Agricultural Robots and Mechatronics Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)
The Global Agricultural Robots and Mechatronics Market is anticipated to grow at a CAGR of 20.4% during the forecast period (2020-2025).
Across the world, a huge decline of workforce is observed due to many reasons, like the lack of skilled labor, aging of farmers, and young farmers finding farming an unattractive profession, thus encouraging the trend for automated farming operations. According to International Labor Organization(ILO), agricultural labors in percentage of workforce declined from 81% to 48.2% in developing countries. Also, developed countries are not an exception in such huge decline. In Asia-Pacific, where agriculture occupies a major part of the economy, has a huge decline of work force, which was nearly about 10% from 2014 to 2017. The European agriculture sector also faced such huge decline of workforce, which is nearly accounting 12.8% for the corresponding period. The trend of decline in the agricultural work force is encouraging government and private organizations to focus on agricultural automation operations by adopting agricultural robots and mechatronics. Moreover, the labor costs are growing year by year, they differ based on the size of the farm. On an average, the labor cost associated with small and large farms is approximately USD 68,673 and USD 1,316,537, respectively. Owing to the above factors, the market for agricultural robotics and mechatronics is going to boom during the forecast period
According to Mordor Intelligence analysis, the share of the North American agricultural robots and mechatronics market was over 60% in 2019. The United States is one of the largest markets for autonomous tractors in the agricultural robots and mechatronics market in North America. Autonomous Tractor Corporation and Agrobotics LLC are some of the major players in the market studied, based in this region. The major factors driving the market studied in North America are large scale farming operations, decline in labor, and the need to enhance productivity of agriculture. In countries like Canada, major driving factors are cost savings achieved through efficient utilization of technology and modern equipment, leading to overall increase in yield and quality of the crops.
The Global Agricultural Robots and Mechatronics Market is moderately slightly fragmented, with the top nine companies accounting for less than 30-35% of the market, while the rest of the companies account for the remaining share. The major players in the market are Yamaha Motor Company, GEA Group Aktiengesellschaft, DeLaval Inc., Lely Industries NV, and A/S S. A. Christensen & Co (SAC Milking), among others. There are several companies which are rapidly expanding their market presence. For instance, DeLaval Inc., has established a distribution center in Germany in May 2018, similarly, senseFly has strengthened its presence in China in 2017.