Plows Global Market Report 2021: COVID 19 Impact and Recovery to 2030

Plows Global Market Report 2021: COVID 19 Impact and Recovery to 2030

  • May 2021 •
  • 175 pages •
  • Report ID: 6071835 •
  • Format: PDF
Major players in the plows market are Agrimir, Bomet Sp. z o.o. Sp.K, Baldan Machinery, KUHN, AGRO-MASZ, Kongskilde Agriculture, DEMBLON, BEDNAR FMT, Amazonen-Werke, and Aratri EMMEGIEMME.

The global plows market is expected to grow from $0.83 billion in 2020 to $0.92 billion in 2021 at a compound annual growth rate (CAGR) of 10.8%. The growth is mainly due to the companies rearranging their operations and recovering from the COVID-19 impact, which had earlier led to restrictive containment measures involving social distancing, remote working, and the closure of commercial activities that resulted in operational challenges. The market is expected to reach $1.26 billion in 2025 at a CAGR of 8.2%.

The plows market consists of sales of plow machines by entities (organizations, sole traders, or partnerships) that are engaged in manufacturing plow machines which are used to turn and break up the soil, to bury crop residues, and to help control weeds. Only goods and services traded between entities or sold to end consumers are included.

The emerging driverless tractors in the agricultural sector for better plowing and other farming activities is likely to be a trend in the plows market.For instance, John Deere revealed the autonomous concept tractor at a meeting in Spain in 2019.

The driverless tractor is a zero-emission tractor and has a power output of approximately 680 horsepower. Similarly, in 2019, Kubota corp. has started test-marketing of a tractor that can plow both wet and dry fields with the help of satellite location data. Therefore, technological development in tractors will increase the efficiency in farming and decrease the operational cost to the farmers.

The plows market covered in this report is segmented by product type into reversible plow; disc plow; ridge plow; chisel plow; moldboard plow. It is also segmented by application into large farm; private farm.

In April 2018, Indian tractor manufacturer, Tractors and Farm Equipment Limited (TAFE) acquired Serbian based tractor and agriculture equipment brand IMT for INR 45 million ($0.60 million). The acquisition will help TAFE to expand its footprint in the Balkans and Eastern Europe. The acquisition will also give TAFE the right to use the brand and intellectual property rights (IPR), including the designs, trademarks, and copyright (IPR) of IMT.

The expected rise in population that drives demand for agricultural products contributed to the growth of the plows market. According to the United Nations Organization, the worldwide population is expected to reach 9.7 billion by 2050 from 7.7 billion in 2020. With the growth in population, consumption of foods will increase and boosts the demand for the agriculture sector and agricultural products such as plows. The population growth in the next 30 years is expected to drive the plows market during the forecast period.

The fluctuating raw material prices for manufacturing agriculture equipment such as plows are expected to limit the growth of the plows market.The price rise in raw materials is the culmination of cost-push and demand-pull factors.

For instance, steel is a raw material for agricultural tools manufacturing, the cost of steel fluctuates depending upon the availability of iron ore and coking coal.Due to the Covid-19 pandemic, there is a shortage of iron-ore as there is a disruption in the supply chain.

In India, many steel companies increased prices a third time since the start of the pandemic by $36.43 to $40.48 per ton. Such fluctuating raw material price for manufacturing equipment would change the selling price of the plows and this has a negative impact on the plows market.