July 25, 2024
Solar Energy

Solar Water Pump Market Grows with Solar-Powered Agriculture

The Solar Water Pump Systems Market plays a crucial role in providing sustainable irrigation solutions for farmers. These systems utilize photovoltaic panels to harness solar energy and convert it into electrical power to drive water pumps, allowing farms to irrigate crops without being dependent on grid electricity. The pumps offer a cost-effective and reliable water supply for small holders while reducing farmers’ electricity bills and carbon footprint.

The Global Solar Water Pump Systems Market is estimated to be valued at US$ 2.72 Bn in 2024 and is expected to exhibit a CAGR of 13% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the Solar Water Pump Systems market are PERI Group, Doka Group, ULMA Construction, Waco International, RMD Kwikform, MESA Imalat Sanayii ve Ticaret A.S, Uni-Span Holdings (Pty) Ltd., Acrow, Faresin Formwork S.p.A, Pilosio S.p.A, Staluform (Pty) Ltd., and Pre-Form (Pty) Ltd. Growing demand for sustainable irrigation solutions from the agriculture sector is a major factor driving market growth. Solar Water Pump Systems Market Size help farmers reduce their dependency on grid electricity and fuel costs while supporting agricultural productivity.

The global expansion of solar PV installations especially across developing regions is further fueling adoption. Countries like India, China, and various Africa nations are actively promoting the use of solar pumps among small farmers through subsidies and financing schemes. For example, the Government of India aims to replace over 5 million diesel pumps with solar pumps by 2022 under its PM-KUSUM Scheme to boost renewable energy use in the agriculture sector.

Market Key Trends

One key trend driving the solar water pump systems market is the increasing focus on crop diversification and value addition for smallholder farmers. Solar pumps allow farmers easy access to water resources and help improve irrigation infrastructure even in remote areas. This enables farmers to grow higher-value crops throughout the year and boost their incomes. Manufacturers are also innovating with new product features such as water monitoring systems, automated pump control, and IoT sensors to help farmers optimize water and energy usage further. Such technologies will unlock smarter agricultural practices and aid sustainable farming at scale.

Porter’s Analysis

Threat of new entrants: Solar water pump systems require high initial investment which acts as a barrier for new companies.

Bargaining power of buyers: Buyers have low bargaining power as there are few sellers in the market and switching costs are high for buyers.

Bargaining power of suppliers: Suppliers have moderate bargaining power as key components for solar water pumps such as solar panels, pumps and controllers have limited suppliers.

Threat of new substitutes: Alternatives such as wind or electric pumps pose minimal threat currently.

Competitive rivalry: Market is fragmented with presence of global as well as regional players.

Geographical concentration:

Asia Pacific holds around 45% of the global market share primarily driven by countries such as India, China and Southeast Asian nations. High rural population dependent on agriculture plays a major factor for high adoption of solar water pumps in the region.

Fastest growing region:

Africa is expected to witness highest growth during the forecast period. Falling module prices and support through government initiatives in nations such as Kenya, South Africa, Ethiopia and Nigeria will drive new installations across agricultural and community sectors. Support through multilateral organizations to provide clean water in rural areas will further aid market expansion.

About Author:

Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)

*Note:
1. Source: Coherent Market Insights, Public Source, Desk Research
2. We have leveraged AI tools to mine information and compile it