Farm Equipment Rental Market By Equipment Type (Tractors, Harvesters, Sprayers, Balers, Others) , By Drive Type (Four-Wheel-Drive, Two-Wheel-Drive) By Power Output (<30 HP, 31-70 HP, 71-130 HP, 131-250 HP, >250 HP) : Global Opportunity Analysis and Industry Forecast, 2024-2033
Farm Equipment Rental Market
The farm equipment rental market was valued at $53.2 billion in 2023 and is projected to reach $81.1 billion by 2033, growing at a CAGR of 4.3% from 2024 to 2033.
Farm equipment rental is the practice of leasing machinery associated with agricultural operations, instead of purchasing them. With the constantly evolving landscape of the agricultural industry, rental solutions prevent farm owners from investing a large sum on diverse equipment that caters to different requirements of farming. Farm equipment rental solutions provide farm owners the flexibility to lease necessary machinery for the required period, preventing expenditure on purchase and maintenance.
Easy availability of equipment integrated with latest technologies without the investment of significant amounts is a key driver of the farm equipment rental market. In addition, the flexibility of scaling agricultural operations as per seasonal demands boosts the need for farm equipment rental, propelling the market growth significantly. A notable trend acquiring traction in the farm equipment rental market is the availability of flexible agreements. Lessees have the option to choose from long-term agreements, short-term agreements, or pay-per-use models as per their requirements and budget.
However, concerns pertaining to the reliability of rented equipment prompt several farm owners to directly purchase machinery instead of leasing, hampering the development of the farm equipment rental market. Moreover, limited access and equipment shortages during seasonal peaks restrain the market growth significantly. On the contrary, the development of several peer-to-peer rental platforms is poised to present lucrative opportunities for the market. For instance, the Indian Department of Agriculture & Farmers Welfare recently launched a multi-language mobile app “FARMS- Farm Machinery Solutions” to help individual farmers across the nation willing to rent their agricultural machinery and enhance their farm income. Therefore, the usage of technology is anticipated to open new avenues for the farm equipment rental market.
Segment ReviewThe farm equipment rental market is segmented into equipment type, drive type, power output, and region. On the basis of equipment type, the market is divided into tractors, harvesters, sprayers, balers, and others. Depending on drive type, it is bifurcated into four-wheel-drive and two-wheel-drive. As per power output, it is classified into<30 HP, 31-70 HP, 71-130 HP, 131-250 HP, and >250 HP. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Key FindingsOn the basis of equipment type, the tractors segment held a high share of the market in 2023.
Depending on drive type, the four-wheel-drive segment acquired a high stake in the market in 2023.
As per power output, the 71-130 HP segment accounted for a high market share in 2023.
Region wise, Asia-Pacific is expected to be the highest revenue generator by 2033.
Competition AnalysisThe major players of the global farm equipment rental market include AGCO Corporation, Deere & Company, Escorts Limited, Flaman Group of Companies Ltd., Friesen Sales & Rentals, Messick Farm Equipment Inc., Pacific Ag Rentals LLC, Pacific Tractor & Implement, Premier Equipment Ltd., and The Papé Group Inc. These major players have adopted various key development strategies such as business expansion, new product launches, and partnerships to strengthen their foothold in the competitive market.
Key Market SegmentsBy Equipment TypeTractors
Harvesters
Sprayers
Balers
Others
By Drive TypeFour-Wheel-Drive
Two-Wheel-Drive
By Power OutputLess than 30 HP
31-70 HP
71-130 HP
131-250 HP
and250 HP
By RegionNorth America
U.S.
Canada
Mexico
Europe
France
Germany
Italy
UK
Rest of Europe
Asia-Pacific
China
Japan
India
South Korea
Rest of Asia-Pacific
LAMEA
Latin America
Middle East
Africa
Key Market PlayersAGCO Corporation
Deere & Company
Escorts Limited
Flaman Group of Companies Ltd.
Friesen Sales & Rentals
Messick Farm Equipment Inc.
Pacific Ag Rentals LLC
Pacific Tractor & Implement
premier equipment ltd.
The Papé Group Inc.