European market for arable farming and crop protection equipment decreasing in 2023

  • According to preliminary information collected by CEMA, the European Agricultural Machinery Association, the market volume for arable farming and crop protection equipment is expected to amount to EUR 4.70 billion in 2023

This marks a decrease of about 3% when compared to the previous year (2022), with -5% for the seeding, fertilizing, crop protection equipment segment, and -2% for soil working equipment.

The current and expected market situation was discussed at the CEMA annual meeting of the three CEMA European Product Groups – for Soil Working Equipment, for Seed Drills and Fertilizer Spreaders, and for Crop Protection – which took place in Hasbergen at Amazonen-Werke H. Dreyer.

The agricultural machinery industry as a whole experienced a steady growth from 2021 to 2023, but a decline is expected in 2024 for up to -10% of the market volume. A strong downward trend has already been observed since the fourth quarter of last year.

A number of challenges are becoming apparent on the industry’s demand side, in addition to the still-noticeable effects of the Covid-19 crisis. The new EU CAP policy, the farmers’ protests, volatile markets and high interest rates are factors having a negative impact on farmers’ willingness to invest. Further adjustments will depend on developments in the end customer markets.

The strong participation to this year’s meeting of the CEMA Product Groups confirmed the good cooperation and steady growth of the network. A total of 47 company representatives took part in the meeting. The groups also welcomed two new participating companies: DCM Spreaders, and Unia. Furthermore, companies Einböck and Pöttinger could expand their participation by joining an additional Product Group.

During this year’s meeting, Mr, Dirk Hollinderbäumer (LEMKEN GmbH & Co. KG) was re-elected as chairman of the European Product Group for Soil Working Equipment. The other two groups elected new chairmen: Mr. Christian Gall (Amazonen-Werke H. Dreyer SE & Co. KG) is the new chairman of the European Product Group for Seed Drills and Fertilizer Spreaders, and Mr. Dirk-Jan Stapel (Kverneland Group Nieuw-Vennep BV) is the new chairman of the European Product Group for Sprayers.

The CEMA Product Groups are composed of leading European manufacturers of equipment for arable farming, for harvesting forage and hay, as well as tractors and combine harvesters. The main focus is placed on a joint assessment of the market based on dedicated statistics. Currently, around 30 companies from more than 10 European countries are members of the CEMA product groups in the field of arable farming. The prerequisite for participation is membership in a national industry association belonging to the umbrella organisation CEMA.

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