Global Agriculture Equipment Market – Industry Analysis
Global Agriculture Equipment Market was rated US$ 125.50Bn in 2019 and is projected to hit 250.30Bn by 2027, at a CAGR of 9.01 percent over a forecast period. The study provides the review of effects of COVID-19 lock-down on the sales of market leaders, supporters, and disruptors.
Because locking in various regions and countries has been applied differently, the effect on regions and segments is often somewhat different. The prevailing short- and long-term demand effect was addressed in the study, which allows policy-makers to draw up short-term and long-term plans for businesses across continents.
In various farming methods, agriculture equipment retains a wide variety of machines and tools used to improve production and contribute to the overall cultivation efficiency. One of the driving drivers on the global market in agriculture machinery is the shift in farmers’ choice from animal to manual operations in agriculture.
The aim of farmer’s efforts to automation and to improve their investment power is transferred to factors like government policies for growing agriculture’s operations, rapid urbanisation and saving time. In addition, farmers are faced with financial difficulties in replacing old equipment with new equipment that can limit global demand growth in agriculture equipment.
In the global agriculture equipment industry, the tractor division is anticipated to rise in the forecast timeframe at a 20 percent CAGR rate. Agricultural engineering involves a wide variety of instruments and machinery used to improve the quality of crops and extend the productivity of various agricultural processes. Government funding for farmers to buy farming machinery to operate more proficiently in developed countries across the globe.
In India for example, Rashtriya Krishi Vikas Yojana offers subsidies to farmers to buy subsidised agricultural tractor machinery. Different governments take steps to educate farmers of the advantages of the use of agricultural machinery in agriculture. Farmers also gain information on loan policies, credit funding and benefits of contract farming from some of the leading players in the region.
Agriculture Equipment Market Report:
The global Agriculture Equipment Market size for 2018 was projected at USD 139.0 billion and will rise by 8.9% in 2019 to 2025 at a compound annual growth rate (CAGR). A main driver driving the industry is the introduction of contemporary farmer technology to raise farm yield and satisfy the increasing demand for food. Various new farm machines are now replacing conventional agricultural methods, such as ploughs, tillage and seeders. In different methods, specialised farm equipment such as spraying machinery, hay and drilling machinery, harvesters and irrigation and crops processors are used to improve overall crop quality and efficiency. Due to the growing use of advanced technology in farm machinery, the global demand is expected to expand significantly over the projected time frame.
For example, different manufacturers of farm machinery concentrate on incorporating technology such as Google Earth, GPS and robotics into the existing unit to increase efficiency. The government’s subsidies and low prices for farmers in developing countries to implement agriculture equipment are another important explanation for the projected growth.