Industry Analysis & Industry Trends
The United Kingdom has a small agricultural sector and a sizable food trade deficit. The Agricultural & Forestry Machinery Manufacturing industry in the United Kingdom and globally is dominated by large foreign-owned companies, only a few of which have manufacturing operations in the United Kingdom. Locally owned operators tend to focus on small niche markets that are ignored by the big operators, yet many are export focused.
The total UK market for agricultural and forestry machinery will be worth an estimated £2.2 billion in 2011-12, of which £1.4 billion or 65.2% will be satisfied by imports. UK manufacturers of agricultural and forestry machinery are expected to generate revenue of £2.1 billion in 2011-12 (up 4.3%.. purchase to read more
Industry Report - Industry Investment Chapter
This industry exhibits low capital intensity; however, the industry requires relatively low amounts of both capital and labour (the cost of purchased materials and components represent a high percentage of revenue). The labour-to-capital (depreciation) ratio in this industry is estimated at 11:1. This means that the average firm in this industry requires about £11.00 of labour for every £1.00 of capital (defined as depreciation).
Labour costs represent about 11% of industry revenue, which is low compared with most manufacturing industries, and reflects a low level of value adding by the local industry. Local manufacturers often mechanise as part of a programme to improve throughput and efficiency, eliminate problems in materials handling and improve workplace safety... purchase to read more