Solar Powered Agricultural Dryer Market Trends

Growth Driver

• Government Incentives for Integration of Renewable Energy Sources - The use of solar energy as an alternative to traditional dryers that are powered by nonrenewable sources is a more cost-efficient option for farmers. The government may provide tax incentives or other financial assistance to farmers investing in solar powered agricultural dryers, which are expected to further reduce their operating costs. For instance, a number of schemes have been implemented by the Government of Tamil Nadu in India with an aim to increase farmers' profits. Around 40% of the total cost of solar drying unit would be directly paid to the farmer’s bank account as back ended subsidy as of Agricultural Engineering Department. More of these schemes can help to increase the number of farmers that adopt this technology and contribute to driving growth in the solar powered agricultural dryer market. The government may also provide financial support to farmers who do not have an initial capital gain for purchasing or investing in Solar Powered Agriculture Dryers, except as regards tax subsidiaries.
• Growing Agriculture and Food Processing Sector - A major driver of the global solar powered agricultural dryer market is the growth in agricultural and food processing industries around the world. Efficient and reliable drying solutions for different products are needed in these sectors, which are vital to ensuring food security and meeting the needs of an increasing population. In order to meet the increasing demand for dried fruits, vegetables, grains and other agricultural products, solar-powered agricultural dryers are increasingly being used in these sectors, offering a sustainable and cost-effective alternative.

Challenges

• Initial Capital Investment Required - The significant initial capital investment required for the purchase and installation of solar drying systems is one of the main challenges faced by the global solar powered agricultural dryer market. While solar dryers offer long-term benefits such as reduced operating costs and environmental impact, sustainability, particularly in regions with limited financial resources, the upfront costs can act as a deterrent to potential adoption. It can be challenging for smaller farmers, businesses or households to adopt this technology due to the large cost of quality solar drying equipment, sophisticated control systems and effective heat retention mechanisms.
• Lack of Standardization is anticipated to hamper the market growth in the forecast period
• Lack of skilled labor is expected to hinder the solar powered agricultural dryer market expansion in the upcoming period.