The Southeast Asian and African agricultural machinery markets are showing strong momentum

Annie 13522740852, Editor in Chief of World Agricultural Machinery Network

The FederUnacoma Association pointed out that the agricultural machinery industry is expected to experience significant growth in the coming years, but the market landscape 

will change.

In the coming years, Europe and North America will continue to maintain a dominant market position. However, countries such as Indonesia, Vietnam, the Philippines, and 

Thailand, where agricultural machinery imports continue to increase, will play an increasingly important role. Population growth - the root cause of the growing demand for 

agricultural technology - is also crucial for Africa, starting with Nigeria, Ethiopia, and the Democratic Republic of Congo.

The major markets in Europe and North America will maintain high levels of investment to ensure high-quality standards, while India and China, the two Asian giants, will seek to 

steadily advance mechanization processes based on the high production achieved in recent years, but emerging markets will include Southeast Asia and Africa. This is the 

development trend discussed by industry insiders at the conference held at the Bologna International Agricultural Machinery Exhibition EIMA.

Mariateresa Maschio, President of FederUnacoma, said at the meeting that the demand for agricultural machinery should increase significantly, and in regions of the world where 

population growth and agriculture are actively developing, there is a need for more powerful agricultural machinery equipment and technology than currently available.

As shown in the conference, the key country is Indonesia, which already has a population of about 300 million and is one of the most densely populated countries in the world. It 

is expected to further increase its population in the coming years. The import of agricultural machinery in Indonesia has been steadily increasing over the past 15 years, from 140 

million euros in 2009 to nearly 700 million euros in 2023 (with an average annual growth rate of 8.6%), and is expected to further increase by 6.7% annually in the next four years 

(2024-2027).

But the import of agricultural machinery in other populous Southeast Asian countries is also increasing:

Vietnam (with 100 million residents) is expected to see an annual increase of 6.2% in imports over the next four years;

The Philippines (with 110 million residents) should increase its import volume by 7.8% in the next four years;

After experiencing a slow growth rate of only 1% per year over the past 15 years, Thailand (with 71 million residents) is expected to achieve an average annual growth rate of 

6.8% between 2024 and 2027.

If the population growth in sub Saharan Africa accounts for 50% of the global population growth by 2050, then the impact of population variables on the African continent will be 

even greater. On the African continent, Nigeria stands out with a population of 230 million, which is expected to exceed 400 million by 2050 (making it the world's third most 

populous country), followed by Ethiopia and the Democratic Republic of Congo, which have a population of over 100 million and are destined to grow significantly in the next 20 

years, becoming one of the top 10 most populous countries on Earth.

The meeting pointed out that currently only 46% of arable land in Nigeria is utilized, and only 10% of arable land in the Democratic Republic of Congo is used for agriculture. 

Therefore, converting new land into arable land is the top priority for these countries and other countries on the African continent, and in the near future, the demand for 

technology will increase (until 2027, Ethiopia's agricultural machinery imports will grow by 7% annually, and Congo's will increase by 12%), but even more in the next 20 years.