The 2025 projection for GDP of Thailand is estimated to be USD 585.6 billion while the GDP (PPP) of the country is expected to reach USD 1,836.1 billion
The future estimates indicate the contribution of the agriculture sector to further decline in 2016 to 9.3% and by 2020; the sector is estimated to contribute 10.3% to overall GDP
The revenues from the overall agriculture equipment market increased at a CAGR of over 11% from 2010 to 2015.
Changes in labour force pattern, improving credit environment, government support for agricultural mechanization and a strong replacement demand are expected to drive the growth of agricultural equipments in Thailand
Ken Research announced its latest publication on “Thailand Agricultural Machinery Market Outlook to 2020 – Changing Labour Force Pattern and Improving Credit Environment to Shape Future Growth” provides a comprehensive analysis of the agricultural machinery market in Thailand and covers aspects such as the market size on the basis of sales volume and revenue for Tractors, Combine Harvesters, Rice Transplanters and Tractor Implements (Rotavators, disk harrows, ploughs, fertilizer spreaders). The segmentation for Tractors, Combine Harvesters and Rice Transplanters has been created on the basis of Horsepower while the segmentation for Tractor Implements has been showcased by products.
The report also covers the market share, competitive landscape and working business model of major manufacturers, along with warranty policies and distribution channels of agricultural equipments. In addition to this, the report also covers the country overview, government regulation and agricultural overview of Thailand. GDP, Per Capita Income and Population Demographics are analyzed in country overview. Land under cultivation, Changes in cropping patterns, farm holding structure and scale of mechanization are covered in agricultural overview. Regulatory policies, the import duty structure, certification and emission standard, subsidies and financing options are covered in government regulation. This report will help industry consultants, agricultural machinery manufacturers and dealers, retail chains, potential entrants and other stakeholders to align their market centric strategies according to the ongoing and expected trends in the future.
The agricultural equipments used in Thailand are locally produced, such as tractor, power tiller, disc plough, disk harrow, water pump, sprayer, threshing machine, reaper, combine harvester, cleaning equipment, dryer, rice milling machines and processing equipment. However, local machines produced from small manufacturer, are not standardized in quality, efficiency and durability. Currently, there are two forms of utilizing agricultural machinery: as machine owner and machines hiring service, according to the Market Research Analyst, Ken Research.
Given the target audience, it is essential that manufacturers use efficient channel strategies to create awareness and boost the sale of agricultural machinery. Majority of the sales of new tractors is accompanied with the purchase of tractor implements in Thailand. Thus, it is vital that manufactures have an extensive dealer network and proficient sales men. With respect to sales of agricultural tractors, Japanese manufacturer Siam Kubota had the highest market share in the country.
Accordingly to the research analyst, It is essential to understand the decision making process of farmers in the procurement of agricultural equipments. Region and land holding size are the primary factors that determine the type of agricultural machines a farmer would like to purchase, according to the Market Research Analyst, Ken Research.
