Precision Farming Market
Precision farming, also called site-specific crop management (SSCM), refers to a method of farm management that allows farmers to produce food cost-effectively. It includes numerous technologies, such as geographical information systems (GIS), global positioning systems (GPS), variable rate technology (VRT), and remote sensing (RS). Precision farming relies on software, dedicated equipment, and information technology (IT) services to deliver real-time data about the condition of the ambient air, soil, crops, labor costs, local weather predictions, and equipment availability. Precision farming informs farmers about crop rotation, precise planting times, and harvesting times. Precision farming assists in decreasing the overall usage of pesticides, water, fertilizers, and herbicides. Besides this, it helps improve the productivity, profitability, quality, and sustainability of the yields. As it lessens labor inputs and production costs, the demand for precision farming is rising globally, fueling the precision farming market growth.
Technological Advancements to Provide Lucrative Opportunities for Precision Farming Market
The growing adoption of smartphones, along with the easy accessibility of internet services across the globe, represents one of the major factors supporting the precision farming growth of the market. Also, the increasing dependency on low power wide area (LPWA), Wi-Fi services, and wireless sensor technologies for enhancing agricultural output is boosting the market growth. Moreover, the growing integration of the Internet of Things (IoT) in precision farming for increasing yield and evading the adverse effects of climate change is propelling the market’s growth. Further, introducing numerous systems and devices, such as sensing and monitoring devices, farm management systems, and control and automation systems in precision farming, contributes to the growth of the market. Furthermore, government authorities in numerous countries are announcing several supportive initiatives that offer a promising market outlook. Besides, the increasing demand for precision farming, which assists in increasing productivity while reducing costs, is supplementing the precision farming market growth.
Precision Farming Market: Segmental Overview
The software segment is expected to grow substantially in the precision farming market during the forecast period. Cloud computing focuses on servers, shared networks, and storage devices, eradicating the high costs of maintaining software and hardware infrastructure. In addition, predictive analytics software guides farmers about soil management, crop rotation, harvesting times, and optimal planting times. Thus, with the technological advancements in precision farming software, their demand will increase during the forecast period.
The yield monitoring segment accounted for the principal revenue share of the precision farming market. It is expected to continue its dominance over the forecast period as it supports farmers’ decisions about their fields. On-farm yield monitoring allows farmers to get real-time information during harvest and generate a historical spatial database. This segment is anticipated to account for the largest share of the market as it offers equitable landlord negotiations, environmental compliance documentation, and track records for food safety. The weather forecasting and tracking segment is expected to increase at a significant CAGR during 2023-2031. The use of sensors helps weather predictors offer precise weather forecasting and reading. Furthermore, the introduction of advanced data analytics services and machine learning (ML) techniques is also expected to increase the accuracy and reliability of weather forecasts, thus propelling the growth of the precision farming market during the forecast period.
Precision Farming Market Analysis: Competitive Landscape and Key Developments
AgJunction LLC, Ag Leader Technology, CropX Inc., AGCO Corporation, Trimble Inc., Deere and Company, CNH Industrial N.V., Topcon, DICKEY-john, and TeeJet Technologies are among the key precision farming market players profiled in the report. This precision farming market players focus on expansion and diversification, new product launches, and acquisition strategies, which allow them to access prevailing business opportunities.
- In March 2024, CropX Technologies, a leader in digital farm management, and WiseConn, a pioneer in precision drip irrigation solutions, unveiled a groundbreaking API integration. This partnership is set to redefine the landscape of precision irrigation by enabling seamless data exchange and analytics enhancements for farmers globally.
- In March 2024, AGCO (NYSE: AGCO), a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, announced its recent investment in the Innova Ag Innovation Fund VI of venture capital firm Innova Memphis. This fund investment is the first executed by AGCO’s recently launched corporate venture capital initiative, AGCO Ventures. The deal aligns with AGCO’s approach to support the next generation of farming through advanced solutions that promise a more automated, digitized and sustainable future for agriculture.
- In November 2023, Topcon Agriculture showcased its latest innovations at Agritechnica 2023, the world’s foremost trade fair for agricultural machinery. The event, scheduled from November 12-18, will witness Topcon’s commitment to expanding precision technology for a growing range of market segments and applications.
- In August 2022, Trimble, Inc. announced a strategic partnership with CLAAS KGaA mbH, an agricultural engineering equipment manufacturer. The partnership intended to develop a precision farming system: CLAAS CEMIS 1200, SAT 900 GNSS receiver, and GPS PILOT steering system.
- In November 2022, the Government of India announced the establishment of 22 Precision Farming Development Centres (PFDCs) across the country to develop and disseminate regionally differentiated precision farming technologies such as hi-tech agriculture and micro irrigation.
