Indonesia Farm Equipment Market Size, Share, Opportunities, And Trends By Type (Combines, Plows, Sprayers, Planters, Others), By Power Source (Mechanical, Electrical, Others), By Function (Plowing & Cultivating, Sowing & Planting, Plant Protection & Fertilizing, Harvesting & Threshing), And By Application Period (Pre-Harvesting, During and Post-Harvesting) - Forecasts From 2025 To 2030
- Published : Dec 2024
- Report Code : KSI061613189
- Pages : 80
The Indonesia farm equipment market is anticipated to grow at a CAGR of 5.51% over the forecast timeline, increasing from US$4.194 billion in 2025 to US$5.484 billion by 2030.
Farm equipment is a type of machinery and tools used in the agricultural landscape to efficiently produce crops. It includes tools, devices, and machinery, like tractors, plowing machines, implanters, harvesters, and planting tools
The Indonesian farm equipment industry is rapidly growing because of various other attributes, especially rising agricultural production, mechanization, government support, and technological advancement.
Farmers produce more to fill the foods that have a high increasing demand while increasing efficiency, which the Indonesian government actively promotes mechanization through subsidies and incentive programs.
Moreover, one of the major driving factors behind the Indonesian farm equipment market growth is attributed to the higher participation of the younger population in the nation. With this participation, the introduction of new machinery and equipment with advanced technologies will increase in the nation.
The Food and Fertilizer Technology Center (FFTC), in its report, stated that in Indonesia, the total number of farmers between the ages of 20 and 39 years was recorded at about 11.557 million in 2022. In contrast, about 17.027 farmers were between the age group of 40 to 59 years. The total number of farmers between the age of 15-19 years was about 1.139 million, and 8.979 million farmers were above the age of 60 years.
What are the drivers of the Indonesia Farm Equipment Market?
- The rising agricultural production is projected to fuel the Indonesia farm equipment market expansion.
One of the key factors pushing the Indonesian farm equipment market is the growing agricultural production in Indonesia. The Indonesian agricultural sector observed major growth in recent years with the introduction of new technologies, equipment, and farming solutions. With the rise of agriculture production in the country, the total demand for farm equipment, like tractors, harvesters, and implanters, among others, is also growing significantly.
The Foreign Agriculture Service of the US Department of Agriculture, in its report, stated that the total agricultural production of Indonesia grew in the past few years. The agency also stated that in 2023-24, the total production of rice was estimated at 33,020 thousand tons. In contrast, the total production of corn, peanut, and soybean was estimated at 12,700 thousand tons, 880 thousand tons, and 360 thousand tons respectively. The total production of rice and corn is estimated to reach about 34,000 thousand tons and 13,200 thousand tons, respectively, in 2024-25, according to the agency.
In addition, increasing population and income will indeed lead to higher food demand, so farmers in the region will need to increase agricultural production through mechanization, including tractors, harvesters, and irrigation facilities. Furthermore, the Indonesian government promotes agricultural mechanization to improve productivity and competitiveness through subsidy and incentive programs for the target farmers using agricultural equipment, contributing to the rise in the market in the coming years.
- The growing use of harvesting and threshing practices is anticipated to boost the Indonesia farm equipment market expansion.
The Indonesian farm equipment will witness an increase in advanced harvesting and threshing equipment demand as they increase crop productivity and efficiency by decreasing labor costs. Additionally, proper harvesting and threshing machinery can minimize post-harvest losses by avoiding harm to crops amid and after harvest, as well as guarantee timely harvesting and processing, lessening crop spoilage
Moreover, the supportive government initiatives and policies to promote farming machinery will also propel the market expansion. For instance, as per ITA 2024 data, PT PLN, the state-owned electricity company, is executing the "Electrifying Agriculture" program, providing incentives and grid expansion to empower farmers to shift to electric machinery.
This function will also witness a significant rise due to increased demand for efficient harvesting solutions. The Indonesian government's aspiring crop production targets to fulfill the increasing domestic demand and ensure food security will lead to a rise in the market, as farmers will be required to increment their crop yields and productivity to attain these targets. Achieving these targets will directly contribute to harvesting and threshing segment growth in the Indonesian farm equipment market in the coming years.
Following this, the Indonesian government's analysis reported that there is a consistent per capita rice utilization of 139.15 kg/year, which would lead to the requirement increase in rice production anticipated to rise from 38.02 million tons during 2020-2025 to 47.9 million tons by 2030-2040. This will result in a substantial increase in market growth over the coming years.
Key players in the Indonesia Farm Equipment Market:
- Yanmar Holdings Co., Ltd.- Yanmar Holdings Co., Ltd. is regarded as a leading player and pioneer in the farm equipment market in Indonesia. The company provides a broad portfolio of equipment such as tractors, tillers, and combined harvesters, among others. As part of its business strategy, Yanmar focuses on the development of battery-powered machinery and engines to contribute towards carbon neutrality goals and sustainable operations in the long term. The company also strives to achieve this through the Yanmar Green Challenge 2050.
- John Deere- John Deere was founded in 1837 and is a global leader in providing advanced products, technology, and services for agriculture and construction including in Indonesia. They offer technology-enabled products like the John Deere Autonomous 8R Tractor, See & Spray™, and E-Power Backhoe. The company manufactures agricultural machinery, heavy equipment, forestry machinery, diesel engines, drivetrains, and lawn care equipment and is known for its high-quality agricultural machinery, including tractors, combines, balers, and planters, as well as construction equipment like bulldozers, excavators, and loaders.
Recent developments in the Indonesia Farm Equipment Market:
- October 2024-FAO Indonesia launched the Farmers Regeneration Programme with the World Food Forum (WFF) Indonesia National Chapter in collaboration with the Executive Office of the President of the Republic of Indonesia and the Coordinating Ministry for Economic Affairs. The initiative aims to respond to the urgent fact of youth engagement and empowerment in sustaining the agricultural sector for the future of Indonesia.
Indonesia Farm Equipment Market Scope:
Report Metric | Details |
Indonesia Farm Equipment Market Size in 2025 | US$4.194 billion |
Indonesia Farm Equipment Market Size in 2030 | US$5.484 billion |
Growth Rate | CAGR of 5.51% |
Study Period | 2020 to 2030 |
Historical Data | 2020 to 2023 |
Base Year | 2024 |
Forecast Period | 2025 – 2030 |
Forecast Unit (Value) | USD Billion |
Segmentation |
|
List of Major Companies in Indonesia Farm Equipment Market |
|
Customization Scope | Free report customization with purchase |
The Indonesia farm equipment market is analyzed into the following segments:
- By Type
- Tractors
- Sprayers
- Harvesters
- Plows
- Balers
- Others
- By Power Source
- Mechanical
- Electrical
- Others
- By Function
- Plowing & Cultivating
- Sowing & Planting
- Plant Protection & Fertilizing
- Harvesting & Threshing
- Others
- By Application Period
- Pre-Harvesting
- During and post-harvesting
Frequently Asked Questions (FAQs)
The indonesia farm equipment market is expected to reach a total market size of US$5.484 billion by 2030.
Indonesia Farm Equipment Market is valued at US$4.194 billion in 2025.
The indonesia farm equipment market is expected to grow at a CAGR of 5.51% during the forecast period.
The indonesia farm equipment market has been segmented by type, power source, function, and application period.
Prominent key market players in the indonesia farm equipment market include JCB, Yanmar Holdings Co., Ltd., John Deere, Agrindo Maju Lestari Inc., Mahindra, among others.
1. INTRODUCTION
1.1. Market Overview
1.2. Market Definition
1.3. Scope of the Study
1.4. Market Segmentation
1.5. Currency
1.6. Assumptions
1.7. Base and Forecast Years Timeline
1.8. Key benefits for the stakeholders
2. RESEARCH METHODOLOGY
2.1. Research Design
2.2. Research Process
3. EXECUTIVE SUMMARY
3.1. Key Findings
3.2. Analyst View
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porter’s Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. INDONESIA FARM EQUIPMENT MARKET BY TYPE
5.1. Introduction
5.2. Tractors
5.3. Sprayers
5.4. Harvesters
5.5. Plows
5.6. Balers
5.7. Others
6. INDONESIA FARM EQUIPMENT MARKET BY POWER SOURCE
6.1. Introduction
6.2. Mechanical
6.3. Electrical
6.4. Others
7. INDONESIA FARM EQUIPMENT MARKET BY FUNCTION
7.1. Introduction
7.2. Plowing & Cultivating
7.3. Sowing & Planting
7.4. Plant Protection & Fertilizing
7.5. Harvesting & Threshing
7.6. Others
8. INDONESIA FARM EQUIPMENT MARKET BY APPLICATION PERIOD
8.1. Introduction
8.2. Pre-Harvesting
8.3. During and Post-Harvesting
9. COMPETITIVE ENVIRONMENT AND ANALYSIS
9.1. Major Players and Strategy Analysis
9.2. Market Share Analysis
9.3. Mergers, Acquisitions, Agreements, and Collaborations
9.4. Competitive Dashboard
10. COMPANY PROFILES
10.1. Kubota Corporation
10.2. Sonalika Group (International Tractors Limited)
10.3. JCB
10.4. Yanmar Holdings Co., Ltd.
10.5. John Deere
10.6. Agrindo Maju Lestari Inc.
10.7. Mahindra
10.8. PT. ISEKI Indonesia
10.9. Zoomlion Heavy Industry Science &Technology Co., Ltd.
Kubota Corporation
Sonalika Group (International Tractors Limited)
JCB
Yanmar Holdings Co., Ltd.
John Deere
Agrindo Maju Lestari Inc.
Mahindra
PT. ISEKI Indonesia
Zoomlion Heavy Industry Science &Technology Co., Ltd.
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