Updated Nov 15, 2022 03:25

Market for Agricultural And Forestry Tractor in Ukraine

Market Overview
In , the Ukrainian agricultural and forestry tractor market decreased by -% to $, falling for the third year in a row after three years of growth. Over the period under review, consumption, however, posted a strong increase. Over the period under review, the market attained the maximum level at $ in 2018; however, from 2019 to , consumption failed to regain momentum.

In value terms, agricultural and forestry tractor production totaled $ in estimated in export price. Overall, production continues to indicate a deep setback. The most prominent rate of growth was recorded in 2016 when the production volume increased by % against the previous year. Over the period under review, production hit record highs at $ in 2007; however, from 2008 to , production remained at a lower figure.


Consumption
In , consumption of agricultural and forestry tractors was finally on the rise to reach units for the first time since 2018, thus ending a three-year declining trend. Over the period under review, consumption enjoyed buoyant growth. Agricultural and forestry tractor consumption peaked at units in 2018; however, from 2019 to , consumption remained at a lower figure.

The size of the agricultural and forestry tractor market in Ukraine expanded significantly to $ in , growing by % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption continues to indicate a strong expansion. Agricultural and forestry tractor consumption peaked at $ in 2018; however, from 2019 to , consumption remained at a lower figure.


Market Forecast
Driven by increasing demand for agricultural and forestry tractor in Ukraine, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to units by the end of .

In value terms, the market is forecast to increase with an anticipated CAGR of +% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Agricultural and forestry tractor market in Ukraine consists almost entirely of imported products. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports decreased moderately (- percentage point) over the period under review.


Trade Balance
Ukraine remains a net importer of agricultural and forestry tractor; in physical and value terms, imports consistently exceeded exports from 2007 to . In , there was a significant trade deficit of units, which was equal to $. This tangible trade deficit reflects the fact that the market remains dependent on imports, which is likely to continue in the medium term.