Pune, India – Agricultural Tires Market is projected to be worth USD 10.87 billion by 2027, registering a CAGR of 5.41% during the forecast period (2021 – 2027), The market was valued at USD 7.5 billion in 2020 according to Market Research Future.
Agricultural tires are specialty tires used for agricultural machinery such as tractors, harvesters, trailers, etc. These tires provide better fuel economy, performance, and driver comfort of farming vehicles.
Agriculture tires, as the name implies are dedicated to complete farm or agriculture use. These tires have diagonal thread angled at 45 degrees. The treads provide maximum traction thereby allowing the tractor to move quickly through mud and soil. These are available in various sizes and diameter, for many kinds of equipment, including tractors, combine harvesters, sprayers, trailers, and skid steer loaders. These are made from supreme quality rubber for life long and better performance to remain durable on and off the field. They have substantial ribs and voids for traction in soft terrain. These tires have increased fuel efficiencies and hillside stability. Some tires have diamond tread design for minimal soil disruption.
Growing food demand is one of the prime reasons for the increased need for mechanization within the Agricultural sector. Tires play an essential role in the performance of the agricultural machines, and hence the demand for agrarian ties are increasing. However, Tires are hazardous to the environment as they are not biodegradable. They contribute to landfill waste and although are classified as municipal solid waste rather than hazardous waste by Environmental Protection Agency (EPA). Tires release toxins, and the oils it can contaminate the soil and groundwater. Further, solvents or volatile organic compounds (VOC) are used to produce heavy and treads for improving the adhesion of the tires, in which the process release the maximum number of emissions into the air. The hazardous nature of agricultural tires might hamper market growth shortly.
Growing demand for automation in farming activities to bridge the demand-supply gap of agricultural produce, rising adoption of advanced technologies in farming, and increasing demand for heavy-duty tires are likely to drive the agricultural tires market over the predicted years. Growing mechanization in agriculture in Middle East & Africa and Latin America regions is projected to boost the agriculture tire market in these regions. Financial support and subsidies from various governments and food organizations, such as FAO, is boosting the adoption of tractors in developing countries and is thus, anticipated to drive the agriculture tire market in these countries.
Tractors were earlier used for simple applications such as plowing, tilling. Presently, tractors perform an array of operations such as irrigation, harvesting, and fertilizer spreader; hence, more specialized tires with larger rim size are used, which are more expensive. Until 2009, the largest agriculture tire had a circumference of 243 inches; however, currently, tire manufactures are offering sizes as large as 256 inches. The overall increase in the size of the tire has fueled the price of the tire and, in turn, is boosting the market, in terms of revenue.
Digital innovations are bringing about a significant change in the agriculture tire market. For instance, in December 2019, leading German multinational automotive parts manufacturing company Continental AG announced the launch of Agriculture TireTech, an innovative agriculture app, which serves as a pressure and load calculator in order to achieve optimal safety and efficiency, while using Continental agricultural tires. With the help of mobile apps, companies in the agriculture tire market are aiming to expand their portfolio in comprehensive digital services and solutions for its customers.
Key players in the global Agricultural Tires market are Bridgestone Corp., Continental AG, Balakrishna Industries Limited, Titan International, Inc., Trelleborg AB, Michelin, Nokian Tyres PLC, Pirelli & C SpA, Alliance Tire Group, and Apollo Tyres.
The global Agricultural Tires market has been segmented by Tire Type, sales channel, Application, and region. Based on Tire Type, the global Agricultural Tires market can be bifurcated into Bias Tires and Radial Tires. The Radial Tires segment is anticipated to grow at a significant CAGR in the coming years. By Sales Channel, the Agricultural Tires market has been split into OEM and Aftermarket. The Aftermarket segment held a sizeable share and is anticipated to grow at a significant CAGR in the coming years. By Application, the Agricultural Tires market has been split into Tractors, Combine Harvesters, Sprayers, Trailers, Loaders, and Others. The Tractors segment held a sizeable share and is anticipated to grow at a significant CAGR in the coming years.
The global Agricultural Tires market size is anticipated to register a significant CAGR of ~ 5.41% between 2020 and 2027.