Rising machine prices, higher interest rates and the uncertain future have slowed the tractor markets across much of the world, but the forecast for the next few years remains positive.

Indications from recent CEMA (Committee for European Agricultural Machinery) surveys suggest that the European market was down 11.4% in the first seven months of this year.

The data, which was presented in Rome during a recent EIMA 2024 pre-show press conference, focuses on the main markets of Germany, Spain, France, Italy and the UK.

The two bright spots were Germany, where the approx. 18,500 units registered from January to July is on a par with 2023, and the Spanish tractor market increased nearly 10% during the seven-month period to 4,600 units.

The situation in France, Italy and the UK was less positive. The French market fell 4.9% to 17,400 units, and the Italian market was down 15.3% to approx. 9,800 units.

The UK tractor market recorded 6,830 (-13.3%) registrations. Elsewhere, the North American tractor market declined approx. 12%, and in India, the market was down 8.7%.

Global machinery markets forecast to increase

Despite the sluggish sales of the first seven months of this year, the global tractor and farm machinery market is forecast to increase during the next three years.

FederUnacoma (Italian Agricultural Machinery Manufacturers Federation) president Mariateresa Maschio said that the latest surveys indicate an average annual tractor market growth of 4.9% worldwide. “The demand for farm machinery is no different and is expected to grow by 5.4% a year by 2027,” he said.

Mr Maschio outlined that the global agricultural machinery market was valued at around US$164 billion in 2023 (US$57b tractors, US$73b machinery and equipment, and US$34b components).

He pointed out that the farm machinery sector has historically concentrated on the four big markets of India (over 900,000 tractors registered in 2023), China (380,000), the United States (250,000) and Europe (158,000).

This looks set to change, he added, predicting that the demand for tractors and farm machinery will grow in countries such as Brazil, Argentina, Australia, Indonesia and Turkey.

EIMA 2024

This year’s EIMA show will be held as usual at the Bologna exhibition complex. The 1,700+ exhibitors already signed up for the event are from 150 countries, ranging from the United States to Thailand, Australia to Nigeria, and even the Bahamas. More than 300,00 visitors are expected to visit the Italian show, which takes place from November 6 to 10.

For more up-to-date farming news click here and subscribe now to profi and save 47%.