Brazil Agricultural Tractors Market Size

Brazil Agricultural Tractors Market Analysis

The Brazil Agricultural Tractor Machinery Market is projected to register a CAGR of 3.9% during the forecast period.

• Agribusiness is one of the main activities in Brazil and contributes significantly to the Brazilian economy. This has led to more investments, leading to the growth of the market of agricultural machinery and implements in the country. The increasing wage of labor and the growing land consolidation created a demand for agricultural mechanization and the Brazilian government's schemes and initiatives to facilitate financing and improve agricultural-related activities which are expected to boost the sales of tractors.
• Brazil is the second largest exporter of agricultural products globally, behind only the United States. Due to advancements in agricultural technology that benefit farmers all over the world, Brazilian farmers today are creating thriving agricultural operations on land that was considered agriculturally useless for hundreds of years. In addition, these operations are more productive, allowing for more harvest, and using less land.
• In Brazil, resource costs for farming are low relative to that of competitors largely because of lower land and capital costs, making it easier to expand acreage and increase productivity. Growth in production has exceeded growth in domestic consumer demand, leaving surplus production for more exports. The value of Brazil's agricultural exports in 2021 reached USD 125 billion, led by soybeans and soybean meal, sugar, beef, poultry, corn, cotton, pork, coffee, and citrus. Soaring demand from China has been at the root of much of Brazil's export growth. In 2021, China accounted for 39 percent of Brazil's total agricultural exports and 70 percent of the total volume of Brazil's soybean exports.