The global agriculture market is predicted to witness significant growth in coming years owing to rising demand for food across the globe. Agriculture involves cultivation of land and breeding of plants and animals to provide fiber, food, and medicinal substances in order to enhance life. Farmers sow different types of seeds on regular intervals in accordance with climatic conditions. They make use of fertilizers and various irrigation techniques to maintain crop growth and finally harvest them by using advanced machines. Tractors, planters, harvesters, loaders, and sprayers are the different types of machines used in farming.
Growing demand for food owing to increasing population is anticipated to propel market growth. In addition, introduction of advanced machines for agriculture purposes is likely to make farming easier for farmers, which could, in turn, impel market growth in coming years. Supportive initiatives by government to promote agriculture including low interest loans and awareness programs related to advanced farming techniques can also drive the market in coming years. Availability of bio-based fertilizers that prevent crops from pests and growing health concerns among consumers is expected to spur market growth. Rising adoption of greenhouse technology among farmers to improve sustainability, productivity, and profitability can further impel market growth. The technology allows farmers to grow crops even in temperate regions, where climatic conditions are not favorable. It can protect plants from adverse conditions, such as cold, wind, excessive radiation, insects, and extreme temperature.
Scarcity of water and electricity required for irrigation purposes can hamper market growth. Inability of farmers to provide sufficient water to crops for proper growth can lead to crop damage. In addition, lack of awareness among famers regarding advanced farming techniques, such as greenhouse technology, can restrict market growth in coming years.
However, supportive initiatives by governments to provide sufficient amount of water to farmers and introduction of awareness programs to educate farmers about latest technologies can create lucrative opportunities in the market.
The market can be segregated on the basis of type and products. Various types of agriculture are intensive subsistence, commercial plantations, and Mediterranean. Key products associated with the market include fiber, food, fuels, and raw material.
Asia Pacific is a leading region in the market due to growing adoption of improved varieties of crops including wheat, rice, and maize among farmers. Increasing areas under irrigation coupled with extensive use of fertilizers can also propel regional market growth. Rising production of livestock products, such as milk, eggs, and meat, owing to improvement in livestock breeding is expected to have a positive impact on market growth in coming years. Growth of fishing and horticulture in developing countries can further stimulate market expansion. In addition, launch of advanced machines by local manufacturing companies to promote farming can contribute to market growth in future. For instance, Mahindra & Mahindra launched semi-autonomous tractors in India. These tractors offer a wide range of solutions in remote driving and precision farming.
North America is anticipated to witness robust growth in the market attributed to growing adoption of modern techniques and machines in farming. United States is a key contributor to regional market growth due to rising adoption of rotating crops by famers to replenish the land naturally. Interspersing cover crops can prevent growth of weed and promote predator insects to address pests. In addition, increasing use of holistic grazing techniques by farmers to boost food production and apply reverse diversification can augment market expansion. Supportive government initiatives to educate local farmers regarding better techniques of farming can further stimulate market growth in the region. For instance, John Deere launched four-wheel-drive 3028EN tractor offering advanced technology and features. The machine is suitable for paddy and orchard farming.
Europe is likely to emerge highly lucrative owing to increasing financial support by the European Union (EU) for local farmers. The EU is expected to encourage farmers to adopt environment-friendly practices and invest in development of rural areas. Collaborations between EU institutes to form food and farming policies is also likely to boost market growth in future. Implementation of EU laws by the local and national authorities is likely to contribute significantly to regional market growth.
Some of the leading companies operating in the agriculture market are Mahindra & Mahindra, John Deere, Kubota Tractor Corporation, Escorts Group, and The Mosaic Company.
Research Support Specialist, USA