European Agriculture Tractors Market Outlook, 2024 - Push for Agriculture Mechanization from Policy Makers Drives Growth
DUBLIN, Jan. 21, 2020 /PRNewswire/ -- The "Europe Agriculture Tractors Market-Size, Trends, Competitive Analysis and Forecasts (2019-2024)" report has been added to ResearchAndMarkets.com's offering.
The agriculture in Europe is predominantly mechanized and the sales of agriculture equipment have been steady in the region. The growing demand to increase farm productivity, enhance the quality of output and eliminate the reliance on human labor has put the agriculture equipment industry in focus in Europe.
The tractor is the most important section of the agriculture equipment market and accounts for major market share in Europe. The EU region is the biggest tractor manufacturer in the world. Germany is the largest exporter of tractors in the world, with an export share of 21% of total world exports in 2018. France the UK, and Italy are also major exporters of tractors, each with a share of world exports corresponding to roughly 10%.
The Europe agricultural tractor market was valued at USD 16.7 billion in 2018 and is forecasted to grow at a CAGR of 5.8% from 2019 to 2024.
The emphasis placed by the governments on farm mechanization and subsidies on farm equipment is pushing the demand for agricultural tractor market in the region. Moreover, the objective to increase farm productivity, reduce post-harvest losses and sustainability against the reducing number of farm laborers has created a stable platform for the growth of the tractor market in the region.
However, the high cost of tractors remains a hindrance in the growth of the market, particularly in countries like Spain, Italy, and Greece which are recovering from the economic slowdown. The bigger tractors are much in demand in developed countries like the UK and Germany, while the segment of smaller tractors primarily dominates the markets in Finland, the Netherlands, and Italy.
The market has been segmented based on the:
- End applications: Utility, Row crop, Garden type, Orchard type, Rotary tillers, and Implement carriers.
- Horse Power: Below 40 HP, 40 HP-100 HP and Above 100 HP
- Wheel Type: Two Wheel and Four Wheel
Competitive Landscape
The tractor market in Europe is concentrated with the market share of the three largest manufacturers corresponding to two-thirds of the market. Region wise, the market is concentrated in Western Europe and the market in Eastern Europe is gradually expanding with economic stability. The huge economies of scale in production entail high barriers to entry in the market and stimulates further consolidation by mergers and acquisitions. The necessity of dense distribution and service networks, as dealers have to be located in a 25 to 35 km radius of the farmer to comply with an immediate demand for service, acts as another hindrance for the new entrant.
Competition on local markets is consequently restricted to only a subset of the national distributors, intensifying market concentration. Thus, due to high fixed costs of distribution, only a few global players can enter small and sparsely populated markets like Finland and Sweden. Concentration, coupled with evident brand loyalty, suggests that trade obstacles across national borders add to the possibility of firms exercising market power.
Key Deliverables
- Market trends since 2015 and five-year forecasts of market growth
- Detailed analysis of the micro and macro elements influencing demand trends
- Identifying opportunity spaces across segments and countries
- Supply & demand side trend and analysis
- Price trend analysis, investment prospects and competition pattern
- Insights on the growth potential of the market in key countries
- Detailed analysis of major producers covering financial investments & strategies adopted
- Competitive landscape of the industry
Key Topics Covered
1. Introduction
1.1 Research Methodology
1.2 Scope of the Study
1.3 Assumptions
2. Summary
2.1 Market Summary By Type
2.2 Market Summary by Geography
3. Industry Dynamics
3.1 Drivers
3.1.1 Growing Access to Subsidies and Credits for Farm Machinery in Asia
3.1.2 Push for Agriculture Mechanization from Policy Makers
3.1.3 Focus to Increase Cropping Intensity
3.1.4 Dwindling Agriculture Laborers Due to Urbanization
3.2 Restraints
3.2.1 Diminishing Area Under Agriculture
3.2.2 Increased Number of Fragmented Landholding in Asia
3.2.2 Consolidating Farmland Under Contract Farming & Co-Operatives
3.3 Opportunities
3.3.1 Growing Emphasis on Precision Farming
3.3.2 Hill Agriculture
3.3.3 Gender Friendly Tools and Equipment
3.3.4 Crop Specific Package of Machines
3.4 Porter's Five Forces Analysis
3.4.1 Bargaining power of Suppliers
3.4.2 Bargaining power of Buyers
3.4.3 Degree of Competition
3.4.4 Threat of Substitution
3.4.5 Threat of new entrants
3.5 Future Trends in the Industry
3.6 Value Chain Analysis
3.7 Industry Policies & Regulations
3.8 Market Innovations
4. Market Size and Forecast
4.1 Market Share, By Types
4.1.1 Utility Tractors
4.1.2 Row crop tractors
4.1.3 Garden Tractor
4.1.4 Orchard Tractor
4.1.4 Rotary Tillers
4.1.5 Others
4.2 Market Share, By Horse Power
4.2.1 Below 40 HP
4.2.2 40 HP-100 HP
4.2.3 Above 100 HP
4.3 Market Share, By Wheel Type
4.3.1 Two Wheel
4.3.2 Four Wheel
5. Country Market Share
5.1 Europe
5.1.1 Germany
5.1.2 U.K.
5.1.3 France
5.1.4 Spain
5.1.5 Italy
5.1.6 Russia
5.1.7 Others
6. Competitive Analysis
6.1 Market Share Analysis
6.2 Growth Strategies of leading players
6.3 Investment and Development Prospects
6.3.1 Investment in past five years
6.3.2 Investment Opportunities
6.4 Competition Pattern
6.4.1 Concentration Ratio
6.4.2 Industry Competition
6.5 Price Trend Analysis
6.5.1 Product Classifications and Their Prices
6.5.2 Factors Influencing Prices
7. Company Profiles
7.1 AGCO Corp.
7.2 Claas KGaA mbH
7.3 CNH Industrial N.V.
7.4 Deere and Company
7.5 Deutz-Fahr
7.6 Escorts Limited
7.7 Kubota Corporation
7.8 Kuhn Group
7.9 Mahindra & Mahindra Ltd.
7.10 Tractors and Farm Equipment Ltd.
7.11 Yanmar Company Limited
For more information about this report visit https://www.researchandmarkets.com/r/lnxldt
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