The Global Autonomous Tractors Market size is expected to reach $4 billion by 2029, rising at a market growth of 20.0% CAGR during the forecast period.
Autonomous tractors are a form of agricultural machinery that can operate without the presence of a driver. Autonomous tractors' technology, such as vision systems, GPS systems, and sensors, allows them to function continuously without constant human input. Therefore, efficiency improvement and reduced human intervention are the main goals in developing autonomous tractors.
Growing demand for agricultural yields results from the market for autonomous tractors. Moreover, managing the effectiveness of activities like tillage, seed sowing, harvesting, and fertilizing is important because cultivable land is limited, and the farm's output depends on outside environmental conditions. The accuracy of many farming procedures is greatly improved by using autonomous tractors, which also increases farm output.
Tractors are very versatile and can be connected to various things, making them difficult to control and vulnerable to human mistakes. To reduce these errors, autonomous tractors are used. Furthermore, with the help of autonomous tractors, farmers can effectively manage several farming operations at once and maximize the use of their labor. In addition, employing self-driving tractors for tasks like seeding and tillage greatly improves irrigation water efficiency.
Due to the increased cost of farm labor, agricultural labor is declining. To replace manual labor and provide more affordable, accessible, and effective agricultural operations, farmers are increasingly turning to agricultural mechanization. Driving agricultural equipment is primarily accomplished by tractors. On a long-term basis, this has been seen to support market expansion.
As the COVID-19 vaccine enters the market, it is also anticipated that the number of cases of COVID-19 will decline in the near future. The result has been the full-scale reopening of businesses that manufacture autonomous tractors. Autonomous tractor manufacturers must concentrate on securing their personnel, business operations, and supply networks as COVID-19 infection cases diminish. This will allow them to deal with immediate crises and implement new operational procedures. Thus, the autonomous tractors market witnessed a positive impact of the COVID-19 outspread.
The government spends a lot of money on various subsidies. It is difficult for farmers to buy this equipment with restricted finance sources since farm equipment like combines, tractors, and harvesters, is expensive. The governments of several countries also supply agricultural equipment, where help is given for farm mechanization and women-friendly tools and equipment. Intending to encourage farmers to embrace autonomous equipment and boost crop productivity, numerous governments have expanded their support through better subsidies and credits. This is estimated to support the growth of the autonomous tractors market.
Considering the current challenges, farmers are adopting technology like autonomous tractors, which can be productive because technologically aided agriculture requires qualified manpower, of which there is an urgent scarcity. Therefore, this circumstance is one of the main things that propel the market forward. The number of agricultural laborers in India is anticipated to fall dramatically in the next years, according to the Indian Council of Food and Agriculture (ICFA). Farmers are embracing innovations like autonomous tractors that can be productive in light of the current difficulty, as agriculture needs trained personnel, but there is a severe scarcity of availability. As a result, the market is projected to expand in the years to come.
The issue of using these new technologies to collect data from crops is to produce something cohesive and meaningful, as data by themselves are pointless. It's possible that autonomous tractors won't be as flexible as a human operator to adjust to shifting conditions or unforeseen impediments. In addition, collecting and examining such data need a lot of time and effort. Because of these constraints, the adoption of autonomous technology, like autonomous tractors, may be slowed down, ultimately impeding the expansion of the autonomous tractors market during the projection period.
On the basis of power, the autonomous tractors market is segmented into up to 30 HP, 31-100 HP, and 101 HP & above. In 2022, the 31-100 HP segment covered a considerable revenue share in the autonomous tractors market. This segment's expansion is mostly driven by the strong demand for 31-100 HP tractors to carry out various farming tasks like planting, harvesting, sowing, and tilling. These tractors are perfect for transporting because of their durability and loading capacity. Additionally, tractors in the 31-100 HP range are adaptable and offer excellent work efficiency in clay soil.
By component, the autonomous tractors market is fragmented into LiDAR, radar, GPS, camera/ vision systems, ultrasonic sensors, and hand-held devices. The GPS segment acquired a substantial revenue share in the autonomous tractors market in 2022. Due to the precision of GPS, farmers are able to produce farm maps that properly represent the size of field areas, the position of roads, and the distances between locations of interest. With the use of all this crucial information, farmers may adjust their farming practices to increase productivity. The popularity of GPS-enabled gadgets is anticipated to rise as a result of these advantages, consequently fostering the segment's expansion.
Based on crop type, the autonomous tractors market is bifurcated into cereals & grains, oilseeds & pulses, and fruit & vegetables. In 2022, the fruit & vegetables segment dominated the autonomous tractors market with the maximum revenue share. Due to the growing demand for fruits & vegetables brought on by the increase in world population, this segment holds a sizable market share. Fruits & vegetables must be weeded and harvested by hand. As a result, there is a rise in the need for cutting-edge technologies, like autonomous tractors, to perform labour-intensive farming.
On the basis of farm application, the autonomous tractors market is classified into tillage (primary & secondary tillage), seed sowing., harvesting, and others. In 2022, the tillage segment registered the highest revenue share in the autonomous tractors market. Technology developments and numerous agronomic research and development initiatives are also credited with this segment's expansion. Additionally, there is a growing demand for automation of tillage on large and medium-sized farms worldwide that grow row crops because manual tillage tasks are more costly and time-consuming.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 1.1 Billion |
| Market size forecast in 2029 | USD 4 Billion |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2029 |
| Revenue Growth Rate | CAGR of 20% from 2023 to 2029 |
| Number of Pages | 281 |
| Number of Table | 483 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Companies Strategic Developments, Company Profiling |
| Segments covered | Component, Crop Type, Farm Application, Power Output, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Australia, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region wise, the autonomous tractors market is analysed across North America, Europe, Asia Pacific and LAMEA. In 2022, the North America region led the autonomous tractors market by generating the highest revenue share. Large farm sizes in North America contribute to the rapid adoption of advanced technologies, which is responsible for the region's growth. Labor shortages are a problem for farmers in affluent nations like the U.S. Therefore, to overcome these difficulties, farmers adopt cutting-edge farming machinery, like autonomous tractors, fueling the market's expansion.
Free Valuable Insights: Global Autonomous Tractors Market size to reach USD 4 Billion by 2029
The major strategies followed by the market participants are Partnerships. Based on the Analysis presented in the Cardinal matrix; Deere & Company are the forerunners in the Autonomous Tractors Market. Companies such as CNH Industrial N.V., KUBOTA Corporation and AGCO Corporation are some of the key innovators in the Autonomous Tractors Market.
The market research report covers the analysis of key stakeholders of the market. Key companies profiled in the report include KUBOTA Corporation, CNH Industrial N.V., Deere & Company, AGCO Corporation, Mahindra & Mahindra Limited (Mahindra Group), Kinze Manufacturing, Inc., Alamo Group Inc. (Dutch Power B.V.), Yanmar Holdings Co., Ltd., Trimble, Inc. and Autonomous Tractor Corporation.
By Crop Type
By Component
By Farm Application
By Power Output
By Geography
The Market size is projected to reach USD 4 billion by 2029.
Rising government initiatives in order to support the farmers are driving the market in coming years, however, Lack of advanced tools to collect the data points restraints the growth of the market.
KUBOTA Corporation, CNH Industrial N.V., Deere & Company, AGCO Corporation, Mahindra & Mahindra Limited (Mahindra Group), Kinze Manufacturing, Inc., Alamo Group Inc. (Dutch Power B.V.), Yanmar Holdings Co., Ltd., Trimble, Inc. and Autonomous Tractor Corporation.
The Radar segment is leading the Market by Component in 2022 thereby, achieving a market value of $1.2 billion by 2029.
The North America market dominated the Market by Region in 2022 and would continue to be a dominant market till 2029; thereby, achieving a market value of $1.7 billion by 2029.
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