Agricultural Equipment Manufacturing to Increase Due to Global Food Demand

According to the 111-page report researched by Market Future Watch, the largest driver for the previous four years of agricultural machine manufacturing is the increased demand for food due to increasing global populations. The rising mechanization of the agricultural activities is also leading to increased production of crops, thereby leading to the increase in need of agricultural equipment in the region.

HARVESTING EQUIPMENT will DOMINATE

When segmented by product type and by function, harvesters dominated both categories. As population grows in Asia-Pacific, more harvesters will be manufactured to keep up with the food demand. Irrigation equipment will also increase in demand over the next five years.

OEMs are GEARING UP

According to another a Research and Markets report released on December 7, 2018, there is another factor for the future growth of Agriculture Equipment Manufacturing; improvement of commodity prices and the recovery from oversupply during 2013-2017.

Market insider reports, “The OEMs are gearing up for the upswing after a prolonged period of operating at sub-optimal pace with a focus on ramping up production rates and fine-tuning supply chains to efficiently meet increasing demand levels and avoid logistical gaps. The OEMs are also renewing their product portfolios in alignment with the market upturn through new product introductions incorporating leading technologies and features focused on enhanced performance as well as productivity while optimizing the total cost of ownership.”

STILL a FEW CONCERNS

Cost of materials has been increasing over the last few years. As material cost increases manufacturers who have a history and good relationships with vendors will have an advantage of providing competitive pricing. Maeco has been in the industry long enough to have great relations with sourcing material, manufacturing components, and logistics.

CONTACT MAECO for YOUR INDUSTRIAL and AGRICULTURAL NEEDS

MAECO of Oregon has a successful track record for prototyping, manufacturing, and delivering industrial and agricultural components. Whether you need to find the best quality industrial or agricultural components at a competitive price or a single custom solution, call (503) 798-5596 or email us using this link.

Leave a Reply

Your email address will not be published. Required fields are marked *