Dublin, March 25, 2024 (GLOBE NEWSWIRE) -- The "United States Agricultural Machinery - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019-2029" report has been added to ResearchAndMarkets.com's offering.
The United States Agricultural Machinery Market size is estimated at USD 39.56 billion in 2024, and is expected to reach USD 53.70 billion by 2029, growing at a CAGR of 6.30% during the forecast period (2024-2029).
Rising mechanization in the country's agriculture sector and the surge in farmers' income are likely to be a primary factors driving the growth. Further, the extensive pressure to improve agricultural land productivity is expected to foster over the forecast period, which will directly promote the tendency of farmers or land operators toward incorporating agricultural machinery in farming.
The farmers in the country have been able to avail themselves of timely subsidies on agricultural machinery purchases. This, in turn, has helped even small-scale farmers invest in the country's agricultural machinery. Additionally, technologically advanced agricultural robotics, like autonomous tractors, plowing and cultivating machinery, planting machinery, sprayer irrigation machinery, and haying and forage machinery to help United States farmers produce food at low costs to fulfill the growing demand for food, are anticipated to be better prospects for market growth during the coming year. However, high initial procurement costs and high maintenance expenditures will be a barrier to the market.
Furthermore, several players in the country are taking initiatives to boost the market's growth. For instance, in March 2021, John Deere developed the first factory-installed, integrated tractor and planter solution, ExactRate, in the United States.
Therefore, an increase in demand for large-capacity farm machinery due to a shortage in farm labor, favorable government subsidies for farm mechanization, and technological innovation to develop innovative agricultural machinery are the factors driving the market growth over the forecast period.
Increasing Average Farm Size
American agriculture and rural life underwent a tremendous transformation in the 20th century. Early 20th-century agriculture was labor intensive, and it took place on many small, diversified farms in rural areas where more than half the U.S. population lived. On the other hand, agricultural production in the 21st century is concentrated on a smaller number of large, specialized farms in rural areas where less than a fourth of the U.S. population lives.
The increasing farm size in the country is leading to a drop in the number of farms in the United States. According to USDA, there were 2.02 million farms in 2020, which has decreased to 2.01 million farms in 2021 due to productivity in agriculture and increased nonfarm employment opportunities. Almost 50% of the farms in the country are family-operated farms.
As per the United States department of agriculture, the average farm size was 441 acres in 2017, which increased and reached 445 acres in 2021. The primary reason for the consolidation of the farm is profitability. More significant the farm size higher the profitability.
Furthermore, as the labor cost increases year on year and managing a larger farm, more laborers are required, which decreases the profitability of the farms. As a significant portion of the profits goes for the labor payments, also managing farms based entirely on labor is a time taking process that does not suit the farm owners; hence the farm owners are using agricultural machinery in farming.
Therefore, the increased labor costs and increased average farm size make farmers adopt agricultural machinery in farming, fueling the market growth studied during the forecast period.
Cultivators & Tillers Holds Dominates the Market in Ploughing and Cultivating Machinery Segment
The demand for tillers and cultivators is anticipated to increase with the increasing acceptance of machinery over manual work in agricultural fields across the country. There is a rising concept of incorporating autonomous robotics into agriculture to reduce the reliance on manual labor, while increasing efficiency, product yield, and quality. For instance, an automated cultivator was developed by the US Davis Smart Farm, California, as a part of its research initiative. The reduction in the complexity of the technologies used is anticipated to boost the demand for cultivators and tiller machinery in domestic gardening and agricultural applications.
Furthermore, the environmental drawbacks of chemical weed control and its other limitations are reintroducing the mechanical cultivation methods in the country, which is further projected to increase the demand for the tiller and cultivator machinery market in the country during the forecast period. The increase in the number of luxurious villas and homes with winding garden walkways lined with trees, magnolia, chamomile, and begonias will augment the sales of garden tillers and cultivators in the country.
Many homeowners in the country, despite the commercial farmers, are investing in gardening projects. The growing focus on organic foods is resulting in a growing number of consumers developing their own organic vegetable gardens in their backyards. As garden spaces increase the home value, there is growing interest in planting different types of shrubs, trees, and herbaceous plants in residential yards.
Municipalities are stepping up their investments in environmental horticulture to create public gardens and ornamental horticulture to rehabilitate degraded sites. A strong emphasis is laid on gardenscapes due to the commercial benefits of having gardens. Thus, the above-mentioned factors are benefiting the demand for cultivators and tillers such as smaller petrol-powered tillers for domestic purposes.
USA Agricultural Machinery Industry Overview
The United States Agricultural Machinery Market is a consolidated market, with few major players dominating the market. The major players in the market are Deere & Company, Kubota Corporation, AGCO Corporation, CNH Industrial, and Mahindra Agriculture North America, among others. Mergers & acquisitions, partnerships, expansion, and product launches are the business strategies adopted by the major players in the market.
Key Topics Covered
1 INTRODUCTION
1.1 Study Assumptions & Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Porter's Five Forces Analysis
5 MARKET SEGMENTATION
5.1 Tractors
5.2 Plowing and Cultivating Machinery
5.2.1 Ploughs
5.2.2 Harrows
5.2.3 Cultivators & Tillers
5.2.4 Others
5.3 Planting Machinery
5.3.1 Seed Drills
5.3.2 Planters
5.3.3 Spreaders
5.3.4 Others
5.4 Harvesting Machiney
5.4.1 Combine Harvesters
5.4.2 Forage Harvesters
5.4.3 Other Harvesters
5.5 Haying and Forage Machinery
5.5.1 Mowers
5.5.2 Balers
5.5.3 Others
5.6 Irrigation Machinery
5.6.1 Sprinkler Irrigation
5.6.2 Drip Irrigation
5.6.3 Others
5.7 Other Agricultural Machinery
6 COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Deere and Company
6.3.2 CNH Industrial
6.3.3 Mahindra Agriculture North America
6.3.4 AGCO Corporation
6.3.5 KUBOTA Corporation
6.3.6 Farmtrac Tractor Europe
6.3.7 Deutz-Fahr
6.3.8 Claas KGaA mbH
6.3.9 JOST Werke AG (Alo)
6.3.10 Kuhn Group Inc.
6.3.11 Kverneland Group
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
For more information about this report visit https://www.researchandmarkets.com/r/qgrpq1
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
Attachment
