Market Trends of South America Agricultural Sprayers Industry
Increase in Average Farm Size Leading To Adoption of Agricultural Sprayers
In South American countries, agriculture has traditionally been represented by small and medium family farms operating their own land and capital. However, in recent decades, a trend toward farm consolidation and the rise of large corporate farming structures has been observed in countries such as Argentina and Brazil which will lead to prefer farm automation equipment to overcome the labor cost and time-saving process. These factors are encouraging the region to increase the farm size in order to gain the profits by using advanced equipments in the agri-sectors and this will boost the market to grow in the coming years.
In Argentina, Privatization, convertibility law, the launch of the loan market, and reduction of state intervention in agricultural markets created a favorable environment for the development of national agriculture and stimulated cooperation activities among farmers, land owners, input and service suppliers, processors, etc.
According to the World Bank database, the land under agricultural production increased significantly with 43.5% of the total agricultural area in Colombia followed by Argentina, whereas Brazil showed stable growth over the last few years. Government programs such as Plan Colombia Siembra supporting funds for technical assistance, infrastructure, and farm machinery modernization have promoted an increase of sprayer sales in the region. The increasing penetration rate for advanced farming equipment is driving the sales of sprayers in the region.
Technological Advancements in Sprayers
The need for sustainability in agrochemical management has led to the demand for highly developed mechanical sprayers in recent years. Major demand in the region has arisen from self-propelled sprayers equipped with high-tech tools, such as automatic section control, data transmission, and direct injection, which further ensure the accurate spread of agricultural chemicals.
In 2021, John Deere offers an all-new lineup of Hagie Self-Propelled Sprayers for the model year 2022 to help farmers manage tight operating windows and challenging field conditions at various crop stages. Three models are being offered and including the STS12, STS16, and STS20 which reduces the need for operators to constantly turn and look behind the machine during application. The company is investing billions in self-driving tractors and smart crop sprayers to extend its dominance to software to make those machines and agriculture more efficient and productive. This will drive the market of sprayers in the coming years.
Technological innovations are also profoundly transforming spraying techniques and the use of technology makes the application of agrochemicals happen only where it is needed. This makes the spraying process more accurate, providing savings on inputs and higher plantation yield. Example, in 2021, Jacto opens new factory in the Brazil and new facility will have approximately 1.03 million square feet.
A smart spraying technology is a cutting-edge substitution to a conventional sprayer that automatically disperses chemicals on the crops following a set of regulations ensuring the process is efficient and sustainable which can able to reduce the spray loss, pesticide, and airborne spray drift more than 50% and are only improving with technological advances and the rise of connected farming. This technologies will make the market to grow during the forecasting period.
