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ResearchinChina.com Publishes Global and China Agricultural Machinery 2010-2012 Industry Report - ResearchInChina, the vertical portal for Chinese business intelligence, announces the release of a new report – Global and China Agricultural Machinery Industry Report, 2010-2012
ResearchinChina.com Publishes Global and China Agricultural Machinery 2010-2012 Industry Report

 

PRZOOM - /newswire/ - Beijing, China, 2012/06/12 - ResearchInChina, the vertical portal for Chinese business intelligence, announces the release of a new report – Global and China Agricultural Machinery Industry Report, 2010-2012.

   
 
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The report analyzes the overall development of the global and China agricultural machinery and highlights the followings:

• Status Quo of Chinese Agricultural Machinery Industry: covering agricultural machinery subsidy, total amount of agricultural machinery equipment, equipment structure, agricultural mechanization, and agricultural machinery service;
• Key Products of Chinese Agricultural Machinery Industry: including tractors, harvesting machinery, field machinery, agricultural transportation machinery, irrigation and drainage machinery, and controlled environment agricultural machinery;
• The agricultural machinery equipment, agricultural mechanization, agricultural machinery service and future planning in major provinces and cities (including Shandong, Hebei, Henan, Anhui, Hunan and Jiangsu).

High Growth of Chinese Agricultural Machinery Industry
In recent years, fueled by the policies such as subsidy for agricultural machinery, the agricultural machinery equipment and mechanization in China have rapidly improved. As of 2010, the total power of agricultural machinery reached 928 million kilowatts, up 35.2% over 2005. The integrated mechanization level hit 52.3%, increasing 14.3 percentage points compared with that in 2006; specifically, the mechanization rate of plowing, sowing and harvesting registered 69.0%, 43.0% and 38.0%, respectively.

In 2011, subsidies for Chinese agricultural machinery increased to RMB17.5 billion and are expected to approximate RMB21 billion in 2012. Therefore, the investment in agricultural machinery and the farmers’ confidence in purchasing will further increase. By 2012, the total power of Chinese agricultural machinery will amount to 975 million kilowatts and the integrated mechanization level is likely to register 55.6%.

Boom of Major Agricultural Machinery Products
Bolstered by the flourishing of agricultural machinery industry in China, agricultural machinery products including tractors and harvesters witnessed mushrooming development. Among them, large and medium-sized tractors presented robust growth, with the output approaching 400,000 sets in 2010. The output of harvesters reached record 801,900 sets in 2010, and the growth is mainly attributable to two aspects. Firstly, the wheat harvester was again included in the subsidized product catalog in 2010 after three years of suspension. Secondly, as the mechanization level of corn and rice harvesting is relatively low, the government has listed corn and rice harvesters as the main subsidy objects, leading to growing demand for them.

The Industry First Rose in Key Agricultural Provinces
In recent years, the agricultural machinery industry first rose in Shandong, Henan and Hebei, etc. In 2010, the total power of agricultural machinery in these provinces all exceeded 100 million kilowatts. Shandong ranked No.1 with 116 million kilowatts. Breakthroughs were also made in some provinces in terms of agricultural machinery application in corn harvesting and rice planting. With respect to corn harvesting, Shandong became the first to realize full mechanization in corn production. The mechanization rate of corn harvesting in Shandong hit 71.5% in 2010 and is expected to surpass 80% in 2012. And in respect of rice planting, Jiangsu and Hunan took the lead. In 2012, the mechanization rate of rice planting reached 48.0% and 43.5% respectively in these two provinces, far higher than the average level in China.

Additionally, the report also focuses on 6 world-renowned agricultural machinery manufacturers including John Deere, CNH, Kubota and AGCO, as well as 12 key Chinese agricultural machinery enterprises such as YTO Group Corporation and Foton Lovol International Heavy Industry, etc.

The sound development momentum of Chinese agricultural machinery market has attracted a large number of global agricultural machinery enterprises. As of the third quarter of 2011, the world’s top 10 agricultural machinery players almost all set up plants or sales offices in China, of which John Deere and AGCO achieved booming development.

John Deere: in May 2011, Harbin Plant, John Deere’s seventh production base in China, was established and will mainly engage in the production of large and medium-sized tractors, spraying machines, sowing machines and harvesting equipment. On July 1, 2011, the groundbreaking ceremony was held and the plant is estimated to be put into operation at the end of 2012.

AGCO: in September 2011, AGCO announced that it would further expand its manufacturing operations in China and planned to invest USD300-350 million to expand the existing and planning production bases in the coming three years. Over USD30 million, over USD50 million and USD200 million will be invested in Daqing Plant, Yanzhou Plant and Changzhou Plant separately.

Along with the rising demand for agricultural machinery and the intensifying market competition in China, domestic agricultural machinery manufacturers have increased their investment and R & D efforts one after another.

In H1 2011, Foton Lovol International Heavy Industry successfully launched Lovol Harvester GF35 and GF40 with feed quantity of 3.5 kg and 4 kg targeting at Central Plains region, as well as Lovol Combine-Harvester GN60 with feed quantity of 6kg targeting at Northeast China. Besides establishing a foothold in Chinese agricultural machinery market, the company will strengthen its presence in overseas market in the future.

 
 
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ResearchinChina.com Publishes Global and China Agricultural Machinery 2010-2012 Industry Report

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