Combine Harvester Market Size, Growth, and Future Prospects 2031

Combine Harvester Market Size, Growth, and Future Prospects 2031

Key Report Findings

• Favorable Government Support: Expected to aid the growth of the combine harvester market.
• Labor Shortage and Need for Advanced Machinery: Creates ample opportunities for the combine harvester industry.
• North America: Accounts for a significant share in the combine harvester market.
• Asian Countries: Anticipated to witness momentous opportunities in the forthcoming years.

https://www.fairfieldmarketresearch.com/report/combine-harvester-market

Market Analysis in Brief

In 2022, the global combine harvester market demonstrated stable growth, valued at approximately US$50 Bn. According to a preliminary study by Fairfield Market Research, the market is projected to continue its steady growth trajectory through 2030. With over 180 years of history, John Deere stands as the largest combine harvester company globally. The Asia Pacific region is expected to reinforce its top regional standing in the coming years.

Growth Drivers

Consistent Shortage of Labor

The rise in industrialization and urbanization has significantly transformed various businesses, including agriculture, a labor-intensive industry. Rapid urbanization has resulted in a decline of adequate labor, pushing farmers and agriculture business owners to adopt advanced machinery for routine farming activities. This shift has fuelled the demand for combine harvesters, which are essential for harvesting and cleaning grain and non-grain crops.

Growing Agricultural Mechanization

Manufacturers are developing affordable agricultural machinery, making it accessible for small and medium-scale farmers. The increase in awareness and adoption of novel technology has positively impacted the agriculture sector, leading to a rise in agricultural mechanization. This trend is expected to continue as the number of agricultural workers declines. For instance, the Indian Council of Food and Agriculture predicts a 25% reduction in agricultural workers by 2050 in India, further driving the demand for combine harvesters.

The mechanization of agriculture farms reduces labor costs, saves time, reduces costs associated with crop production, minimizes losses during post-harvesting activities, and enhances crop outputs and farm incomes. This backdrop indicates an increasing need for farm mechanization, bolstering the growth of the combine harvester market.

Government Support

Agriculture has been the backbone of several economies for decades. Governments worldwide have encouraged the adoption of modern technology in the agricultural sector to improve farm outputs, offering incentives and subsidies to make it economical and convenient for farm owners to purchase new equipment like combine harvesters. For example, the Indian Department of Agriculture, Cooperation & Farmers Welfare provides a 40% subsidy on project costs, limited to 24 lakhs, to rural entrepreneurs. Such incentives are expected to bode well for the combine harvester market.

Growth Challenges

High Costs and Seasonal Demand

Combine harvesters are complex machines that require significant investment. The high price point can be a considerable challenge for small and mid-sized farmers. Additionally, the demand for these machines is often seasonal, making it difficult for manufacturers to maintain consistent production levels year-round, potentially hindering the market's growth.

Growth Opportunities Across Regions

North America Likely to Cement Dominance

Labor scarcity in North America continues to positively influence the combine harvester market. The need to replace old agricultural machinery with advanced models favors the market, encouraging farm owners to adopt innovative technology to enhance farm outputs while saving costs and reducing losses. The United States is expected to account for a considerable market share due to the growing inclination towards agricultural mechanization and the availability of modern equipment like combine harvesters. According to the Association of Equipment Manufacturers, sales of self-propelled combine harvesters in the US increased by 15.8% in 2022 compared to 2021, significantly boosting the market's growth in North America.

Asia Pacific to Prevail as a Key Revenue Pocket

The Asia Pacific region is anticipated to offer substantial opportunities for the combine harvester market. A steady rise in the use of advanced agricultural equipment, backed by farmers' inclination towards modern technology adoption, contributes to this growth. Additionally, favorable government support for developing agricultural operations has supported technology proliferation in the sector. Emerging economies like China and India, with increasing agricultural activities, are expected to pave an opportunistic landscape for the combine harvester market in Asia Pacific.

Combine Harvester Market: Competitive Landscape

Major players in the combine harvester market include CLAAS, Kubota Agricultural Machinery, John Deere, Yanmar Co. Ltd., Zhengzhou Amisy Machinery Co. Ltd., Iseki & Co. Ltd., Kuhn SA, New Holland, AGCO Corporation, Foton Lovol International Heavy Industry Co. Ltd., and Buhler Versatile Incorporated. To gain a competitive edge, established industry players are focusing on new product launches, partnerships, collaborations, acquisitions, and alliances.

Conclusion

The global combine harvester market is set to witness steady growth driven by labor shortages, agricultural mechanization, and favorable government support. While high costs and seasonal demand pose challenges, opportunities in regions like North America and Asia Pacific are expected to propel market growth. Major players in the market are leveraging strategic initiatives to strengthen their market position, ensuring a competitive and dynamic landscape.