Showing posts with label Government Licenses for Agriculture Machinery Analysis. Show all posts
Showing posts with label Government Licenses for Agriculture Machinery Analysis. Show all posts

Tuesday, February 19, 2019

South Africa Agricultural Equipment Market Research Report & Forecast To 2025: Ken Research


What is the Current Potential of South Africa Agriculture Equipment Market?
South Africa Agricultural Equipment Market has played an imperative role in the overall GDP with ~% contribution in terms of value generated in 2018. The market is currently in its recovery stage after witnessing major decline in 2016 owing to drought. During the last 5 years, the agricultural equipment market has been sluggish owing to the political instability, government policy reforms and unexpected seasonal mishaps. The sales volume of machinery increased from ~ units in 2012 to ~ units in 2018. The CAGR recorded for the review period was ~%. The sales value of the agricultural machinery during the year 2012 was USD ~ million and increased to USD ~ million recording a CAGR of ~%. The rate of mechanization & adaptation has increased in 2018.
South Africa has a dual-agricultural economy, with both well-developed commercial farming being carried out by commercial farmers & cooperatives in large estates along with subsistence-based agriculture production being done by peripheral farmers in smaller rural areas. Domestic demand is principally being met through imports which are sourced primarily from India and China. The major stakeholders in the market have been international OEMs, domestic distributors & importers and domestic OEMs. Prominent business strategies adopted by major players include forming extensive dealer network, farmer-magazine advertisement; new product launches product innovation and improved after sales services.
How Did South Africa Agriculture Market Evolve in the Past 70 years?
Penetration of Mechanization and Agriculture Support Policy: The mechanization of agriculture in South Africa was in its emerging stage during the 1950s and 1960s as the country continued to be a large food importer during that period. South Africa’s transformation into a contemporary and highly viable agriculture nation is largely due to the dawn of democracy and end of apartheid in 1994. During the 1950s and 1960s, the government invested heavily in research and development, infrastructure, extension services, direct subsidies for conservation works and debt relief, and the settlement of white commercial farmers all of which led to the sector expansion.
Progression from Manual and Animal Farming to Precision Farming: Before the 1960s, farms in South Africa relied profoundly on manpower and animal power for their farming needs. Tools such as sickles, plows, drag harrows, flails for the reaping, threshing and planting of crops were used for farming. The 1970s were a period of rapid growth in the South African economy as a whole, supported by high gold prices and high agricultural growth. After the recession in 1976, the country set in motion a process of liberalization of trade and deregulation of agriculture that was only partially completed by the early 1990s. Farmers in South Africa have increasingly mechanized their farming procedures and agricultural equipment is currently used is all sectors of agricultural production since the 1960s. In the last 10 years, there has been an escalating use of precision technology.
What is the General Overview of the Agriculture Sector in the country?
South Africa has a dual agricultural economy, with both well-developed commercial farming and more subsistence-based production in the deep rural areas. South Africa covers ~ million square kilometers. Drought is a severe problem in the country and due to aridity, around ~% of the land can be used for crop production, among which only ~% is considered as high potential land. The limiting factor in agriculture in South Africa is the availability of water. South Africa is one of the world’s largest producers of chicory roots, grapes, maize, castor oil, pear, fibre crops and sisal. Maize contributes to ~% of gross value of the South African field crops.  Major Crops include Maize, Wheat, Soybean, Sunflower, Sorghum and other sectors include peanuts, groundnuts, Lucerne, Macadamia nuts, Avocado, Litchi, Citrus fruits, figs and nuts. South Africa's climatic conditions generally range from Mediterranean in the southwestern corner of South Africa to temperate in the interior plateau, and subtropical in the northeast. A small area in the northwest has a desert climate. Most of the country has warm, sunny days and cool nights with average rainfall varying across the country. Majority of the farmers have started adopting intensive farming in South Africa, thereby driving the demand for mechanization. Thus, South Africa has favorable crop production conditions with the only limiting factor being water and seasonal calamities. South African cropping pattern is more manual than mechanized. The farmers use tractor and implements for the initial farming and the soil preparation.
What is the General value chain in South Africa Agriculture Equipment Market?
The value chain in the South Africa agriculture equipment market includes a vast number & type of entities including raw material (SKUs, SAUs and Spare parts) suppliers, international & domestic OEMs, distributors and end users. The raw material suppliers are responsible for acquiring and the delivery of various resources to the manufacturer. The materials supplied include metals such as steel and its alloys, plastics, ceramics, composites, nonmaterial, shape memory foams, metal foams, conductors and others. Companies have extensive R&D department which observe and extend ideas to manufacture new products that provide higher levels of efficiently and significance to the agriculture equipment. The producer of agricultural machinery is responsible for the development of new and ingenious products, catering to the variable demand of customers in the country. A strong distribution and sales network of agriculture machinery is of utmost importance for manufacturers since they are the entities that have a direct contact with the customers. The manufacturers need to assure ease of accessibility for maintenance and expansion of their customer base. The last entity in the value chain for agricultural machinery is the end users who are the customers, buying the agriculture machinery from the manufacturers through the dealers. The customers range from small scale farmers to large scale agricultural corporations. The margin charged by OEMs, importers & distributers is ~%, ~% and ~ % respectively.
Key Segments Covered:-
Market Segmentation by Product Type Including Tractors, Tillage Equipment, Planters & Seeders, Sprayers, Combine Harvesters, Precision Farming and Others. (Sales Volume)
Market Segmentation By Domestic Sales and Import (Sales Volume)
Market Segmentation Including Free State, Mpumulanga, Northern Cape, Western Cape, Kwa Zulu Natal, Others By Region (Sales Volume)
Key Target Audience:-
Existing Agricultural Equipment Companies
New Market Entrants- Domestic OEMs
New Market Entrants- Foreign OEMs
Agricultural Equipment Financing Companies
Government Bodies
Investors & Venture Capital Firms
Agricultural Equipment Manufacturers
Agricultural Equipment Distributors
Agricultural Equipment Associations
Time Period Captured in the Report:-
2012-2018 – Historical Period
2019-2025 – Future Forecast
Companies Covered: Bell Equipment, Falcon Equipment, Radium Engineering, GC Tillage, AGRICO, Agri Supplies, AGRICON, Bestbier, Big Dutchman, BPI Manufacturing, Cape Agricultural Products, Enorossi, Gomselmash, Green Zone, Hose Manufacturer’s (PTY) Limited, Monosem, Jinma Tractors South Africa, John Deere, New Holland, Landini, Massey Ferguson, Case IH, CLAAS, Valtra, Mahindra & Mahindra Limited, Valmont Industries Incorporated, World Group Company Limited, JCB Limited, Kuhn Group, Netafim Limited, Yanmar Company Limited, Agco Corporation, Agro Master, CNH Industrial and Morris Industries Limited, BHBW, Northmec, ARGO Industrial, DICLA, NHSA Agriculture Parts, Orchard Agrimek, Rebelo Agricultural Group, Southtrade, Vermeer equipment Sales, Mascor, BEPCO, DICKEY-John Corporation and Jupidex, New Holland, John Deere, Massey Ferguson, Case IH and CLAAS
Keywords:-
Kwa Zulu Natal Agriculture Equipment Market
Mechanization In South Africa
South Africa Agriculture Robots
Major Farm Equipment Manufacturer South Africa
Major Farm Equipment Exporter South Africa
Major Farm Equipment Importer South Africa
Major Farm Equipment Distributer South Africa
Fendt Tractor Market South Africa
Mahindra Tractor Market South Africa
Kubota Tractor Market South Africa
Massey Ferguson Tractor Market South Africa
New Holland Tractor South Africa
John Deere Tractor Market South Africa
Farm Machinery Market South Africa
Farm Equipment Market South Africa
Farmer Magazine South Africa
Farmers Weekly South Africa
Machine Rental Space South Africa
To know more, click on the link below:-
Related Reports:-
Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
Sales@kenresearch.com
+91-9015378249

Monday, February 18, 2019

South Africa Agricultural Equipment Market Outlook to 2025: Ken Research


The report titled “South Africa Agricultural Equipment Market Outlook to 2025-By Product Type (Tractors, Tillage Equipment, Planters & Seeders, Sprayers, Combine Harvesters, Precision Farming and Others); By Domestic Sales and Import; By Region (Free State, Mpumalanga, Kwa Zulu Natal and others)provides a comprehensive analysis of South Africa’s Tractors, Tillage Equipment, Planters & Seeders, Sprayers, Combine Harvesters, Precision Farming Equipment Market including market evolution, overview, genesis, market size and market segmentations. Extensive focus has been placed in quantifying the sales volume and revenue over the period, 2012-2025. The report covers aspects such as market segmentation (by product type, by domestic sales & imports and by region) and various snapshot including major product features, agriculture equipment rentals space, second hand sales market, equipment financing, aftermarket services and others. Competitive landscape of major players including Falcon Equipment, Bell Equipment, Radium Engineering, John Deere, Massey Ferguson, Landini, Case IH, CLAAS, ARGO (PTY) Limited, BHBW (PTY) Limited and Northmec have been extensively covered mentioning company overview, major business strategies, USP, distribution network, after sales services, financials and various other parameters. The report also covers future industry analysis (by sales volume and revenue), future market segmentation, SWOT analysis, growth opportunities, upcoming trends, government regulations and analyst recommendations. The report is useful for existing agricultural equipment companies, potential entrants, investors and other stakeholders to align their market centric strategies according to ongoing and expected trends in the future.
Market Overview: South Africa has a dual-agricultural economy, with both well-developed commercial farming being carried out by commercial farmers & cooperatives in large estates along with subsistence-based agriculture production being done by peripheral farmers in smaller rural areas. The market is currently in its recovery stage after witnessing major decline in 2016 owing to drought. Domestic demand is principally being met through imports which are sourced primarily from India and China. The major stakeholders in the market have been international OEMs, domestic distributors & importers and domestic OEMs. Prominent business strategies adopted by major players include forming extensive dealer network, farmer-magazine advertisement; new product launches product innovation and improved after sales services. The market registered a CAGR of close to 3.0% in terms of sales volume of machinery during 2012-2018. The growth factors in the market include increasing government support in terms of subsidies, declining input costs and increased technological developments.
Market Size: South Africa Agricultural Equipment Market recorded a CAGR of close to 6% in terms of revenue during 2012-2018. The market was fuelled by increasing government subsidies for farm mechanization, accommodative financing, growth in the agricultural industry and increased awareness towards farm machine mechanization in the space. The market, however, showcased a slow pace growth owing to low purchasing power & high cost, consistent adverse climatic shocks and dependence on import of agricultural machinery.
Market Segmentation
By Product Type: Tillage Equipments captured highest sales share in terms volume of agricultural machinery sold followed by Planters & Seeders. Tractors held the third highest share followed by sprayers, precision farming equipments, combine harvesters and others (balers, rakes and more) respectively. Tillage equipments are low cost machinery complementing tractors and are thus exposed to higher wear & tear resulting in higher recurring demand & hence high sales volume in 2018.
By Domestic Sales and Import: The market is clearly driven by imports from countries such as India and China extending cheap labor & manufacturing cost. Hence, all major international OEMs have their international distributers selling their products by importing SKU’s to South Africa.
By Region: Free State has the highest market share in terms of sales volume, followed by Mpumalanga and Kwa Zulu Natal. This was followed by Western Cape, Northern Cape and Others (Gauteng, Eastern Cape, Limpopo and North West). Free State has accounted for a huge number of large equipment sales since it provides the apt conditions for agriculture and thus accounts for maximum crop production. Mpumalanga is adept with intensive farming and thus has higher mechanization rate whereas Kwa Zulu Natal experiences ample rainfall & agriculture produce thus resulting in high sales volume of machinery.
Competition Stage and Positioning: The overall competition stage of the market has been concentrated wherein the landscape is extensively dominated by 3-4 international manufacturers in 2018 in tractors and harvesters market respectively. There are 3 major domestic manufacturers namely Bell Equipment, Falcon Equipment and Radium Engineering in 2018. International manufacturers include 5 major names including John Deere, Landini, Case IH, CLAAS and Massey Ferguson.  The international manufacturers conduct operations in South Africa through a distribution and dealership network that consists of 3 major players namely BHBW, Northmec and ARGO Industrial (Pty) Limited.
Future Analysis and Projections: South Africa Agricultural Equipment Market is likely to experience an upward trend in terms of sales volume as well as revenue owing to rising agriculture produce, increasing prices of agricultural equipments, accelerating concept of multifunctional machinery, increased financing options and increase in penetration of driverless tractors in South Africa. With the government support policies such as New Growth Path and National Climate Change, the sector is expected to help the agricultural sector showcase growth and hence the demand for agricultural equipment. In terms of sales volume, the market is expected to showcase a CAGR of close to 2% during 2018-2025.
Key Segments Covered:-
Market Segmentation by Product Type Including Tractors, Tillage Equipment, Planters & Seeders, Sprayers, Combine Harvesters, Precision Farming and Others. (Sales Volume)
Market Segmentation By Domestic Sales and Import (Sales Volume)
Market Segmentation Including Free State, Mpumulanga, Northern Cape, Western Cape, Kwa Zulu Natal, Others By Region (Sales Volume)
Key Target Audience:-
Existing Agricultural Equipment Companies
New Market Entrants- Domestic OEMs
New Market Entrants- Foreign OEMs
Agricultural Equipment Financing Companies
Government Bodies
Investors & Venture Capital Firms
Agricultural Equipment Manufacturers
Agricultural Equipment Distributors
Agricultural Equipment Associations
Time Period Captured in the Report:-
2012-2018 – Historical Period
2019-2025 – Future Forecast
Companies Covered: Bell Equipment, Falcon Equipment, Radium Engineering, GC Tillage, AGRICO, Agri Supplies, AGRICON, Bestbier, Big Dutchman, BPI Manufacturing, Cape Agricultural Products, Enorossi, Gomselmash, Green Zone, Hose Manufacturer’s (PTY) Limited, Monosem, Jinma Tractors South Africa, John Deere, New Holland, Landini, Massey Ferguson, Case IH, CLAAS, Valtra, Mahindra & Mahindra Limited, Valmont Industries Incorporated, World Group Company Limited, JCB Limited, Kuhn Group, Netafim Limited, Yanmar Company Limited, Agco Corporation, Agro Master, CNH Industrial and Morris Industries Limited, BHBW, Northmec, ARGO Industrial, DICLA, NHSA Agriculture Parts, Orchard Agrimek, Rebelo Agricultural Group, Southtrade, Vermeer equipment Sales, Mascor, BEPCO, DICKEY-John Corporation and Jupidex, New Holland, John Deere, Massey Ferguson, Case IH and CLAAS
Key Topics Covered in the Report:-
South Africa Agriculture Equipment Market Value Chain
Ecosystem
Market Overview
Market Size by Sales Volume and Revenue, 2013–2018
Market Trends & Challenges
Market Segmentation by Product Type (Sales Volume)
Tractor Segmentation by Horse Power (Sales Volume)
Tractor Segmentation by Type of Tractor (Sales Volume)
Tillage Equipment Segmentation by Type of Equipment (Sales Volume)
South Africa Agriculture Equipment Market Segmentation by Domestic Sales and Imports (Sales Volume)
South Africa Agriculture Equipment Market Segmentation by Region (Sales Volume)
Government Regulations in South Africa Agriculture Equipment Market
Trade Scenario in South Africa Agriculture Equipment Market
Strengths of Major Players in South Africa Agriculture Equipment Market
Company Profile of Major Players in South Africa Agriculture Equipment Market
Snapshot on Second Hand Market, Rentals, Equipment Financing, After Market Services and Products in South Africa Agriculture Equipment Market
Future Outlook and Projections in South Africa Agriculture Equipment Market (2019-2025)
Growth Opportunities
Future Market Segmentation of South Africa Agriculture Equipment Market
SWOT Analysis
Analyst Recommendations
To know more, click on the link below:-
Related Reports:-
Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
Sales@kenresearch.com
+91-9015378249