Micro Irrigation System Market is influenced by a multitude of market factors that collectively shape its dynamics, growth, and overall landscape. One primary factor driving the market is the increasing global awareness of water scarcity and the imperative to enhance water-use efficiency in agriculture. Micro irrigation systems, including drip and sprinkler systems, address this concern by delivering water precisely to the root zones of crops, minimizing wastage, and optimizing resource utilization. As water resources become scarcer and more valuable, the demand for micro irrigation systems is propelled by the urgent need for sustainable water management practices in agriculture.
Population growth and urbanization contribute significantly to the market factors shaping the Micro Irrigation System Market. The rising global population, coupled with urban expansion, intensifies the pressure on agricultural systems to produce more food. Micro irrigation systems play a vital role in meeting this demand by allowing farmers to maximize yields and enhance productivity while using water resources more efficiently. The market factors are thus influenced by the imperative to achieve food security amidst population growth and changing demographics.
Climate change and unpredictable weather patterns are critical market factors influencing the adoption of micro irrigation systems. Erratic rainfall, prolonged droughts, and extreme weather events pose challenges to traditional irrigation methods. Micro irrigation systems offer a solution by providing controlled and consistent water supply, mitigating the impacts of climate-related uncertainties. The market factors are driven by the need for climate-resilient irrigation practices that can adapt to changing environmental conditions.
Government policies and initiatives play a pivotal role in shaping the Micro Irrigation System Market. Many governments worldwide are actively promoting the adoption of micro irrigation systems as part of broader strategies for sustainable agriculture and water conservation. Financial incentives, subsidies, and regulatory frameworks that encourage farmers to invest in water-efficient irrigation systems contribute significantly to the market factors by fostering a conducive environment for the adoption of micro irrigation technologies.
Economic considerations and the overall cost of implementing micro irrigation systems are crucial market factors influencing adoption rates. While micro irrigation systems offer long-term benefits in terms of increased yields and water savings, the initial investment can be a barrier for some farmers. Market factors are influenced by the affordability and return on investment considerations, prompting innovations that aim to provide cost-effective solutions and address economic barriers to adoption.
Technological advancements and innovation are pivotal market factors within the Micro Irrigation System Market. The development of new materials, improved system designs, and the integration of smart technologies enhance the efficiency and effectiveness of micro irrigation systems. Market factors are driven by ongoing technological innovations that contribute to the precision, automation, and adaptability of micro irrigation solutions, positioning them as advanced and intelligent tools in modern agriculture.
The dynamics of global trade and supply chain logistics influence market factors within the Micro Irrigation System Market. The availability and pricing of key components, such as pipes, pumps, and emitters, are subject to international trade dynamics. Market factors are shaped by the interconnectedness of the global supply chain, with fluctuations in currency exchange rates, trade policies, and geopolitical events impacting the overall accessibility and affordability of micro irrigation components.
Farmers' awareness and education on the benefits of micro irrigation systems are critical market factors influencing adoption rates. As farmers gain knowledge about the advantages of these systems, including water savings, increased crop yields, and improved resource management, the market dynamics are influenced by a growing demand driven by informed decision-making among agricultural practitioners.
Competitive dynamics and the presence of key players in the Micro Irrigation System Market contribute significantly to market factors. The industry is characterized by the participation of global companies offering a diverse range of micro irrigation products and solutions. Market factors are influenced by the competitive landscape, technological leadership, and strategic collaborations, contributing to the overall market share distribution among industry players.
In conclusion, the Micro Irrigation System Market is shaped by a complex interplay of market factors, including the global imperative for water-use efficiency, population growth, climate change challenges, government policies, economic considerations, technological innovations, global trade dynamics, farmer awareness, and competitive dynamics. As these factors continue to evolve, the Micro Irrigation System Market is poised to play an increasingly vital role in sustainable and efficient irrigation practices within the global agricultural sector.
Report Attribute/Metric | Details |
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Market Size Value In 2023 | USD 665.42 million |
Growth Rate | 4.89% (2024-2032) |
The micro irrigation system market size was valued at USD 665.42 million in 2023. The micro irrigation system industry is projected to grow from USD 698.78 million in 2024 to USD 1024.15 million by 2032, exhibiting a compound annual growth rate (CAGR) of 4.89% during the forecast period (2024 - 2032).Growth in greenhouse vegetable production, increasing use of artificial intelligence in micro irrigation system, and higher yield requirements are the key market drivers enhancing the micro irrigation system market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
A major alternative to overcoming yield issues is cultivating flowers and vegetables in greenhouses. ‘Increasingly, farmers are turning to greenhouses as they provide year-round production. It is commonly found for greenhouses in the country to be equipped with micro irrigation systems. A drip irrigation system is the most common micro irrigation system in greenhouses.
Further, over the past few years, greenhouse revenues have also increased. For instance, according to Statistics Canada, by 2021, greenhouse sales, nursery sales, field cut flowers, and sod sales had increased 7.5% to USD 4.7 billion. In addition to growth in greenhouse revenue, the micro irrigation systems market is also experiencing growth in sales.
Additionally, most greenhouses are used to grow leafy vegetables, capsicums, flowers, and tomatoes. Greenhouses and micro irrigation systems are being subsidized by the country's central and state governments. The Indian government, for instance, aims to irrigate 100 lakh hectares under micro-irrigation within five years in the 2021 budget. A similar number of farmers benefited from drip and sprinkler irrigations in 2019-20. As a result, state governments are increasingly intervening in the micro irrigation systems through subsidies and investing in technology to make their products more efficient and effective; this is expected to result in further micro irrigation systems market growth.
However, governments across agro-dominant countries of Asia are encouraging farmers to use irrigation techniques that use less water to produce crops sustainably is another factor driving the growth of the micro irrigation system market revenue.
The micro irrigation system market segmentation, based on type, includes drip irrigation and sprinkler irrigation. The drip irrigation system segment held the majority share in 2021, contributing to around ~60% of the micro irrigation system market revenue. Moreover, drip irrigation is growing in popularity among field crop producers due to its precise application, making it an increasingly popular producers. Additionally, the market for drip irrigation is supported by an increase in the price of field crops, a reduction in water usage, and the adoption of sustainable irrigation methods. In addition, the rise of the population raises the demand for food, increasing drip irrigation sales. Ultimately boost the demand for the micro irrigation systems in the market.
August 2022 The Colorado government has declared a severe drought due to the Colorado River south basin water crisis. In response to the adverse effects of the drought on the Colorado River, Colorado's agricultural minister, Kyrsten Sinema, announced a USD 4 billion compensation. Reforming the river's dams, developing its infrastructure, and utilizing water efficiently through drip irrigation are among the tasks that will be undertaken with these funds. For plants to grow properly, drip irrigation provides them with proper water and nutrition.
February 2021 Among Rother Farming's new products are micro irrigation systems known as the N-Drip. Adaptable irrigation systems are designed to save approximately 25% water without requiring as much capital as lateral irrigation systems.
The micro irrigation system market segmentation, based on crop type, includes plantation crops, field crops, landscape, and others. The plantation crop segment dominated the micro irrigation systems market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Many horticulture crops, such as fruits and vegetables, require a specific environment to grow properly, which is why this type of irrigation is ideal for them. demand for cash and high-value crops is driving the growth of micro irrigation systems market. Additionally, the micro irrigation systems market's growth is accelerated by the suitability of drip irrigation systems for producing a variety of orchard crops, including tomatoes, bananas, beetroots, and others.
August 2021 In collaboration with The Consulate General of Israel to South India, Jain Irrigation Systems, United Planters' Association of Southern India (UPASI), and NaanDanJain Irrigation launched a Smart IoT Irrigation Project in Tea Plantations in Ooty, Tamil Nadu. Israeli scientists have developed Smart IoT Irrigation, a cutting-edge technique that judiciously uses water and helps farmers achieve higher crop yields with less water usage. This advancement has further broadened the growth opportunity for the micro irrigation system industry.
Figure 2: Micro Irrigation System Market, by Crop Type, 2021 & 2030 (USD Million)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Additionally, the field crops segment is poised to grow during the forecast period due to increased efforts by market players to develop low-cost and budget-friendly systems.
By region, the study provides micro irrigation systems market insights into North America, Europe, Asia-Pacific and the Rest of the World. Asia Pacific micro irrigation system market, which accounted for USD 282.82 million in 2021, is expected to exhibit a significant CAGR during the study period. Owing to factors such as the adoption of micro irrigation systems by rural farmers and the growing demand for organic products. Further, A high adoption of advanced irrigation systems such as drip and sprinkler irrigation is occurring as the region shifts its focus toward developing new irrigation systems.
Further, the major countries studied in the micro irrigation systems market report are: The U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 3: MICRO IRRIGATION SYSTEM MARKET SHARE BY REGION 2021 (%)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Middle-East and African micro irrigation system market accounts for the second-largest market share. Due to urbanization and well-maintained drainage systems, market demand is increasing in this region. Further, the government's increased investment in improving the living standard contributes to the economy's growth. Further, the South African micro irrigation system market held the largest market share in the Rest of the world region
The North American micro irrigation system market is expected to grow at the fastest CAGR from 2022 to 2030. A growing awareness of advanced precision farming techniques in countries such as the U.S. and Mexico and their widespread adoption among farmers are spurring the growth of this market. Moreover, the U.S. micro irrigation system market held the largest market share, and the Canadian micro irrigation system market was the fastest-growing market in the North American region.
For instance, Toro announced in March 2020 that it would acquire Venture Products, Inc (US), a leading innovator in turf and landscape management equipment. The acquisition will help Toro expand its US product portfolio.
Major market players are spending a lot of money on R&D to increase their product lines, which will help the micro irrigation system market grow even more. Market participants are also taking various strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Micro irrigation system competitors must offer cost-effective items to expand and survive in an increasingly competitive and rising micro irrigation systems market environment.
One of the primary business strategies manufacturers adopt in the micro irrigation system industry to benefit clients and expand the market sector is manufacturing locally to reduce operating costs. In recent years, the micro irrigation system industry has provided better yields with some of the most significant benefits. The micro irrigation system markets major player such as Netafim Limited (Israel), The Toro Company (US), Metro Irrigation (India), Lindsay Corporation (US), and others are working on expanding the market demand by investing in research and development activities.
Netafim Limited (Israel) The Company provides irrigation equipment and water technologies for agriculture, landscape, and mining, including irrigation drips, sprinklers, valves, and flexible pipes. Customers around the world benefit from Netafim's services. In March 2020, A collaboration between Netafim Limited and FluroSat (Australia), a leader in remote sensing and analytics, was announced to integrate FluroSat's data into NetBeat, the company's cloud-based platform for automated irrigation and fertigation. This way, Netafim Limited's customers could get irrigation recommendations tailored to their specific sites.
Also, Lindsay Corporation (US) manufactures and sells irrigation equipment used to irrigate crops, including center pivots and lateral moves. A part of the Company's business is outsourcing manufacturing and production services to original equipment manufacturers in the United States. In July 2020, in announcing the acquisition of Net Irrigate, LLC (US), Lindsay Corporation acquired a company providing remote monitoring solutions to irrigation customers through the Internet of Things. By acquiring the company, the company would be able to expand its irrigation technology offerings.
Recent News:
Netafim India has introduced an innovative irrigation system with anti-clogging technology that guarantees optimal nutrient and water delivery in October 2023. By 2025, the organization intends to utilize the new system on 25,000 hectares and reach 35,000 producers throughout the nation.
Rivulis, a global leader in micro irrigation solutions, makes the most exhaustive body of information on drip irrigation available to farmers and agribusinesses worldwide for free in November 2023. An industry-leading initiative that provides drip irrigation professionals with the means to enhance their skills and ensure that their operations are of the highest caliber in order to optimize yield and quality. Sustaining commercial viability in the agricultural sector is becoming increasingly difficult due to the ongoing pressure on profit margins. The complexities exacerbated by climate change make proper irrigation more crucial than ever before. Enhancing quality and yields is the primary aim of every agricultural endeavor, and this is accomplished via the manipulation of climate, nutrition, water, and genetics. One of these four major factors is water, which can be regulated with the help of drip irrigation solutions, such as those offered by Rivulis. These systems deliver water and plant nutrients directly to the roots of the plants, thereby conserving water and nutrients. Containing four modules, the Irrigation Drip Guide is accessible via the Rivulis Knowledge Hub.
May 2020:In order to prevent clogs, Toro introduced Toro Aqua-Traxx Azul drip tape. In order to maximize clog resistance and performance, the drip tape is designed to have a filter inlet and optimized flow passages.
March 2020:A new platform for environmental data services and automatic irrigation control has been launched by Jain Irrigation Systems Limited. Artificial intelligence and predictive analytics were used for the first time in a smart irrigation solution for landscape management.
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