The micro irrigation industry in the US grew rapidly during 2010-2015 owing to superior efficiency of the systems in water usage and crop yields, easy implementation of fertigation and chemigation, lesser labor requirements and minimized fertilizer / nutrient loss. Several beneficial attributes of micro irrigation systems coupled with water scarcity and drought situations in many states are likely to catalyze the growth of the micro irrigation industry in the near future.
It has been forecasted that the net farm income of the country would decline for the third straight year by 3% in 2016, with recovery expected in 2017. Hence, in the short term farmer sentiments on investing in micro irrigation system is anticipated to remain low and the industry is forecasted to grow at slower pace as compared to 2010-2015. Nevertheless, net farm income is forecasted to witness positive growth post 2017 and subsequently augment the growth of the micro irrigation industry in the long term.
US micro irrigation market poses a lucrative opportunity for new energy efficient equipments since the market is at its growing stages at the moment. Presently, about 65% of the total irrigated land in the US has employed micro irrigation systems for the purpose of cultivating crops. Moreover, only about 55.0 million acres or 7.6% of all US cropland and pastureland were irrigated as of 2015. Hence, growing water and food scarcity presents huge potential for the micro irrigation industry to expand and proper in the near future. The industry was quite concentrated with a bunch of players comprising for a major bulk of the overall market. Lindsay, Valmont, Netafim, The Toro Company and Jain Irrigation were the prominent companies developing and marketing micro irrigation system as of 2015. Lindsay emerged as the market leader in 2015 in terms of revenue.
Sprinkler irrigation systems accounted for majority of the market revenues as compared to drip irrigation systems in 2015. Center pivot sprinkler systems generated bulk of the sprinkler system revenues in 2015. Although drip irrigation systems were installed in considerably lesser irrigated area of land as compared to sprinkler systems, drip irrigation equipments contributed to the market share in terms of revenues due to their higher installation and maintenance costs. Utilization of micro irrigation systems in field crops and orchard crops generated majority of the overall revenues in 2015, respectively.
California had by far the largest area of land irrigated by drip irrigation systems in the country. Nebraska had the largest irrigated area in the country and a vast majority of which employed sprinkler irrigation systems.
However, there are certain market challenges that are faced by the farmers such as the high cost involved in installing micro irrigation systems. Therefore, the purchase decision is based on the expected return on investment through crop yields, labor and energy usage. Moreover, clogging of emitters or drippers is a major challenge with micro irrigation systems. Due to salinity and other impurities found in ground water in many regions, drippers and sprinklers gets choked due to deposition of salt and impurities over a period of time. Clogging increases the cost of maintenance as it requires the farmers to replace the clogged emitter.
According to an industry veteran, “Drip irrigation systems are far more expensive and are ideal for installation in small farms due to their higher capital cost and maintenance. However, they are more efficient irrigation systems utilizing much lesser water and fertilizers and also prevent weed growth. Owing to the superior efficiency of drip irrigation systems, they are expected to witness higher adoption as compared to sprinkler systems in the near future.”
“A company must have a good network of dealer to cater to the demand across the country. Since sprinkler and drip irrigation systems are individually more suited for a particular segment of crops, companies must make an effort in brand building by judiciously marketing and promoting the right irrigation system for cultivating a particular type of crop. This would help them build their brand in particular segments which would be highly beneficial for the companies in the longer run.” according to the Market Research Analyst, Ken Research.
The report titled “US Micro Irrigation Market Outlook to 2020 - Growing Water Scarcity and High Efficiency of Drip Irrigation to Stimulate Growth” provides detailed overview on the US micro irrigation market and helps the readers to identify the ongoing trends in the industry and anticipated growth in future depending upon changing industry dynamics in coming years. The report will help industry consultants, existing micro irrigation equipment manufacturers, new players venturing in the market and other stakeholders to align their future growth strategies according to ongoing and expected trends in the future considering the recommendations and insights given in the reports.
For More Details Visit : https://www.kenresearch.com/agriculture-and-animal-care/farming/us-micro-irrigation-systems-market-report/42041-104.html