Japanese Agricultural Equipment Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Japan Agricultural Machinery Market Analysis

The Japan Agricultural Machinery Market size is estimated at USD 4.90 billion in 2024, and is expected to reach USD 6 billion by 2029, growing at a CAGR of 5.60% during the forecast period (2024-2029).

• Japan's agriculture sector contributes a mere 1.4% to the nation's GDP, with only 12% of its land deemed suitable for farming. While terraces are utilized in limited areas, they yield high crop outputs per unit. The Japanese government staunchly protects and supports its agricultural industry by prioritizing small-scale farming over expansive or commercial operations. This approach not only bolsters the agricultural sector but also fuels the growth of the agriculture equipment market. Japan boasts the highest agricultural mechanization levels in the Asia-Pacific. As a nation with a robust industrial backbone, its agriculture equipment industry is equally advanced.
• However, Japan grapples with challenges like an increasing expanse of abandoned farmland and a rapidly aging farming populace. This demographic shift complicates the search for future agricultural labor, underscoring the urgent need for mechanization. Japan's driverless combine harvesters are poised for increased adoption, given their superior efficiency over traditional human-operated counterparts. In a bid to innovate, Japan's Ministry of Agriculture, Forestry, and Fisheries is channeling efforts into technologies like autonomous machinery, aiming to cut rice production costs. 
• Tractors stand out as a primary piece of machinery for most farmers. In Japan, the adoption of tractors is outpacing that of other agricultural machinery. According to The Japan Agricultural Machinery Manufacturers Association (JAMMA) in 2023, tractor production reached 214,041 units. Looking ahead, the trend points towards a rising popularity of driverless tractors, given their enhanced efficiency in farming. Key players like Kubota Corporation, Yanmar Agribusiness, and John Deere are intensifying their efforts to elevate self-driving tractor sales in Japan. A testament to this push, John Deere, a prominent American agricultural machinery manufacturer, unveiled its fully autonomous tractor at CES 2022. This advanced machine, tailored for large-scale production, integrates Deere's 8R tractor with a TruSet-enabled chisel plow, a GPS guidance system, and cutting-edge technologies.Therefore, the increasing technological advancments and the urge of the Japanese government toward autonomous farm machinery are projected to increase the demand for agricultural machinery in Japan during the forecast period. 

Japan Agricultural Machinery Market Trends

The Need to Increase Farm Productivity Triggers the Demand

Japan Agricultural Machinery Industry Segmentation

Agricultural equipment/machinery can be defined as machines that are used to perform agricultural operations such as harvesting, plowing, irrigation, planting, and other agricultural operations. The Japan Agricultural Machinery Market is segmented by type into tractors (Tractor by Horsepower {below 20 HP, 21-30 HP, 31-50 HP, and above 50 HP}), (Tractor by Type {utility tractor, row crop tractor, compact utility tractor, and other types}, ploughing and cultivating machinery (ploughs, harrows, cultivators and tillers, and other ploughing and cultivating machinery), planting machinery (seed drills, planters, spreaders, and other planting machinery), harvesting machinery (mowers, balers, and other harvesting machinery), haying machinery, and irrigation machinery. The report offers the market size and forecasts for agricultural machinery in value (USD) for all the above segments.