Report Overview

Rapid adoption of advanced technologies, such as precision farming, agricultural drones, and automation, driven by the government’s favorable initiatives is expected to boost the growth of Saudi Arabia Agriculture Equipment Market during the forecast period between 2024 and 2030.

Saudi Arabia Agriculture Equipment Market - Industry Trends & Forecast Report, 2030

Saudi Arabia Agriculture Equipment Market size was estimated to be worth USD 282.17 million in 2023. During the forecast period between 2024 and 2030, the Saudi Arabia Agriculture Equipment Market size is projected to grow at a CAGR of 6.42%, reaching a value of USD 376.24 million by 2030.

By volume, the Saudi Arabia Agriculture Equipment Market size was estimated at 15.8 thousand units in 2023. During the forecast period between 2024 and 2030, the Saudi Arabia Agriculture Equipment Market size is expected to expand at a CAGR of 6.23%, reaching a volume of 23.4 thousand units by 2030.

Major growth factors for the Saudi Arabia Agriculture Equipment Market include increasing farm mechanization, rising integration of advanced technologies, and the launch of smart equipment. In addition, a rising focus on sustainability in agriculture practices and favorable government policies are anticipated to drive the Saudi Arabia agriculture equipment market during the forecast period.

Agriculture Equipment – Overview

Agriculture equipment is the instrument that farmers use to carry out a certain agricultural task. Agriculture technology reduces human work while increasing crop production in less time. Automatic and semi-automatic agricultural equipment minimizes the amount of manpower necessary for tasks, lowering labor costs. Agriculture machinery is outfitted with IoT applications, GPS solutions, and other features that are used in all verticals, such as land development, threshing, harvesting, and soil preparation.

Saudi Arabia Agriculture Equipment Market

Growth Drivers

Adoption of Advanced Technologies

The expanding mechanization of agriculture activities is a major driving factor for the Saudi Arabia agriculture equipment market. The mechanization of agriculture reduces labor dependence on farming methods. Mechanization techniques can help with problems like manpower shortages in agricultural operations. Furthermore, the use of agriculture equipment boosts productivity, enhances crop quality, and reduces operating time. Mechanization also promotes large-scale production of agricultural products and increases the productivity of land. This acts as a major benefit for a region, such as Saudi Arabia, with limited arable land.

Challenges

Low Awareness about Advanced Technologies in Agriculture

Although technologically advanced agriculture equipment is gaining significant traction in the Kingdom, its adoption is significantly limited to high-end farmers only. The high cost associated with advanced agriculture equipment acts as a major barrier to its adoption on a large scale in the Kingdom. A weather sensor used in precision farming, for instance, can range between USD 1,500 and USD 2,000, while a simpler model of yield monitoring equipment costs around USD 2,000. As a result, farmers are opting to rent agriculture machinery, which proves them to be cost-effective but restraints the Saudi Arabia Agriculture Equipment Market.

Saudi Arabia Agriculture Equipment Market

Segmental Coverage

Saudi Arabia Agriculture Equipment Market – By Equipment Type

Based on equipment type, the Saudi Arabia Agriculture Equipment Market is segmented into agriculture tractors, harvesting equipment, irrigation & crop processing equipment, agriculture spraying & handling equipment, soil preparation & cultivation equipment, and others (including hay & forage equipment and trailers). The agriculture tractors segment holds the largest share in the Saudi Arabia Agriculture Equipment Market by equipment type. Tractors play an important role in boosting agricultural productivity and tackling labor shortage issues in the Kingdom.

Saudi Arabia Agriculture Equipment Market – By Automation

Based on automation, the Saudi Arabia Agriculture Equipment Market is segmented into manual, semi-automatic, and automatic. The semi-automatic equipment segment accounts for the largest market share owing to its ease of use and affordability compared to automatic equipment. The reasonable pricing of semi-automatic equipment makes it accessible to small and medium-sized farmers, which contributes to its market growth. However, the automatic segment is anticipated to register a high growth rate during the forecast period owing to the rising adoption of precision farming.

Saudi Arabia Agriculture Equipment Market – By Application

On the basis of application, the Saudi Arabia Agriculture Equipment Market is segmented into land development, plant protection, threshing & harvesting, and after agro-processing. The land development segment holds the largest share in the Saudi Arabia Agriculture Equipment Market. The market has a strong demand for tractors, levelers, harvesters, and other land preparation equipment. Land preparation is an important process in agriculture, particularly in a deserted region such as Saudi Arabia, as it prepares the land for seeding and plantation, which promotes better plant growth.

Competitive Landscape

Major players operating in the Saudi Arabia Agriculture Equipment Market include Agriculture Machinery & Materials Company, Technical Co. For Manufacturing Agricultural Equipments Ltd, AKEL Trading & Industrial Co., AgriPak, Equipments Machines, Kubota Saudi Arabia Co., and Malik Agro Industries. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Equipment Type

• Agriculture Tractors

• Harvesting Equipment

• Irrigation & Crop Processing Equipment

• Agriculture Spraying & Handling Equipment

• Soil Preparation & Cultivation Equipment

• Others (Hay & Forage Equipment and Trailers)

By Automation

• Manual

• Semi-Automatic

• Automatic

By Application

• Land Development

• Plant Protection

• Threshing & Harvesting

• After Agro-Processing

By Sales Channel

• Original Equipment Manufacturers (OEMs)

• Aftermarket