The agricultural industry has seen many changes over the last decade due to automation and data-driven farming. These trends are spawning new trends that will impact the industry growth for decades to come. Here are three of the largest factors impacting ag equipment manufacturing.
SHIFTING SUBSIDY LANDSCAPE
Although there is uncertainty regarding farm subsidies with every new administration. While subsidies for insurance may be at risk, subsidies for machinery and farm equipment is on the rise. The agricultural industry is prepared to invest in equipment and manufacturing.
BOTTOM LINE before BRANDS
Many manufacturers and ag equipment providers are focused on providing budget-conscious solutions. While brand recognition alone used to be the primary factor in selling ag equipment, the trend has now moved towards cost-effective solutions that impact the bottom line.
AUTOMATION and COST of LABOR
Finding labor is becoming a challenge for farmers and they are looking into automation to offset the lack of human resources. Automation requires a large investment in new equipment and replacing old equipment. Manufacturing components for new systems is going to increase as systems become smarter to provide data driven results.
These three trends all point towards an investment in agricultural machinery and manufacturing. The subsidies policies are shaped to provide more support for machinery. Farmers are more inclined to shop around for the best prices. Finally, farmers are trying to find alternatives to a shrinking work force. These are all forces that point towards more machinery and more manufacturing.
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.