Agricultural Equipment Market is Expected to Grow with a CAGR of 5.8% From 2021 to 2028
The Global Agricultural Equipment Market was valued at USD 110.32 Billion in 2020 and is expected to grow at a Compound Annual Growth Rate (CAGR) of 5.8% between 2021 to 2028.
Agricultural equipment includes machinery and solutions that aid farmers during the process of farming. They replace the conventional labor methods of farming a land, with modern machines and equipment, providing the farmers with improved and better ways, for agricultural purposes.
Rising adoption of energy saving solutions, increasing population, growing agricultural land and enhanced acceptance of modern machinery are some of the key factors that are augmenting the growth of the agricultural equipment market worldwide.
However, the COVID-19 pandemic brought in worldwide lockdown, business shutdowns and import and export restrictions. The manufacturing units for machinery and equipment were closed off and their supply chain was disrupted as well. This disrupted their sales and revenue thereby, halting the expansion of the agricultural equipment market.
Moreover, the challenges that come along with the utilization of agricultural equipment such as expensive installation charges and understanding of the equipment, their proper care, usage, and maintenance, further restrain their market.
Although, the colossal benefits offered by the agricultural equipment such as highly automated processes, enhanced efficacy and productivity, increased labor, and time efficiency, along with others, provide an enthralling opportunity for the growth of agricultural equipment market.
Globally, Asia-Pacific is dominating the agricultural equipment market and this dominance can be attributed to the rising awareness and well-established agricultural sector in the region.
Subsequently, North America contributes to the agricultural equipment market majorly. This share is accredited to the rising technological advancements and economic growth and development in the region.
Some of the major players operating in the global agricultural equipment market are John Deere, CNH Industrial N.V., AGCO, Kubota Corporation, Mahindra & Mahindra Ltd., Alamo Group, Iseki & Co. Ltd., Bucher Industries AG, Lovol Heavy Industry Co. Ltd., and Kuhn Group among others.