The global autonomous tractors market size was valued at $1,560.1 million in 2020, and is projected to reach $11,588.8 million by 2030, registering a CAGR of 20.9% from 2021 to 2030. Autonomous tractors are a type of farm machines that operate without the requirement of human presence inside the tractor. Autonomous tractors are equipped with GPS systems, sensors and other technologies such as vision systems, which makes them capable of operating without continuous human intervention. The primary objective in development of autonomous tractors is to enhance efficiency and reduce human intervention.
The rise in global autonomous tractors market growth of the demand for agricultural yield. As cultivable land is limited and the output of the farm is depending on external environmental conditions, it is necessary to control efficiency of processes such as tillage, seed sowing, harvesting and fertilizing. The use of autonomous tractors helps significantly increase the accuracy of various farming processes; thereby, increasing the yield of the farm. Furthermore, tractors can be connected with a wide range of attachments as per requirement, thereby making it complex to handle and prone to human errors. The use of autonomous tractors helps in minimizing these errors. Also, autonomous tractors offer optimum labor utilization and enable farmers to efficiently manage various farming operations simultaneously. In addition, use of autonomous tractors for activities such as tillage and seed sowing, significantly increase the effectiveness of irrigated water.
According to United Nations, the world population is anticipated to increase by around 2 billion people, and reach 9.7 billion by 2050. India, Nigeria, Pakistan, the Democratic Republic of the Congo, Ethiopia, the United Republic of Tanzania, Indonesia, Egypt and the U.S. are projected to account for 50% of the increase in population increase. The increase in populations is also expected to be more evident in Sub-Saharan Africa and Asia-Pacific region. For instance, by 2027, India is anticipated to overtake China as the world’s most populous country. This increase in population will significantly increase the demand for increased agricultural output, thereby fueling the use of advanced and efficient machines such as autonomous tractors market.
Major governments across the globe are also launching initiative to boost the agriculture industry. For instance, according to India Brand Equity Foundation, the Indian government announced PLI schemes for food processing industry that offers incentives of around $1484 million over the next six years starting from 2022. And India received $1 billion in agritech funding between 2017 and 2020. Thus, increasing investments in the agriculture industry positively influence the autonomous tractors market share. In addition, major players in the industry are launching autonomous tractors that are easy to use. For instance, in January 2022, Deere & Company, launched a fully autonomous tractor that can be operated using John Deere Operations Center Mobile system.
GPS is expected to hold a majority share of the market throughout the study period
The novel coronavirus has rapidly spread across various countries and regions, causing an enormous impact on the lives of people and the overall community. It began as a human health condition and has now become a significant threat to global trade, economy, and finance. The initial lockdowns resulted in created a scarcity of labor in many regions of the world, thereby creating the autonomous tractors market opportunity. The COVID-19 pandemic has halted the production of many components of autonomous tractors due to the lockdown. Furthermore, the number of COVID-19 cases are expected to reduce in the near future as the vaccine for COVID-19 is introduced in the market. This has led to reopening of autonomous tractors manufacturing companies at their full-scale capacities. This will help the market to recover by the start of 2022. After COVID-19 infection cases begin to decline, autonomous tractor manufacturers must focus on protecting their staff, operations, and supply networks to respond to urgent emergencies and establish new methods of working.
The trend of rapid urbanization, has significantly reduced the rural population, thereby creating a labor shortage for agricultural activities in many regions of the world. The use of autonomous tractors helps in optimum use of manpower, thereby reducing the wastage of yield that would be caused due to shortage of labor.
Non-residential segment is projected to grow at a significant CAGR
The global autonomous tractors market is segmented on the basis of component, application, and region. By component, the market is categorized into sensor, GPS, vision system, and others. On the basis of application, it is categorized into tillage, harvesting, seed sowing, and others. Based on power output the market is classified into Less than 30 HP, 30-50 HP, 51-100 HP and More than 100HP. Region wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. North America dominated the market in 2020, accounting for the highest share, and is anticipated to maintain this trend throughout the forecast period. This is attributed to decrease in labor for agricultural activities and development of advanced technologies by many private players.
Key companies profiled in the autonomous tractors market report include AGCO Corporation, Autonomous Solutions, Inc., Autonomous Tractor Corporation, CNH Industrial, Deere & Company, KINZE Manufacturing, Kubota Corporation, Mahindra & Mahindra, Trimble, and Yanmar.
North America held a dominant position in 2020 and would continue to grow at a significant CAGR during the forecast period.
Key Benefits For Stakeholders
- The report provides an extensive analysis of the current and emerging autonomous tractors market trends and dynamics.
- In-depth autonomous tractors market analysis is conducted by constructing market estimations for key market segments between 2021 and 2030.
- Extensive analysis of the market is conducted by following key product positioning and monitoring of top competitors within the market framework.
- A comprehensive analysis of all the regions is provided to determine the prevailing opportunities.
- The global autonomous tractors market forecast from 2021 to 2030 is included in the report.
- The key players within autonomous tractors market are profiled in this report and their strategies are analyzed thoroughly, which help understand the competitive outlook of the autonomous tractor industry.
Autonomous Tractors Market Report Highlights
By POWER OUTPUT
The autonomous tractors market has witnessed significant growth in past few years, owing to increase in food demand and favorable government policies.
The necessity of enhancing efficiency of agricultural activities, owing to increased food demand, has fueled the use of advanced technology in agriculture. Tractors are a versatile machine that can be used for a wide range of agricultural activities. Thus, use of autonomous tractors, helps farmers to boost farm efficiency. Furthermore, various players in the industry, have focused on development of easy-to-use autonomous tractors. In addition, awareness among farmers in developed countries regarding importance of reducing wastage of yield positively influences the market.
Moreover, supportive government initiatives and innovative technological advancements are anticipated to boost the use of autonomous tractors. Thereby providing lucrative opportunities for the growth of the autonomous tractors market.