Smart Agriculture Market: Global Industry Analysis and Forecast (2024-2030) by Type, Component, and Region

Smart Agriculture Market Definition:

Smart farming is a management concept that focuses on providing the framework for the agricultural business to employ sophisticated technologies such as big data, the cloud, and the internet of things (IoT) to the trajectory, observe, mechanise, and analyse actions. From a service and product position, smart agriculture is undergoing fast evolution. Transformations in business models, technology upheavals, and organisational shifts are all generating an exciting but difficult opportunity.

 

Furthermore, advances in software and hardware technology are enabling a new way of farming, particularly with the introduction of smart sensors, robotic automation, modern biological, digital data, and many large incumbents that have recognised the need to implement smart agriculture. This smart agriculture market is growing with new approach to carrying out agricultural tasks by lowering human effort and maximising the use of available resources.

 

 

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Smart Agriculture Market Dynamics:

Government support for the use of modern techniques to promote growth is increasing which is fuelling the growth of the market:

 

The key factors projected to boost the smart agriculture market growth in the coming years are a significant increase in the level of adoption of Artificial Intelligence and the Internet of Things by growers and farmers, as well as a growing focus on disease detection and livestock monitoring to improve farming efficiency. Increased government support for the adoption of modern agriculture practices, as well as rising demand for agricultural goods due to population increase, are likely to promote growth shortly.

 

However, any climate-smart programme should aim to improve farmer productivity and, as a result, livelihoods make farms more resilient to current and future climate impacts and, where possible, reduce greenhouse gas emissions linked with food production. With the initiative of this decision, there is an increase in the productivity of farming and also there is a huge chance for better income. These factors are propelling the growth of the smart agriculture market.

 

The market's expansion is being hampered as Agriculture is considered as a fragmented industry:

 

Because of the industry's fragmentation, implementing a standardised machine-to-machine solution is difficult. Land fragmentation causes the inefficient distribution of inputs and resources, resulting in high costs. Because administering, overseeing, and collecting data from scattered areas is challenging, implementing smart agricultural technologies in fragmented farms wastes time, money, and resources. Farmers will also find it challenging to achieve economies of scale for M2M solutions as a result of this. Owing to these factors are hampering the growth of the smart agriculture market.

 

In agriculture, the use of technology is becoming more prevalent which is providing a major opportunity for the market:

 

Fertilizers, insecticides, seed technology, and other aspects of agriculture are all affected by technology. Pest resistance and greater crop yields have been achieved with the help of biotechnology and genetic engineering. Tilling, harvesting, and physical work have all become more efficient as a result of mechanisation. Throughout the farm, various sensors and IoT-based devices are installed, and the data provided from these devices aid in the measurement of soil parameters. The technology assists farmers in three crucial areas such as farm management with individualised agronomic intelligence, access to inputs, and post-harvest commerce. These factors is giving lucrative growth for the smart agriculture market.

 

Large-scale data management for effective decision-making presents a challenging factor for the market:

 

Users of smart agricultural technologies face a significant issue in data handling. Data composed from farmhouses using smart agricultural instruments is dangerous since it aids farmers in making product choices. Large amounts of critical data about mapping, variable rate seeding, soil testing, yield monitoring, and historical crop rotation are generated regularly in precision farming. Because successful smart farming approaches rely entirely on this data for analysing farm conditions, it must be properly kept and handled. Data management is essential for making informed farming decisions and improving agricultural operations.

 

Smart Agriculture Market Segment Analysis:

By Type, the market is segmented as Precision Farming, Livestock, Aquaculture, Greenhouse and Others. The Precision Farming segment dominated the market with a 38.8% share in 2023. Advancements in software and hardware technology in the agriculture sector, such as sensors, robotic automation, and others, are raising precision farming demand. Precision farming trusts deeply on particular equipment including devices, antennas, and access points, as well as automation and control schemes. The application of information technology to the assessment of fine-scale animal and physical resource variability to better management techniques for economic, social, and environmental farming is driving the growth of  segment in the smart agriculture market.

 

However, the Livestock segment is expected to grow at a CAGR of 6.6% through the forecast period. Cattle, sheep, horses, goats, and other domestic animals are grown or used on the farm are considered livestock. Under the terms of this exemption, turkeys or domesticated fowl are considered poultry, not livestock.

 

 

By Component, the market is segmented as Solution, Service, and Connectivity Technology. The Solution segment dominated the smart agriculture market with a 55.4% share in 2023. By monitoring water quality, air quality, fertiliser & mineral quality, and other factors, smart agriculture solutions aid in increasing crop production. Agriculture that is smart gigabyte has taken the first step in developing a smart agricultural system that will help farmers reduce workload and improve personnel shortages by remotely maintaining the field and monitoring crop conditions using front-end environmental sensors, monitoring systems, and equipment controllers.

 

Smart Agriculture Market Regional Insights:

The Asia Pacific region dominated the market with a 46% share in 2023. Because APAC includes rising countries such as India, China, and Southeast Asia, the adoption rate of smart agriculture technology is likely to increase rapidly. Some of the primary motorists driving the growth of the smart agriculture market in this region include the increased usage of variable rate technology and smart irrigation controllers, as well as AI-based farm analytics services. The growing demand for livestock and aquaculture farm automation in this area is predicted to fuel the expansion of the Asia Pacific smart agriculture market. Farmers associations and community-based organisations play an important role in promoting sustainable agriculture in each country. Singapore's market is likewise likely to expand significantly, as imports account for 91% of the country's overall food consumption.

 

However, the North American region is expected to grow at a CAGR of 7.6% through the forecast period. Rising government activities and regulations to improve the region's agriculture business are predicted to stimulate regional demand. The North America Climate Smart Agriculture Alliance (NACSAA), a platform for training and equipping growers to boost agricultural productivity sustainably, has been formed by a group of agricultural organisations which is the major reason for driving the growth of this region.

 

The objective of the report is to present a comprehensive analysis of the Global Smart Agriculture Market to the stakeholders in the industry. The report provides trends that are most dominant in the global market and how these trends will influence new business investments and market development throughout the forecast period. The report also aids in the comprehension of the global market dynamics and competitive structure of the market by analyzing market leaders, market followers, and regional players.

 

The qualitative and quantitative data provided in the Global Smart Agriculture market report is to help understand which market segments, regions are expected to grow at higher rates, factors affecting the market, and key opportunity areas, which will drive the industry and market growth through the forecast period. The report also includes the competitive landscape of key players in the industry along with their recent developments in the Global Smart Agriculture market. The report studies factors such as company size, market share, market growth, revenue, production volume, and profits of the key players in the global market.

 

 

The report provides Porter's Five Force Model, which helps in designing the business strategies in the market. The report helps in identifying how many rivals are existing, who they are, and how their product quality is in the Global Smart Agriculture market. The report also analyses if the Global Smart Agriculture market is easy for a new player to gain a foothold in the market, do they enter or exit the market regularly if the market is dominated by a few players, etc.

 

The report also includes a PESTEL Analysis, which aids in the development of company strategies. Political variables help in figuring out how much a government can influence the Global Smart Agriculture market. Economic variables aid in the analysis of economic performance drivers that have an impact on the global Smart Agriculture market. Understanding the impact of the surrounding environment and the influence of environmental concerns on the global market is aided by legal factors.

 

Smart Agriculture Market Scope:

Smart Agriculture Market
Market Size in 2023	USD 16.50 Bn.
Market Size in 2030	USD 30.75 Bn.
CAGR (2024-2030)	9.3%
Historic Data	2018-2022
Base Year	2023
Forecast Period	2024-2030
Segment Scope	By Type Precision Farming Livestock Aquaculture Greenhouse Others
	By Component Solution Service Connectivity Technology
Regional Scope	North America- United States, Canada, and Mexico Europe – UK, France, Germany, Italy, Spain, Sweden, Austria, and Rest of Europe Asia Pacific – China, India, Japan, South Korea, Australia, ASEAN, Rest of APAC Middle East and Africa - South Africa, GCC, Egypt, Nigeria, Rest of the Middle East and Africa South America – Brazil, Argentina, Rest of South America

 

Smart Agriculture Market Key Players:

• John Deere (US)
• Trimble (US)
• Topcon Positioning Systems (US)
• DeLaval (Sweden)
• AKVA(Norway)
• Antelliq (France)
• Afimilk (Israel)
• InnovaSea Systems (US)
• Heliospectra (Sweden)
• LumiGrow(US)
• Raven Industries (Sioux Falls, SD)
• Precision Planting (US)
• Boumatic (Madison)
• AG Leader Technology (Ames, Lowa)
• SST Development Group (Washington)