Drip irrigation is high water efficient irrigation system designed to apply water near the roots of plants. The water is distributed across the field using lateral tubing and applied through drippers installed on the tubing at equal intervals. The drip irrigation systems market is largely driven by superior water efficiency over other irrigation techniques. Accurate water application results in better agricultural production with minimal water loss. Due to rising water scarcity issues worldwide, the adoption of drip irrigation systems is expected to rise substantially in the coming years. Nevertheless, the major restraint for the market is less awareness among the people coupled with the high installation cost. The global drip irrigation systems market stood at US$ 1,070.8 Mn in 2014. The market is estimated to expand with a CAGR of 12.5% during the forecast period from 2015 to 2022.
1.1 Report Description
Purpose of the Report
The purpose of this strategic research study titled “Global Drip Irrigation Systems Market- Growth, Share, Opportunities and Competitive Analysis, 2015 – 2022” is to offer industry investors, company executives, and industry participants in-depth insights to enable them to make informed strategic decisions related to the opportunities in the global drip irrigation systems industry.
- Industry Investors
- Drip Irrigation Systems Manufacturers
- Non-profit Organizations
- Drip Irrigation Component Manufacturers
Overall, the research study provides:
- A holistic view of the global drip irrigation systems market.
- Offering market size and estimates for the period from 2015 to 2022.
- Keeping in mind the factors mentioned above.
Application Segmentation Analysis
Based on applications, the drip irrigation systems market is segmented into end-user applications:
- Gardens (Public & Residential)
- Others (Nurseries, Greenhouses, etc.)
As of 2014, the global drip irrigation systems market was led by the agriculture segment. The segment accounted for a market share, in terms of revenue, of over 62% of the total market. The most prominent factor behind the adoption of drip irrigation systems is the need for high agricultural yield. In addition, due to rising water scarcity issues and the need for water management, drip irrigation systems are increasingly being installed in agricultural applications. Further, many national governments emphasize the installation of drip irrigation systems instead of their high water efficiency. Due to this factor, the demand for drip irrigation systems for agriculture is expected to rise significantly in the coming years. As a result, the segment is expected to retain its dominant position in the market throughout the forecast period. However, the others segment is estimated to register the highest growth in the coming years. The others segment comprises greenhouses and nurseries. People are increasingly moving towards greenhouses for reliable production. Greenhouses are suitable for use across almost all geographical regions, irrespective of climatic conditions. Therefore, drip irrigation is among the most suitable irrigation techniques for greenhouses and nurseries. Hence, the segment is expected to witness high growth in the coming years.
The drip irrigation system is the subset of micro irrigation systems. Also called trickle irrigation, drip irrigation includes dripping water at a slow rate directly near the roots of plants. The rate of flow can vary between 2-20 liters per hour. Thus, this irrigation system is suitable even for plants requiring relatively large amounts of water.
A drip irrigation system primarily comprises the following components:
- Tubing (Mains and Lateral)
- Drippers (Pressure Compensating/Non-pressure Compensating)
- Backflow Preventers
- Pressure Regulators
Filters are among the most important components of drip irrigation since it is essential to prevent any dirt/particles from entering the lateral tubing. Using quality filters eliminates the possibility of drippers getting blocked. Drip irrigation is by far the most efficient method of irrigation, with water efficiency of over 90%. Nevertheless, high initial costs and maintenance is the most prominent factor hindering the market growth.
The concept of drip irrigation has been in existence for several centuries across different parts of the world. Traditionally, drip irrigation was achieved using clay pots filled with water buried near the plants. This enabled easy watering of plants with optimum water efficiency. However, this required a large number of pots depending upon the number of plants. As a result, drip irrigation using tubing and drippers came up, which offers easier watering with high water efficiency. Drip irrigation was first commercially developed in Germany in the mid-1800s. However, Netafim Ltd., an Israel-based irrigation systems manufacturer, claims to have introduced the drip irrigation system in 1965. Since then, the company has been regarded among the leading manufacturers of drip irrigation systems worldwide.
With the increasing shift towards modern agricultural techniques, manufacturers are now focusing on advancements in drip irrigation systems. In addition, various other concepts, such as sub-surface drip irrigation and chemigation/fertigation using drip irrigation, have come into existence. Sub-surface drip irrigation includes dripping through buried tubing embedded with regularly spaced drippers. Since this eliminates the contact of water with the outer environment, water loss here is minimum. This type of drip irrigation is suitable for permanent crops and does not require any alteration for a few years.
Further, chemigation/fertigation using drip irrigation includes supplying chemicals and fertilizer through the tubing and drippers. This ensures the accurate application of chemicals and reduces losses. Drip chemigation/fertigation is popular in the U.S. and Israel. However, high cost and lesser flexibility than other irrigation techniques hinder its adoption worldwide.
The drip irrigation system market varies widely in different geographical regions based on climate, agriculture, and water resources. Drip irrigation is popular in Israel, Turkey, the U.S., and some European countries. However, large agricultural countries such as India and China are yet to achieve substantial penetration of drip irrigation. A major factor behind this is less awareness among people, low purchasing power, and significant availability of natural water resources. Some major drip irrigation system manufacturers are Netafim Ltd., Jain Irrigation Systems Ltd., Hunter Industries, Inc., Lindsay Corporation, and others.
Component Segmentation Analysis
The drip irrigation systems market is broadly classified based on components into the following:
- Backflow Preventers
- Pressure Regulators
The drip irrigation systems market was dominated by the tubing segment in 2014. The segment accounted for a market share of over 36% of the total market in terms of revenue. The tubing segment comprises main, sub-mains, and lateral piping. The high market share of the segment is due to the requirement for a large quantity of tubing in the overall system. In addition, these tubings are prone to environmental conditions such as rain and sunlight, which further results in degradation. Due to this, the segment is expected to hold its dominant position in the market throughout the forecast period.
The tubing segment is followed by the drippers segment, with a market share of over one-fifth of the total market. Since tubing and drippers are installed together, the demand for these components is closely associated. Similar to tubing, drippers are prone to blocking from various biological and physical particles. This further results in stronger demand for drippers. Thus, the drippers segment is expected to retain its second dominant position in the market throughout the forecast period. Nevertheless, the fittings are the highest growing segment. Fittings include connectors, couplers, elbows, t-joints, and others. These are the most frequently altered/used components making their demand stronger than other components.
Geography Segmentation Analysis
The global drip irrigation systems market has been segmented, based on geographical regions, as per the following regions and countries:
- North America
- Rest of Europe
- Rest of Asia-Pacific
- Latin America
- Rest of Latin America
- Middle East and Africa
- GCC Countries
- South Africa
- Rest of Middle East and Africa
As of 2014, the global drip irrigation systems market is dominated by the Asia Pacific region, accounting for over one-third of the total market revenue. The Asia Pacific is majorly backed by countries such as India and China. The region is expected to remain the highest growing segment throughout the forecast period. This is because the region still holds large potential for penetration of micro irrigation systems. In addition, due to increasing water scarcity issues and the need to raise agricultural production, drip irrigation is expected to be largely used in the region.
The North American drip irrigation systems market is majorly hindered by the stronger adoption of sprinkler and mechanized irrigation systems over drip irrigation. A large proportion of agricultural fields in North America are equipped with mechanized irrigation systems such as center pivot and lateral move sprinkler systems. Similarly, Europe has significant penetration of center pivot and lateral move systems. Thus, these regions’ drip irrigation systems market is expected to remain the same in the coming years.