot more to come in recent years.

Reasons to Acquire

• Increase your understanding of the market for identifying the best and suitable strategies and decisions on the basis of sales or revenue fluctuations in terms of volume and value, distribution chain analysis, market trends, and factors
• Gain authentic and granular data access for the farm equipment market so as to understand the trends and the factors involved in changing market situations
• Qualitative and quantitative data utilization to discover arrays of future growth from the market trends of leaders to market visionaries and then recognize the significant areas to compete in the future
  • In-depth analysis of the changing trends of the market by visualizing the historic and forecast year growth patterns

Report Scope