Smart Agriculture Market Size, Share & Trends Analysis Report By Type (Precision Farming, Livestock Monitoring, Smart Greenhouse, Others), By Application, By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global smart agriculture market size was valued at USD 20.30 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 13.4% from 2023 to 2030. Increasing automation of commercial greenhouses and growing implementation of the controlled environment agriculture (CEA) concept in greenhouses, in a bid to obtain a higher yield and maintain optimum growing conditions, are the key factors driving demand during the forecast period. Cultivators realize the potential benefits of growing plants inside a greenhouse, which has led to the development of commercial greenhouses. Cultivators have shifted from the conventional lighting systems to LED grow lights as the latter can easily be integrated into a CEA setup. Although LED grows lights are high in cost, they are an ideal option for indoor farming, owing to their long-term benefits in terms of energy efficiency.

Key technologies driving the market demand include livestock biometrics, such as RFID, biometrics, and GPS to help cultivators automatically obtain information regarding livestock in real-time. Furthermore, infrastructural health sensors are used for monitoring material conditions and vibrations in buildings, factories, bridges, farms, and other infrastructure. Coupled with an intelligent network, infrastructural health sensors help provide information to the maintenance team in real-time. In addition, agricultural robots are being used to automate farming processes, such as soil maintenance, weeding, fruit picking, harvesting, planting, plowing, and irrigation, among others.

To sustain profits, farmers are increasingly adopting smarter and more efficient agriculture technologies to deliver high-quality products to the smart agriculture market in sufficient quantities. Mobile technology aids in offering innovative services and applications that are used across the agricultural value chain.

Machine-to-Machine (M2M) applications are particularly suited for the agricultural sector, enabling farmers to monitor equipment, assess the environmental impact on production, precisely manage livestock and crops, and keep track of tractors and other agricultural equipment. M2M is an integral part of IoT, which describes the coordination of multiple devices, appliances, and machines connected to the internet through multiple networks.

The COVID-19 pandemic has brought widespread disruption to the global supply chain, resulting in food shortages and inflation. Necessary measures are required to strengthen the food supply chain and prepare for any future crisis. The ongoing pandemic has highlighted the significance of being able to carry out agricultural operations remotely. The ability of smart agricultural practices to help farmers recoup losses in a relatively shorter lead time is expected to drive future market growth.

COVID-19 Impact Analysis

The outbreak of COVID-19 had brought widespread disruption to the global supply chain, resulting in food shortage and inflation. Necessary measures were required to strengthen the food supply chain and prepare for any future crisis. The interest in digital farming is increasing, identifying digitization as a solution to food shortages. Global crop production is considerably strong; however, the distribution of food and livestock was severely impacted due to the disruption of the supply chain caused by the COVID-19 pandemic.

The outbreak of COVID-19 has indicated the need for farmers to be connected and able to communicate from remote locations. The COVID-19 pandemic has generated awareness about the benefits of digitization, resulting in digital transformation. Smart agriculture has displayed considerable growth post-COVID-19, given its ability to help the farming sector recover from its pandemic losses. Precision farming can help farmers improve their sustainability and prepare for the future. There are a few concerns related to awareness and farmers’ willingness to adopt digital farming solutions. However, governments are supporting technological adoption in the farming sector.

Agriculture Type Insights

In 2022, thelivestock monitoring段占21.88%的市场份额the global smart farming market. Furthermore, the smart farming market has been segmented into precision farming, smart greenhouse, and others. The others segment includes fish farming and horticulture. Precision livestock monitoring supports the real-time monitoring of the health, production, and welfare of livestock to ensure optimal yields. Factors such as the increasing size of dairy farms and rising technological advancements, such as precision livestock monitoring, have urged market players to focus on new product launches and substantial cost savings associated with livestock monitoring management.

The market estimates and forecasts of the smart greenhouse segment include vertical farming. The smart greenhouse enables farmers to cultivate crops with minimal human intervention. Climatic conditions such as soil moisture, temperature, and humidity are continuously monitored, and any variation observed in them triggers an automated action.

Smart farming is an integrated approach to managing farming activities, such as preserving resources and optimizing yields, by implementing IoT and information communication technologies. Smart farming entails real-time data on the conditions of soil, air, and crops. It aims to ensure the profitability and sustainability of the farm yield while protecting the environment.

Offering Insights

Based on offerings, the software segment is likely to portray the highest growth rate from 2023 to 2030. The hardware segment has further been bifurcated into automation & control systems, HVAC systems, LED grow lights, RFID tags & readers, and sensing devices. Automation & control systems are further segmented into application control devices, milking robots, guidance systems, driverless tractors, mobile devices, remote sensing, variable rate technology, drones, and wireless modules.

The growing automation of raw material production and product manufacturing in the dairy and food industry is likely to drive the milking robots segment in the future. Automation technology has improved milk quality and animal welfare. The rising need to reduce labor costs and improve productivity is expected to positively impact the profitability of the dairy & food processing industries. Factors such as increased milk frequency, efficient management of the herd, cow health, and welfare benefits are driving the demand for milking robots.

随需应变下的无人机子自动化与控制rol system is expected to witness the highest growth rate during the forecast period. Several types of drones include hybrid and fixed-wing. Fixed-wing drones comprise a rigid wing having a predetermined airfoil, which aids in its flight by generating lift caused by the drone’s forward airspeed. Forward thrust acquired by a propeller, an electric motor, or an internal combustion engine produces this airspeed.

Rotary blade drones comprise single rotor and multi-rotor type drones that revolve around a fixed mast, which enables them to fly in any direction and hover in one place. Hybrid drones can stay in flight for years at a stretch as they operate on multiple sources of energy. Solar panels mounted on the wings of the hybrid drones provide fuel during the flight.

Application Insights

In 2022, the yield monitoring segment held a market share of 43.64%. This is attributable to the growing demand for monitoring crop growth and reducing overall wastage by providing timely required water and minerals. The application of agriculture type includes irrigation management, yield monitoring, crop scouting, field mapping, weather tracking & forecasting, inventory management, and farm labor management. The weather monitoring & forecasting segment is anticipated to witness the highest growth rate during the projected period.

Growing water scarcity and increasing environmental consciousness among consumers have urged the need to modify agricultural management practices conserving natural resources such as soil, air, and water. The irrigation management segment is expected to have considerable growth during the projected period. Precision irrigation offers a combination of solutions and systems to effectively utilize water by matching the irrigation inputs to yields in each area of a field.

The application of smart greenhouse includes water & fertilizer management, HVAC management, yield monitoring, and others. The HVAC management segment is expected to expand significantly during the forecast period as increasingly greenhouse farms are employing it. The need for maintaining different temperatures and humidity for hydroponic grow rooms and aquaculture areas drives demand for the HVAC management segment.

Applications of livestock monitoring include milk harvesting, breeding management, feeding management, animal comfort management, and others. According to the Food and Agriculture Organization (FAO), technological advancements in livestock and agricultural production system will play a significant role in addressing food shortages. Animal comfort management allows farmers to track and manage an animal’s status and well-being. The adoption of automated solutions is expected to overcome the limitations of human labor, thereby providing species-appropriate behavior.

Regional Insights

North America dominated the global smart agriculture market with a market share of 44.58% in 2022. It is expected to register a CAGR of 12.1% from 2022 to 2030. Growing government initiatives and regulations to enhance the agriculture industry in the region are expected to drive the North American regional demand during the forecast period. Various agricultural organizations have come together to form the North America Climate Smart Agriculture Alliance (NACSAA), a platform for educating and equipping the cultivators for sustainable agricultural productivity. With the rising concern for water conservation, governments in North America are actively providing subsidies to enhance the applications of smart irrigation. For instance, the government of California has provided a rebate on smart controllers.

The Asia Pacific is anticipated to witness the highest growth during the projected period. Although smart farming is in the adoption stage in this region, the growing government support and rising awareness among cultivators are expected to drive the regional demand during the forecast period. For instance, in Japan, the ministry of agriculture has been providing funds for developing precision agriculture. The farmers’ associations and community-based organizations in each country play a major role in promoting sustainable agriculture.

The market for Singapore is also expected to witness considerable growth as 90% of the total food consumption is fulfilled through imports. The growing adoption of organic agriculture among small farmers in South America is likely to enhance the regional market demand during the projected period.

Key Companies & Market Share Insights

Industry players are engaging in numerous inorganic growth strategies, such as frequent mergers and acquisitions, in their endeavor to expand their product portfolio. For instance, in November 2020, Ag Leader Technology upgraded its InCommand displays and added built-in-house SteerCommand Z2 and SteadySteer to its SteerCommand product portfolio. These products provide end-users with a single user interface that steers and controls all farming equipment. Moreover, in January 2020, CropMetrics was acquired by CropX, a leading soil and agricultural analytics company, to expand into the U.S. market. This acquisition was intended to leverage CropMetrics’s vast dealer network, service model, user-friendly platform, and Variable Rate Irrigation System to serve product offerings in major regions of the U.S.

Key market players are aggressively establishing partnerships and collaborations to strengthen their market presence and customer base. For instance, in April 2021, AGCO Corporation, in a strategic partnership with EZ-Drops, an innovative agricultural equipment manufacturer, to provide AGCO’s dealers in North America with access to a new nutrient supply system. The nutrient application system is available at AGCO’s RoGator dealers with customized configurations. This system will help farmers to reduce excess spraying of nitrogen, resulting in decreased farm profitability.

Key players in the global smart agriculture market include:

• Ag Leader Technology

• AGCO Corporation

• AgJunction, Inc.

• AgEagle Aerial Systems Inc.

• Autonomous Solutions, Inc.

• Argus Control Systems Ltd

• BouMatic Robotic B.V.

• CropMetrics LLC

• CLAAS KGaA mbH

• CropZilla

• Deere & Company

• DICKEY-john

• DroneDeploy

• DeLaval Inc

• Farmers Edge Inc

• Grownetics, Inc.

• Granular, Inc.

• Gamaya

• GEA Group Aktiengesellschaft

• Raven Industries

• Trimble Inc.

• Topcon Positioning Systems

Smart Agriculture Market Report Scope

Report Attribute	Details
Market size value in 2023	USD 22.65 billion
Revenue forecast in 2030	USD 54.71 billion
Growth Rate	CAGR of 13.4% from 2023 to 2030
Base year for estimation	2022
Historic Data	2017 - 2021
Forecast period	2023 - 2030
Quantitative units	Revenue in USD million/billion and CAGR from 2023 to 2030
Report coverage	Revenue forecast, company ranking, competitive landscape, growth factors, and trends
Segments covered	Type, offerings, application, and region.
Regional scope	North America, Europe, Asia Pacific, South America, MEA
Country scope	U.S.; Canada; Mexico; U.K.; Germany; France; Netherlands, Russia; China; India; Japan; Singapore; Australia; Brazil; Turkey
Key companies profiled	Ag Leader Technology, AGCO Corporation, AgJunction, Inc., AgEagle Aerial Systems Inc., Autonomous Solutions, Inc., Argus Control Systems Ltd, BouMatic Robotic B.V., CropMetrics, CLAAS KGaA mbH, CropZilla, Deere & Company, DICKEY-john, DroneDeploy, DeLaval Inc, Farmers Edge Inc, Grownetics, Inc., Granular, Inc., Gamaya, GEA Group Aktiengesellschaft, Raven Industries, Trimble Inc., Topcon Positioning System
Customization scope	Free report customization (equivalent to up to 8 analysts' working days) with purchase. Addition or alteration to country, regional & segment scope.
Pricing and purchase options	Avail of customized purchase options to meet your exact research needs.Explore purchase options

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest trends and opportunities in each of the sub-segments during the forecast period. For this study, Grand View Research has segmented the global smart agriculture market based on agriculture type, offering, application, and region:

• Agriculture Type Outlook (Revenue, USD Million; 2017 - 2030)

  • Precision farming

  • Livestock monitoring

  • Smart greenhouse

  • Others

• Offering Outlook (Revenue, USD Million; 2017 - 2030)

  • Hardware

    • Automation & control systems

      • Drones

      • Application control devices

      • Guidance system

        • GPS

        • GIS

      • Remote sensing

        • Handheld

        • Satellite sensing

      • Driverless tractors

      • Mobile devices

      • VRT

        • Map-based

        • Sensor-based

      • Wireless modules

        • Bluetooth technology

        • Wi-Fi technology

        • Zigbee technology

        • RF technology

      • Milking robots

    • Sensing devices

      • Soil sensor

        • Nutrient sensor

        • Moisture sensor

        • Temperature sensor

      • Water sensors

      • Climate sensors

      • Others

    • HVAC system

    • LED grow light

    • RFID tags & readers

  • Software

    • Web-based

    • Cloud-based

  • Services

    • System integration & consulting

    • Maintenance & support

    • Managed services

      • Data services

      • Analytics services

      • Farm operation services

    • Assisted professional services

      • Supply chain management services

      • Climate information services

• Application Outlook (Revenue, USD Million; 2017 - 2030)

  • Precision farming application

    • 产量监控

      • On-farm

      • Off-farm

    • Field mapping

    • Crop scouting

    • Weather tracking & forecasting

    • Irrigation management

    • Inventory management

    • Farm labor management

  • Livestock monitoring application

    • Milk harvesting

    • Breeding management

    • Feeding management

    • Animal comfort management

    • Others

  • Smart greenhouse application

    • Water & fertilizer management

    • HVAC management

    • 产量监控

    • Others

  • Others

• Regional Outlook (Revenue, USD Million; 2017 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Russia

    • Netherlands

  • Asia Pacific

    • China

    • India

    • Japan

    • Australia

    • Singapore

  • 南美

    • Brazil

  • Middle East and Africa (MEA)

    • Turkey

•Ag Leader Technology•AGCO Corporation•AgJunction, Inc.•AgEagle Aerial Systems Inc.•Autonomous Solutions, Inc.•Argus Control Systems Ltd•BouMatic Robotic B.V.•CropMetrics LLC•CLAAS KGaA mbH•CropZilla, Inc.•Deere & Company•DICKEY-john•DroneDeploy•DeLaval Inc•Farmers Edge, Inc.•Grownetics, Inc.•Granular, Inc.•Gamaya•GEA Group Aktiengesellschaft•Raven Industries, Inc.•Trimble Inc.•Topcon Positioning Systems, Inc.22.65