Growing (with challenges): Romania's farm machinery market

Tractor imports to Romania keep growing & the structural outlook for farm machinery sales remains positive, acccording to the latest analysis from market research firm FRD Center:

  • Growing market: 2016 tractor imports were up by 25% (compared to 2015), rising to c. EUR 645 million, constant growth has been observed during the last 4 years.

At the same, time the strucutral need for modernisation remains high, as the existent mechanization and technology level is very low & the fleet is insufficient and old:

  • Old tractor fleet: one third of tractors in Romania are over 20 years old, c. 73% of tractors exceeded the recommended operation period of use.

At the same time, there are a number of challenges ahead for agriculture and the farm machinery market in Romania, most notably:

  • farm structure (small-sized, highly fragmented)
  • high number of semi-subsitance farms
  • insufficient use of EU funds
  • slow labour productivity growth
  • poor infrastructure
  • inadequate access to information (for farmers)

The FULL REPORT is attached below and available here:

http://www.frdcenter.ro/assets/FRD-Center-Romania-Agricultural-Machinery...