- To upgrade industries and climb the technological ladder, a strong partnership with the private sector will be crucial for the country.
- The growing GDP, improving investment in infrastructure and low labor costs will provide a significant thrust to the manufacturing sector over the coming years.
- The agricultural machinery market in Indonesia is estimated to reach over USD 740 million by 2020
Ken Research announced
its latest publication on “Indonesia
Agricultural Machinery Market Outlook to 2020 - Integration of Small Farm
holders and Government Support to Foster Growth” provides a
comprehensive analysis of the agricultural machinery market in Indonesia. The
report covers aspects such as the market size on the basis of sales volume and
revenue for Tractors, Combine Harvesters, Rice Transplanters and Tractor
Implements. The segmentation for Tractors, Combine Harvesters and Rice
Transplanters has been created on the basis of Horsepower while the
segmentation for Tractor Implements has been showcased by products. The report
also covers the market share, competitive landscape and working business model
of major manufacturers, along with warranty policies and distribution channels
of agricultural equipments. The report also covers farm ownership by different
food and estate crops with expected changes in cropping pattern in the coming
years. In addition to this, the report also covers the country overview,
government regulation and agricultural overview of Indonesia. GDP, Per Capita
Income and Population Demographics are analyzed in country overview. Land under
cultivation, Changes in cropping patterns, farm holding structure and scale of
mechanization are covered in agricultural overview. Regulatory policies, the
import duty structure, subsidies and financing options are covered in
government regulation. This report will help industry consultants, agricultural
machinery manufacturers and dealers, retail chains, potential entrants and
other stakeholders to align their market centric strategies according to the
ongoing and expected trends in the future.
The sales of agricultural
machinery and implements are projected to reach over 230,000 units by 2020. 2
wheel tractors market in terms of revenues is likely to dominate in the future.
4 wheel tractors market is anticipated to report second position in the market
in terms of revenues in 2020. This will be followed with Tractor implements,
combine harvesters and rice transplanters.
In
rice growing and in other small size farms, small scale two wheel tractors are
most popular due to its adaptation to the local economic conditions and
management scales. The sustained popularity of hand tractors for land
preparation and ideal soft soil conditions will augment its sales in future.
Java will continue to be the area with the highest demand and sales of hand
tractors in the country.
The
demand for four wheel tractors will continue to arise from Sumatra and
Kalimantan in the future, due to the above average farm holding size in these
regions. Moreover, the higher production for palm oil, rubber and sugarcane in
these regions has also boosted the demand for 4 wheel tractor sales. The
level of mechanization in harvesting in Indonesia is still very low as a
majority of farmers still use manual methods. Combine harvesters are mainly
demanded by a limited target audience and farmers and agricultural cooperatives
and this trend is expected to continue in the future. The level of
mechanization with respect to transplanting is still very low as farmers prefer
to engage in manual methods of transplanting as this involves only cost of
labor been employed on the farm. The sale of rice transplanters is projected to
increase in the coming years. Indonesia is on the path towards self-sufficiency
in terms of rice production and consumption due to which a majority of farmers
in the country are expected to continue rice farming. The growth in sales of
two wheel and four wheel tractors is complemented with the growth in tractor
implements as a majority of farmers purchase tractor implements along with new
tractors. The sale of tractor implements has been estimated to reach is
anticipated to grow in tandem with the sales of 2 wheel and 4 wheel tractors.
“It is advisable for new entrant to
provide great after sales support services such as on site mechanics support
even during the peak seasons or timely commitment of services or otherwise free
spares. Moreover, the farmers in Indonesia have lower credit
worthiness due to limited farm income, which refrain them to purchase farm
machinery. In lieu to this, the farm equipment companies should instigate
separate leasing department that can provide farm machinery to the farmers with
limited finance”, according
to Research Analyst, Ken Research.
Key Topics Covered in the Report:
Country Overview: Gross
Domestic Product (GDP) of Indonesia, Key Factors Driving Growth in GDP, Contribution
to GDP: Agriculture, Manufacturing and Service Sector, Population Demographics,
Logistics Cost
Agricultural Overview: Total
Land under Cultivation, Distribution by Major Crops, Rice, Sugarcane, Cassava
and Rubber, Palm Oil and Maize, Changing Cropping Patterns in Indonesia and
Factors Driving Change
Farm Holding Structure in Indonesia: Number of Farms and Farm Holding Size, Nature of Ownership,
Food and Estate Crops
Regulatory Policies
Impacting Farm Holding Structure: Regulatory Structure, Import Duty Structure, Certification
Requirements, Subsidies, Government Taxes, Finance Options
Agricultural Practices: Extensive
and Intensive Farming, Scale of Mechanization, Irrigated and Non-Irrigated Land
Market for Tractor and Agricultural Implements: Indonesia Agricultural Equipment Market, Tractor Market, Rice
Transplanter Market, Combine Harvester Market, Tractor Implements Market
Key Factors Driving Growth of
Agricultural Equipment Market
Market Share and Competitive Landscape
of Leading Manufacturers in Indonesia Agricultural Equipments Market
Competitive Landscape of Leading
Manufacturers in Indonesia Agricultural Equipments Market
Price Range for Agricultural
Equipments
Working Model
of Major OEM’s in Indonesia Agriculture Equipment Market
Custom Hiring
Market
Export-Import
of Agricultural Equipments in Indonesia
Future
Projections for Indonesia Agricultural Equipment Market
Customer Insight: Decision
Making Process for Procurement of Agricultural Equipments,
Usage Pattern for Major Agricultural Equipments in Indonesia
Analyst
Recommendations
Key Products Mentioned in the Report
Four Wheel Tractors
Power Tillers
Combine Harvesters
Rice Transplanters
Tractor Implements (Rotavator, Disc
Plough, Disc Harrow, Land Leveler, Sprayers/ Spreaders)
Companies Covered in the Report
PT Kubota Machinery Indonesia
Yanmar Indonesia
Quick Tractors (CV. Karya Hidup
Sentosa)
PT Rutan (Agrindo)
Traktor Nusantara (Massey Ferguson and
Tym)
PT Satrindo Mitra Utama (John Deere)
Altrak 1987 (New Holland)
Maxxi
Galaxy
Tanikaya
For more information on the report, refer to the link below:
Related Reports:
Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-901537824
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-901537824
