GVR Report cover Agriculture Equipment Market Size, Share & Trends Report

Agriculture Equipment Market Size, Share & Trends Analysis Report By Application (Harvesting & Threshing, Sowing & Planting), By Product (Tractors, Harvesters), By Region, And Segment Forecasts, 2019 - 2025

  • Published Date: Jan, 2019
  • Base Year for Estimate: 2018
  • Report ID: GVR-1-68038-455-0
  • Format: Electronic (PDF)
  • Historical Data: 2014 - 2017
  • Number of Pages: 110

Report Overview

The global agriculture equipment market size was valued at USD 139.0 billion in 2018 and is expected to grow at a compound annual growth rate (CAGR) of 8.9% from 2019 to 2025. Adoption of modern technologies by farmers to increase farm yield and meet the soaring demand for food is expected to be a key factor driving the market. Traditional farming techniques such as plows, tillage, and seeders are now being replaced with various modern agricultural machinery. Advanced farming machinery such as spraying equipment, hay and forage equipment, harvesters, and irrigation and crop processing equipment is being used in various processes to enhance overall crop output and quality.

Asia Pacific agriculture equipment market

The global market is expected to witness significant growth over the forecast period owing to rising incorporation of innovative technologies in farm machinery. For instance, various farm machinery manufacturers are concentrating on integrating technologies such as Google Earth, GPS, and robotic systems into present equipment to improve productivity. Another key reason for the predicted growth is government subsidies and low rates offered to farmers in emerging countries to adopt agricultural machinery.

Agriculture equipment enable easy farming; it makes the process simpler and more profitable by enhancing crop quality and reducing labor cost. The market is expected to witness high growth over the forecast period owing to amalgamation of several novel technologies in this arena. Rise in global population is increasing the demand for food, thereby increasing pressure on agriculturists to innovate time- and cost-efficient methods of production. This is projected to spur the farm machinery market.

Technologically-advanced agricultural robotics, such as ground-based sensors, autonomous tractors, and flying drones, aid farmers in producing food at low costs to fulfill growing demand for food. Farmers are gradually becoming tech-savvy and adoption of GPS software products and tractors equipped with telematics are anticipated to spur sales of agriculture machinery over the forecast years. Furthermore, growing usage of cost-cutting strategies for designing farm equipment is projected to offer key growth opportunities players. An escalating number of suppliers, coupled with growing number of government subsidies, is predicted to offer growth avenues for market expansion.

Product Insights

Tractors emerged as the leading product category and contributed to over 25.0% of the total revenue in 2018. These vehicles are essential farm machinery used for several activities, both as a standalone equipment and in tandem with other implements. Additionally, sale of tractors is expected to continue over the forecast period owing to increasing rate of mechanization as well as growing population, thereby resulting in increased pressure on food production and productivity.

Harvesters are expected to account for a share of over 21.0% in the agriculture equipment market by 2025, registering a CAGR of more than 10.0% over the forecast period. This growth is attributed to the fact that farmers are increasingly preferring harvesters to increase production and limit dependency on farm labor. Furthermore, harvesters offer high productivity and fuel economy, which are some of the other factors anticipated to drive product demand through 2025.

Application Insights

The land development and seed bed preparation segment accounted for about 23.0% in 2018. Harvesting and threshing applications, on the other hand, are anticipated to exhibit the highest CAGR of more than 10.0% over the forecast period. The primary factor behind increasing demand for farm products across several applications, such as land development, plant protection, harvesting, and sowing and planting, is shortage of farm labor. Since agriculture is a labor-intensive and time-consuming process, labor employment has become expensive. This is further aggravated by the fact that there is scarcity of localized labor supply across the globe owing to shift of focus among people toward other jobs.

Global agriculture equipment market

Tractors equipped with technologies such as Global Positioning System (GPS) for vehicle and row tracking help capitalize on increased agricultural yield. Agriculture machinery used for sowing and planting, weed cultivation, plant protection, harvesting and threshing, and post-harvest and agro processing aid in increasing agricultural yield.

Regional Insights

Strong economic growth in developing countries such as China, India, and Middle Eastern countries is projected to drive the farm machinery industry. Asia Pacific is expected to emerge as the largest market and witness the fastest growth over the forecast period. China alone held over 30.0% of the regional revenue in 2018. Regional growth can be ascribed to low level of mechanization and large area of agricultural land. However, mechanization of various agricultural processes is evolving progressively in Asia Pacific, which is estimated to spur demand for agricultural machinery over the forecast period.

North America held a share of over 22.0% in 2018 and is anticipated to exhibit strong growth by 2025. This is ascribed to introduction and utilization of machines with better fuel efficiency and improved features. Additionally, shortage of farm labor is expected to be one of the factors driving demand for farm equipment in North America.

Key Companies & Market Share Insights

The global market is highly competitive owing to the presence of few prominent players, along with several medium- and small-scale players accounting for the market share. Key players in the market include John Deere, AGCO, Mahindra & Mahindra, CNH Industrial N.V., Iseki & Co., Ltd., and Kubota. These players compete on parameters such as quality and availability of products as well as technological advancements. Furthermore, mergers and acquisitions are being undertaken as an attempt to gain market share and expand their product portfolio. 

For instance, in October 2017, AGCO Corporation announced the acquisition of Lely’s Hay and Forage division. The division includes a range of products, such as rakes, mowers, tedders, loader wagons, round balers, and tillage products. This acquisition was aimed at AGCO Corporation expanding its existing range of hay and forage products.Some of the prominent players in the agriculture equipment market include:

  • John Deere

  • AGCO

  • Mahindra & Mahindra

  • CNH Industrial N.V.

  • Iseki & Co., Ltd.

  • Kubota

Agriculture Equipment Market Report Scope

Report Attribute


Market size value in 2020

USD 156.12 billion

Revenue forecast in 2025

USD 244.2 billion

Growth Rate

CAGR of 8.9% from 2019 to 2025

Base year for estimation


Historical data

2014 - 2017

Forecast period

2019 - 2025

Quantitative units

Revenue in USD billion and CAGR from 2019 to 2025

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Product, application, region

Regional scope

North America; Europe; Asia Pacific; Latin America; Middle East & Africa

Country scope

U.S.; Canada; U.K.; Germany; France; Italy; Netherlands; Spain; Denmark; Russia; China; India; Japan; Singapore; South Korea; Taiwan; Australia; Brazil; Mexico; UAE; Saudi Arabia; South Africa

Key companies profiled

John Deere; AGCO; Mahindra & Mahindra; CNH Industrial N.V.; Iseki & Co., Ltd.; Kubota

Customization scope

Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global agriculture equipment market report based on product, application, and region:

  • Product Outlook (Revenue, USD Billion, 2014 - 2025)

    • Tractors

    • Harvesters

    • Planting Equipment

      • Row Crop Planters

      • Air Seeders

      • Grain Drills

      • Others

    • Irrigation & Crop Processing Equipment

    • Spraying Equipment

    • Hay & Forage Equipment

    • Others

  • Application Outlook (Revenue, USD Billion, 2014 - 2025)

    • Land Development & Seed Bed Preparation

    • Sowing & Planting

    • Weed Cultivation

    • Plant Protection

    • Harvesting & Threshing

    • Post-harvest & Agro Processing

  • Regional Outlook (Revenue, USD Billion, 2014 - 2025)

    • North America

      • The U.S.

      • Canada

    • Europe

      • The U.K.

      • Germany

      • France

      • Italy

      • Netherlands

      • Spain

      • Denmark

      • Russia

    • Asia Pacific

      • China

      • India

      • Japan

      • Singapore

      • South Korea

      • Taiwan

      • Australia

    • Latin America

      • Brazil

      • Mexico

      • Argentina

    • Middle East & Africa

      • UAE

      • Saudi Arabia

      • South Africa

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