Europe Agricultural Machinery Market - Growth, Trends, and Forecast (2020 - 2025)

The Europe Agricultural Machinery Market is segmented by tractors, Plowing and Cultivating Machinery, Planting Machinery, Harvesting Machinery, Harvesting Machinery, Sprayers,  Irrigation Machinery, and Others.

Market Snapshot

Study Period:

2016-2025

Base Year:

2019

CAGR:

5.8 %

80% of our clients seek made-to-order reports. How do you want us to tailor yours?

Market Overview

The European agricultural machinery market is expected to register a CAGR of 5.8% during the forecast period of 2020–2025. Agriculture in the European Union has traditionally been a labor-intensive sector characterized with a higher number of seasonal immigrant workers working on farm fields in the member states. However, an acute shortage of farm labor has currently surfaced on the farm fields in the region. For instance, According to the German Association of Agricultural Employers (GLFA), the number of seasonal immigrant labor during the peak harvest times in Germany fell drastically in the last few years. The shortage of labor has led to increase in usage of tractors in the region. Factors like improved productivity through mechanization, and labor shortage, have led to the growth of the agriculture machinery demand. According to CEMA, a total of approximately 177,000 tractors were registered across Europe in 2018. Of these registrations, 39,784 tractors were under 50 hp and, consequently, 137,503 above 50 hp. 

Scope of the Report

For the purpose of this report, the machinery used in agricultural operations has been considered. The report does not cover machinery used for industrial and construction purposes, or multi-purpose tractors, machinery and equipment, used for both agricultural and non-agricultural operations.

Type
Tractors
Less than 50 HP
50 to 100 HP
100 to 150 HP
Above 150 HP
Equipment
Plows
Harrows
Cultivators and Tillers
Other Equipment
Irrigation Machinery
Sprinkler Irrigation
Drip Irrigation
Others
Harvesting Machinery
Combine Harvesters
Forage Harvesters
Other Harvesting Machinery
Haying & Forage Machinery
Mowers & Conditioners
Balers
Other Haying & Forage Machinery
Geography
Germany
France
United Kingdom
Spain
Italy
Russia
Poland
Rest of Europe

Report scope can be customized per your requirements. Click here.

Key Market Trends

Rising Farm Labor Costs

Agriculture in the European Union has traditionally been a labor-intensive sector characterized by a higher number of seasonal immigrant workers working on farm fields in the member states. However, an acute shortage of farm labor has currently surfaced on the farm fields in the region. According to the German Association of Agricultural Employers (GLFA), the number of seasonal immigrant labor during the peak harvest times in Germany fell drastically in the last few years, which has further led the way to a pilot project model enabling German farmers to hire workers from Western Balkan countries till 2020. The firm shortage is also reflected through the total percentage of employment in agriculture falling drastically from 5.19 in 2010 to 4.15 in 2018, as reported in the World Bank database. The farm labor crunch witnessed in the United Kingdom following the Brexit policy has further raised the wage rate in the country. Thus, a shortage of farm labor is giving way to rise in wage rates, thereby allowing the farmers to adopt farm mechanization including tractors in the region. As such, this is expected to boost the demand for tractor tires as well.

To understand key trends, Download Sample Report

France Dominates the Market

The market for agricultural tractors in France was 33,306 units in 2019 and witnessing a CAGR of 5.3% during the forecast period. France, like the other European nations, has been a pioneer in mechanizing the agriculture sector and is an important part of the European market. The factors, such as increasing total factor productivity in farming, reducing post-harvest loss, adding value to agricultural raw materials, and improving the quality of agricultural products are driving the market in this region. In 2017, due to the sharp decline in the sales of tractors in the first half, the European market remained negative until the first quarter. The tractors demand decreased nearly 20%, so the overall tractor market remained negative when compared to 2016 nearly by 3% in terms of units. According to CEMA, in 2018, however, the country saw a decline of 9% in the registrations of tractors. This was due to the pre-registration of tractors in the previous year. John Deere continued to hold the majority market share in agricultural tractors in France, followed by New Holland and Fendt.

To understand geography trends, Download Sample Report.

Competitive Landscape

Agricultural machinery market in Europe has about 4500 manufacturing companies. The European agricultural machinery industry is one of the developed markets in the world, driven primarily by the presence of a large number of global players like John Deere, CNH Industrial, AGCO Corporation, etc., in the region. The companies here thrive to strengthen their base on the basis of product features, pricing, quality, scale of operation and technology innovation Companies in Germany particularly work for sustainable development and profitability.

Table Of Contents

  1. 1. INTRODUCTION

    1. 1.1 Study Deliverables

    2. 1.2 Study Assumptions

    3. 1.3 Scope of the Study

  2. 2. RESEARCH METHODOLOGY

  3. 3. EXECUTIVE SUMMARY

  4. 4. MARKET DYNAMICS

    1. 4.1 Market Overview

    2. 4.2 Market Drivers

    3. 4.3 Market Restraints

    4. 4.4 Porter's Five Force Analysis

      1. 4.4.1 Bargaining Power of Suppliers

      2. 4.4.2 Bargaining Power of Buyers

      3. 4.4.3 Threat of New Entrants

      4. 4.4.4 Threat of Substitute Products

      5. 4.4.5 Intensity of Competitive Rivalry

  5. 5. MARKET SEGMENTATION

    1. 5.1 Type

      1. 5.1.1 Tractors

        1. 5.1.1.1 Less than 50 HP

        2. 5.1.1.2 50 to 100 HP

        3. 5.1.1.3 100 to 150 HP

        4. 5.1.1.4 Above 150 HP

      2. 5.1.2 Equipment

        1. 5.1.2.1 Plows

        2. 5.1.2.2 Harrows

        3. 5.1.2.3 Cultivators and Tillers

        4. 5.1.2.4 Other Equipment

      3. 5.1.3 Irrigation Machinery

        1. 5.1.3.1 Sprinkler Irrigation

        2. 5.1.3.2 Drip Irrigation

        3. 5.1.3.3 Others

      4. 5.1.4 Harvesting Machinery

        1. 5.1.4.1 Combine Harvesters

        2. 5.1.4.2 Forage Harvesters

        3. 5.1.4.3 Other Harvesting Machinery

      5. 5.1.5 Haying & Forage Machinery

        1. 5.1.5.1 Mowers & Conditioners

        2. 5.1.5.2 Balers

        3. 5.1.5.3 Other Haying & Forage Machinery

    2. 5.2 Geography

      1. 5.2.1 Germany

      2. 5.2.2 France

      3. 5.2.3 United Kingdom

      4. 5.2.4 Spain

      5. 5.2.5 Italy

      6. 5.2.6 Russia

      7. 5.2.7 Poland

      8. 5.2.8 Rest of Europe

  6. 6. COMPETITIVE LANDSCAPE

    1. 6.1 Most Adopted Strategies

    2. 6.2 Market Share Analysis

    3. 6.3 Company Profiles

      1. 6.3.1 CLAAS KGaA mbH

      2. 6.3.2 Deere & Company

      3. 6.3.3 Lely France

      4. 6.3.4 CNH Industrial NV

      5. 6.3.5 Kubota Corporation

      6. 6.3.6 AGCO Corporation

      7. 6.3.7 Same Deutz-Fahr

      8. 6.3.8 Yanmar Co. Ltd

      9. 6.3.9 Kuhn Group

  7. 7. MARKET OPPORTUNITIES AND FUTURE TRENDS

Related Reports