Global Farm Tractors Industry

Global Farm Tractors Industry

  • April 2021 •
  • 462 pages •
  • Report ID: 1171472 •
  • Format: PDF
Abstract:
- The global Farm Tractors market is projected to reach US$93.7 billion by 2025, driven by the growing world population; the rising pressure on food production, productivity and yields; and growing importance of mechanized agricultural technologies against the backdrop of spiraling labor costs and labor shortages. Key benefits of mechanization driving its importance in sustainable agriculture include increases land productivity; relieves the burden of labor shortages; decreases the environmental footprint of agriculture; increases crop quality & yield in unit area; efficient use of expensive inputs i.e. seeds, fertilizers, pesticides & water; lower food prices & higher farm profits; and makes food security goals more attainable. Few of the factors driving uncertainty in labor availability and putting food security goals at risk and accelerating adoption of agricultural machinery as a coping strategy include reducing share of population working in agriculture as countries develop; increased migration of population to urban cities; industrialization and better employment opportunities in the manufacturing sector; aging society and unwillingness of the younger generation to participate in the agriculture sector; poor working conditions discourage participation in the agricultural sector; and inability of small farms and farm households to meet minimum wage requirements.
- Also benefiting growth in the market are technology innovations geared to enhance machine productivity, performance and reduce operator hazards. Cutting edge innovations have the ability to influence farmers attitude towards new technology adoption. While small tractors continue to be preferred in developing countries for their better productivity and lower total cost of ownership, large high power tractors remain popular in the United States and Europe supported by the agricultural requirements of large farms. The United States and Europe represent large markets worldwide with a combined share of 39.9%. China ranks as the fastest growing market with a 8.2% CAGR over the analysis period supported by the emergence of smart agriculture as a new industry in the country. Farming methods and practices are rapidly changing in China. From Northwestern Xinjiang to Jiansanjiang, several pilot projects are underway involving driverless tractors, satellites, drones, pest-detecting cameras and farmerless farms. Asia-Pacific excluding China follows next with a 7.8% CAGR led by factors such as pressure to meet food security goals; arable land scarcity, low potential for expansion and the ensuing emphasis on yield per hectare of land; and favorable agro policies supporting sustainable farming practices. Africa, with low farm mechanization also provides opportunities for future growth. In the developed countries, replacements and upgrades will drive a major portion of demand growth.

- Select Competitors (Total 83 Featured) -
  • AGCO Corporation
  • Argo Tractors S.p.A.
  • CLAAS KGaA mbH
  • CNH Industrial N.V.
  • CNH Industrial Österreich GmbH (Steyr Traktoren)
  • Deere & Company
  • Escorts Limited
  • Kubota Corporation
  • Mahindra and Mahindra Ltd.
  • SDF S.p.A.
  • Tractors and Farm Equipment Ltd. (TAFE)