Speculation for 2025: Opportunities in Regional Markets

Last time we introduced the search for business opportunities in agricultural machinery exports, but in fact, there are still opportunities in the domestic regional market. From the perspective of the variety and quantity of agricultural machinery subsidies in various provinces and regions in 2024, there are still many agricultural machinery varieties subsidized in certain areas. Although they are suitable for small farmers to use, the quantity is large and the value is low. Personally, I believe that compared to what some people call "backward wheeled tractors", they are much more backward and urgently need innovation and upgrading. This time, let's talk about some opportunities in regional markets

As we know, Xizang's agricultural machinery market has developed rapidly in recent years. For example, the tractor market has upgraded from mainly belt driven wheeled tractors in the past to large and medium-sized wheeled tractors. For example, in the combine harvester market, the focus has shifted from traditional tracked mini machines to larger wheeled combine harvesters. Almost all enterprises that enter the Xizang wheeled tractor market have gained a lot, especially early entrants. This is the regional market opportunity.

From the subsidy sales of major agricultural machinery products in China in 2024, it can be seen that there are still many small-sized machines with large quantities. One is power farming machinery. More than 500000 micro tillage machines and 110000 field management machines are subsidized for sale nationwide, with prices around 2000 yuan. The province with the highest subsidy sales for micro tillage machines reached 95000 units, with the second place receiving over 70000 units and the third place receiving over 60000 units. In my opinion, at least a part of this should be the alternative market for small wheeled tractors or small tracked tractors.

The second is harvesting machinery. Although more than 50000 grain combine harvesters and over 30000 corn harvesters have been subsidized for sale nationwide, there are still provinces and regions that have subsidized the sale of a large number of threshers and corn peelers. The provinces with the first and second highest subsidized sales of threshers are 24000 and 15000 respectively, while the province with the highest subsidized sales of corn peelers is 23000.

Thirdly, there is significant room for improvement in the mechanization of animal husbandry. At present, the 15000 fully mixed feed preparation machines subsidized for sale are mainly small fixed types, and many farms also use a large number of grass cutters and feed crushers. In 2024, China will subsidize the sales of 30000 grass cutters and 165000 feed crushers.

The fourth is other small-scale agricultural machinery. For example, a small rice mill priced at a few hundred yuan can be sold with subsidies of 114600 units nationwide, with one province subsidizing the sale of over 100000 units. I personally believe that subsidies for small rice mills can be stopped, and subsidies for large combination rice mills can be concentrated to promote the upgrading of the rice milling industry in this province. For example, there are nearly 20000 tea picking machines in China, with one province subsidizing the sales of over 9000 units and another province subsidizing the sales of nearly 6000 units, most of which are small electric tea picking machines costing less than a thousand yuan.

It should be pointed out that the above data was collected in late December 2024. As the subsidy data for 2024 is mostly in the year 2023, and provinces and regions will gradually lead to 2024 by the end of the year, some data were collected in 2024, some are still in 2023, and some even have both years. Therefore, the statistical difficulty is relatively high, and the data is only for reference. At present, in the process of cross year data updates, some provinces and regions' previous data cannot be accessed.

In short, there is an opportunity in China's regional agricultural machinery market by 2025. Enterprises can search for or discover these markets or development opportunities based on the agricultural machinery subsidy data of various provinces and regions, and lay out relevant agricultural machinery products in advance to seize the opportunity.

Author: Shushuo Agricultural Machinery

Source: Agricultural Machinery News Network