Australia Agricultural Machinery Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 6.02 Billion |
| Market Size (2029) | USD 7.01 Billion |
| CAGR (2024 - 2029) | 3.10 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Australia Agricultural Machinery Market Analysis
The Australia Agricultural Machinery Market size is estimated at USD 6.02 billion in 2024, and is expected to reach USD 7.01 billion by 2029, at a CAGR of 3.10% during the forecast period (2024-2029).
Agriculture accounts for roughly 4% of Australia's GDP. The nation has consistently progressed in agricultural mechanization. Rising demand for agricultural machinery stems from a push for enhanced productivity and quality, even as the farming population dwindles. In 2023, Australia's agricultural machinery sales hit USD 5.9 billion, up 5.4% from 2022, as reported by the Tractor & Machinery Association in "The State of the Industry 2023". Sales of combine harvesters and headers were notable, raking in USD 1.17 billion. Meanwhile, new tractor sales saw a 1.8% uptick, influenced by a shift away from lower HP ranges.
Advanced technologies, such as AI and robotics, alongside investments from major players and a surge in government initiatives, have fueled the demand for agricultural machinery. A case in point: In 2022, John Deere unveiled its P600 Precision Air Hoe drills, boasting a 15.5% wider working width and 24% lighter weight than the P500, aiming to reduce compaction, labor time, and fuel use while enhancing productivity and seed-soil contact. Australian farmers have been gradually becoming tech-savvy, and the adoption of GPS software products and tractors equipped with telematics is anticipated to spur sales of agriculture machinery over the forecast years. Furthermore, the growing usage of cost-cutting strategies for designing advanced farm equipment is projected to offer key growth opportunities for players.
Australia Agricultural Machinery Market Trends
Rising Preference for Farm Mechanization
Australian farmers are increasingly turning to innovative techniques, such as data science, automation, and advanced communication technologies, to modernize their agricultural machinery. This includes tractors, harvesters, and irrigation equipment. For example, in 2023, John Deere introduced its 1 Series Round Balers in Australia, featuring Bale Doc technology for near real-time documentation of bale moisture and weight. Responding to consumer demand, both international and domestic manufacturers are unveiling advanced tractors for diverse farming applications. In 2023, CNH Industrial's Case IH brand rolled out the Farmall Subcompact 25SC, the smallest in its Farmall range. This tractor targets the burgeoning lifestyle segment, catering to the rising demand for small utility tractors on larger home blocks.
As per the Tractor and Machinery Association of Australia, the most sought-after equipment includes self-propelled boom sprayers, high-density balers, tracked tractor technology, and automated feeding systems. Australia stands as a pivotal export market for U.S. agricultural machinery and equipment manufacturers. With nearly 95% of Australia's farm machinery and equipment being imported, and demand on the rise, it's noteworthy that most of Australia's tractors, harvesting, and haymaking gear hail from Europe and the U.S. This robust demand is largely attributed to improved seasonal conditions across many regions. From 2019-20 to 2021-22, Australia averaged annual imports of USD 1.7 billion in agricultural machinery. Consequently, the trend towards cost-effective design strategies in advanced farm equipment presents significant growth opportunities for industry players.
Demand Surges for Cultivators and Tillers in Australia
In Australia, cultivators play a pivotal role in soil preparation, managing crop residues, controlling weeds, and ensuring crops receive adequate water and nutrients. The tiller machinery market is witnessing a surge in demand, largely attributed to its affordability, appealing especially to budget-conscious small-scale farmers. Sales in the Tillage and Seeding Machinery market hit USD 510.6 million in 2023, buoyed by price hikes, as reported by the Tractor and Machinery Association of Australia.
Small-scale farmers in Australia, keen on trimming agricultural costs, are propelling this market growth. This uptick in demand is further bolstered by a shrinking agricultural workforce and escalating labor costs. The Australian Farm Institute highlights that Australia boasts the world's fourth-highest wage rates. With a dwindling pool of manual laborers, farmers are turning to machinery to uphold productivity. Additionally, market prospects look promising, bolstered by initiatives like concessional loans from the Regional Investment Corporation (RIC) and agricultural investments from the Rural Research and Development Corporations (RDC).
Australia Agricultural Machinery Industry Overview
The Australian agricultural machinery market is consolidated, with major players accounting for the majority of the market share. Some major players in the market are Deere & Company, AGCO, Kubota, CLAAS, and CNH Industrial. These players are involved in various strategic activities such as product innovation, expansion, partnership, and merger and acquisition.
Australia Agricultural Machinery Market Leaders
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John Deere Australia
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AGCO Corporation
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Kubota Australia
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CLAAS KGaA mbH
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CNH Industrial NV
*Disclaimer: Major Players sorted in no particular order
Australia Agricultural Machinery Market News
- February 2024: John Deere has announced that autonomous battery-powered electric tractors will be launched in 2026 due to the growing demand for diesel alternatives.
- September 2023: The Western Australian State Government unveiled a USD 10.3 million expansion at Muresk Institute, ushering in a new phase of agricultural education. The expansion's focal point is the Agricultural Machinery Training Centre (AMTC), which features new workshops, classrooms, and information technology laboratories.
- August 2023: John Deere launched John Deere 1 Series Round Balers in the Australian market. It has the Bale Doc technology to document bale moisture and weight in near real-time.
Australia Agricultural Machinery Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Declining Labour Availability and Rising Cost of Farm Labour
4.2.2 Rapid Technological Advancements by Key Players
4.2.2.1 Rising Preference for Agricultural Machinery
4.3 Market Restraints
4.3.1 High Cost of Agricultural Machinery and Repair
4.3.1.1 Data Privacy concerns in Modern Farming
4.4 Porter's Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Tractors
5.1.1 Horsepower
5.1.1.1 Below 40 HP
5.1.1.2 40-120 HP
5.1.1.3 Above 120 HP
5.1.2 Utility Type
5.1.2.1 Compact Utility Tractors
5.1.2.2 Utility Tractors
5.1.2.3 Row Crop Tractors
5.2 Ploughing and Cultivating Machinery
5.2.1 Ploughs
5.2.2 Harrows
5.2.3 Cultivators and Tillers
5.2.4 Other Planting and Cultivating Machinery
5.3 Planting Machinery
5.3.1 Seed Drills
5.3.2 Planters
5.3.3 Spreaders
5.3.4 Other Planting Machinery
5.4 Harvesting Machinery
5.4.1 Combine Harvesters
5.4.2 Forage Harvesters
5.4.3 Other Harvesting Machinery
5.5 Haying and Forage Machinery
5.5.1 Mowers and Conditioners
5.5.2 Balers
5.5.3 Other Haying and Forage Machinery
5.6 Irrigation Machinery
5.6.1 Sprinkler Irrigation
5.6.2 Drip Irrigation
5.6.3 Other Irrigation Machinery
5.7 Other Types
6. COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Mahindra Automotive Australia
6.3.2 Deere & Company
6.3.3 Kubota Australia
6.3.4 Valmont Industries Inc.
6.3.5 Netafim
6.3.6 CNH Industrial NV
6.3.7 CLASS KGaA mbH
6.3.8 AGCO Corporation
6.3.9 Kuhn Farm Machinery Pty Ltd
6.3.10 Daedong Industrial Co. Ltd
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Australia Agricultural Machinery Industry Segmentation
Agricultural machinery includes mechanical devices used in farming and other agriculture practices. These include different types of equipment, from hand tools and power tools to tractors and various farm implements used to operate farming activities.
The Australian Agricultural Machinery Manufacturers Market is Segmented by Tractors (Horsepower and Utility Type), Ploughing and Cultivating Machinery (Ploughs, Harrows, Cultivators and Tillers, and Other Planting and Cultivating Machinery), Planting Machinery (Seed Drills, Planters, Spreaders, and Other Planting Machinery), Harvesting Machinery (Combine Harvesters-Threshers, Forage Harvesters, and Other Harvesting Machinery), Haying and Forage Machinery (Mowers and Conditioners, Balers, and Other Haying and Forage Machinery) and Irrigation Machinery (Sprinkler Irrigation, Drip Irrigation and Other Irrigation Machinery). The Report Offers the Market Size in Value Terms in USD for all the Abovementioned Segments.
| Tractors | |||||
| |||||
|
| Ploughing and Cultivating Machinery | |
| Ploughs | |
| Harrows | |
| Cultivators and Tillers | |
| Other Planting and Cultivating Machinery |
| Planting Machinery | |
| Seed Drills | |
| Planters | |
| Spreaders | |
| Other Planting Machinery |
| Harvesting Machinery | |
| Combine Harvesters | |
| Forage Harvesters | |
| Other Harvesting Machinery |
| Haying and Forage Machinery | |
| Mowers and Conditioners | |
| Balers | |
| Other Haying and Forage Machinery |
| Irrigation Machinery | |
| Sprinkler Irrigation | |
| Drip Irrigation | |
| Other Irrigation Machinery |
Australia Agricultural Machinery Market Research Faqs
How big is the Australia Agricultural Machinery Market?
The Australia Agricultural Machinery Market size is expected to reach USD 6.02 billion in 2024 and grow at a CAGR of 3.10% to reach USD 7.01 billion by 2029.
What is the current Australia Agricultural Machinery Market size?
In 2024, the Australia Agricultural Machinery Market size is expected to reach USD 6.02 billion.
Who are the key players in Australia Agricultural Machinery Market?
John Deere Australia, AGCO Corporation, Kubota Australia, CLAAS KGaA mbH and CNH Industrial NV are the major companies operating in the Australia Agricultural Machinery Market.
What years does this Australia Agricultural Machinery Market cover, and what was the market size in 2023?
In 2023, the Australia Agricultural Machinery Market size was estimated at USD 5.83 billion. The report covers the Australia Agricultural Machinery Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Australia Agricultural Machinery Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Australia Agricultural Machinery Industry Report
Statistics for the 2024 Australia Agricultural Machinery market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. Australia Agricultural Machinery analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Australia Agricultural Machinery Market Report Snapshots
