February 29, 2024
Autonomous Tractor Market

Increasingly Intelligent Technologies are anticipated to openup the new avenue for Autonomous Tractor Market

The Autonomous Tractor Market is estimated to be valued at US$ 1248.24 Mn in 2023 and is expected to exhibit a CAGR of 23% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Autonomous tractors are equipped with advanced technologies like artificial intelligence, GPS, ultrasonic sensors, cameras and computers that enable them to perform agricultural tasks without human intervention. They can plow fields, sow seeds, fertilize soil and harvest crops on their own with minimal human supervision. They offer advantages like increased productivity, reduced labor costs and enhanced operational efficiency compared to conventional tractors.

Market Dynamics:

Growing labor shortage in the agricultural sector: There is a rising shortage of manual labor for performing agriculture-related jobs globally due to rapid urbanization. Autonomous tractors can help overcome this challenge by performing agricultural tasks without requiring human operators on the fields. This factor is expected to fuel the demand for autonomous tractors during the forecast period.

Enhanced productivity and cost savings: Autonomous tractors can work for longer hours without breaks compared to human workers. They offer precision in application of seeds, fertilizers which leads to optimum usage and wastage. This significantly improves crop yields and reduces production costs for farmers. The productivity and economic benefits are driving the autonomous tractors market.

Segment Analysis

The global autonomous tractor market is dominated by the fully autonomous segment owing to rising demand for precision agriculture techniques. Fully autonomous tractors come equipped with technologically advanced sensors and cameras for navigation without any human intervention. Precision farming aids efficient utilization of inputs such as water, fertilizers and labour which augments profit margins for farmers.

PEST Analysis

Political: Presence of supportive regulations promoting precision agriculture and driverless farm equipment adoption. Some countries provide subsidies for autonomous farm machinery purchases.

Economic: Rising labour costs and shortage of farm workers driving need for autonomous tractor implementation. Precision agriculture enhances crop yields and lowers production costs.

Social: Growing population generating demand for increased food production. Younger generation farmers receptive towards automated farm technologies.

Technological: Constant innovation in robotics, AI and computer vision fuels development of autonomous tractors. Advancements in guidance systems, machine learning and navigation sensors.

Key Takeaways

The Global Autonomous Tractor Market Size is expected to witness high growth, exhibiting CAGR of 23% over the forecast period, due to increasing need to boost agricultural productivity amid reducing arable land.

The Asia Pacific region dominated the market in 2023 attributed to large farmland areas and rising government emphasis on precision farming adoption in countries such as India and China. North America is anticipated to showcase substantial growth owing to the presence of prominent players and growing trend of smart agriculture in the US and Canada.

Key players operating in the autonomous tractor market are AGCO Corporation, Deere & Company, Mahindra and Mahindra Ltd, Autonomous Tractor Corporation, CNH Industrial, Kubota Corporation, Dutch Power Company (Alamo Group), Yanmar Co. Ltd, Zimeno Inc DBA Monarch Tractor, AutoNext Automation. AGCO Corporation leads the market with its intelligent solutions for precision agriculture under the brand Fendt. Deere & Company offers advanced automation and technology features in its autonomous John Deere 8R tractor series.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it