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    Farm & Garden Equipment Wholesalers Industry Profile

    Report Page Length: 10-12
    Last Quarterly Update: 1/25/2021
    SIC Codes: 5083
    NAICS Codes: 423820
    Chapters Include:
    Industry Overview Trends & Challenges Industry Forecast
    Quarterly Industry Update Call Prep Questions Website & Media Links
    Business Challenges Financial Information Glossary & Acronyms
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    Excerpt from Farm & Garden Equipment Wholesalers Industry Profile

    Companies in this industry distribute farm equipment, lawn and garden equipment, and related parts. No major companies dominate the industry.

    Worldwide, the agricultural machinery manufacturing industry is forecast to grow at a compound annual rate of 8.7% through 2022, to about $280 billion in revenue, according to Transparency Market Research. Europe, the US, and China are the largest markets.

    The US farm and garden equipment wholesalers industry includes about 7,500 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $92 billion.

    This industry includes manufacturers' wholesale sales branches as well as retail dealers in farm equipment, which are grouped with wholesalers because their products are sold primarily for business use rather than personal or household use. Retailers of lawn and garden equipment are covered in the Garden Centers & Farm Supply Stores industry profile.

    COMPETITIVE LANDSCAPE

    Demand is driven primarily by the health of the farming sector, which is tied to crop prices and yields. The profitability of individual companies depends on good merchandising and efficient operations. Large distributors have few economies of scale but can offer customers a wider range of products. Small distributors can compete successfully by holding exclusive territory rights to popular products. The US industry is fragmented: the 50 largest companies generate about 40% of revenue.

    Large manufacturers of farm equipment mainly bypass independent wholesalers and use their own wholesale sales branches to sell ...

     
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