Securing the Agriculture Value Chain with Blockchain Will Unlock Lucrative Market Opportunities
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The global smart farming market is projected to reach $117.20 billion by 2034 from $17.40 billion in 2023, growing at a CAGR of 19.09% during the forecast period 2024-2034. The smart farming market is set for substantial growth, driven by the increasing adoption of advanced technologies and a focus on sustainable agricultural practices. Key factors fueling this expansion include rising global food demand, the need to optimize resource efficiency, and the integration of IoT, AI, and robotics in farming operations. Enhanced precision farming techniques and data-driven decision-making have been transforming traditional agricultural processes. Additionally, growing government initiatives and investments in smart farming solutions underscore the importance of improving productivity while minimizing environmental impact. This dynamic landscape reflects a strong emphasis on innovation and sustainability within the agricultural sector. This report comes with 10% free customization, enabling you to add data that meets your specific business needs.
Introduction to the Smart Farming Market
The smart farming market represents a transformative shift in agriculture, integrating cutting-edge technologies such as IoT, artificial intelligence, big data analytics, and robotics to optimize farming operations. This market addresses the pressing global need for sustainable food production by enabling precision agriculture, improving resource efficiency, and enhancing productivity. Smart farming solutions offer real-time monitoring, predictive analytics, and automation, facilitating better decision-making and minimizing waste. The growing demand for sustainable practices, coupled with advancements in technology and supportive government initiatives, has been driving rapid adoption across the agricultural sector. As farmers strive to balance increasing food demands with environmental conservation, the smart farming market is positioned as a pivotal solution. This innovative approach has been reshaping traditional farming practices, fostering efficiency, and ensuring long-term sustainability, thereby creating significant opportunities for stakeholders in the agricultural value chain.Market Introduction
The smart farming market has been revolutionizing agriculture by leveraging advanced technologies such as IoT, AI, robotics, and big data to optimize efficiency and productivity. This market addresses the dual challenge of meeting rising food demands while ensuring sustainable resource use. Precision farming, enabled by real-time monitoring and predictive analytics, has transformed traditional practices, reduced waste, and enhanced yields. Growing awareness of sustainable agriculture and supportive government policies have been accelerating adoption. As the agricultural sector increasingly integrates innovative solutions, the smart farming market has been emerging as a cornerstone for achieving efficiency, sustainability, and resilience in global food production.Industrial Impact
The smart farming market has been significantly impacting the agriculture industry by driving innovation and operational efficiency. Advanced technologies such as IoT, AI, and robotics have been transforming traditional farming methods, enabling precision in resource use and maximizing yields. This shift enhances cost-effectiveness, minimizes environmental impact, and addresses the growing demand for sustainable food production. The adoption of data-driven practices and automation has been reshaping the supply chain, promoting resilience against climate challenges. With rising investments and supportive policies, smart farming has been setting a new benchmark for productivity and sustainability, positioning the industry for long-term growth and global competitiveness.Market Segmentation:
Segmentation 1: by Application
- Precision Farming or Precision Agriculture: Precision Irrigation, Yield Monitoring and Crop Scouting or Forecasting, Precision Planting, Precision Spraying,, Precision Fertilization, Farm Management, and Other
- Livestock Monitoring and Management: Milk Harvesting, Animal Health Monitoring and Comfort, Feeding Management, Livestock Tracking, and Other
- Aquaculture: Feed Management, Aquatic Species Tracking and Navigationm Water Quality Management, and Other
- Others
Precision Farming or Precision Agriculture to Lead the Market (by Application)
Precision farming or precision agriculture, is set to dominate the smart farming market due to its pivotal role in enhancing crop productivity and optimizing resource utilization. It minimizes environmental impact while maximizing yields by enabling precise management of inputs such as water, fertilizers, and pesticides. Growing regulatory frameworks and guidelines from governments and agricultural organizations worldwide have been fostering the adoption of precision farming technologies to meet sustainability and efficiency objectives. Additionally, increasing awareness of food security and sustainable agricultural practices drives the demand for these solutions. As resource management challenges intensify and supportive policies expand, precision farming is expected to remain a cornerstone of agricultural innovation, driving sustainable food production and modernizing farming practices globally.Segmentation 2: by Product Type
- Hardware: Displays/Yield Monitors, Flow and Application Rate Control Valves, Farm Computers, and Mobile Devices and Laptops, Agricultural Sensors, Guidance and Steering Systems, and Other
- Software: Farm Operation Management, Hardware Control Application, and Data and Predictive Analytics
Hardware to Lead the Market (by Product Type)
Hardware is anticipated to lead the smart farming market by product type, driven by its critical role in enhancing precision and efficiency in agricultural operations. Key hardware components, including sensors, drones, GPS systems, and automated machinery, are essential for real-time monitoring and optimization of farm activities. These devices enable data-driven decision-making, improving productivity and sustainability in farming practices. The integration of advanced technologies such as IoT and AI into agriculture further accelerates the adoption of smart farming hardware. With a growing emphasis on resource efficiency and ongoing technological advancements, the demand for hardware is projected to remain robust, solidifying its position as a cornerstone of modern agricultural transformation.Segmentation 3: by Region
- North America
- Europe
- Asia-Pacific
- Middle East and Africa
- South America
North America Region to Lead the Market
North America is set to lead the smart farming market, driven by the region advanced technological infrastructure and strong focus on sustainable agricultural practices. The widespread adoption of precision farming techniques, supported by cutting-edge technologies such as IoT, AI, and robotics, has positioned North America at the forefront of the industry. Additionally, robust government initiatives and funding for smart agriculture solutions, coupled with the presence of major market players, have been fueling growth. Rising awareness of resource-efficient farming and the increasing need to address food security challenges further boost adoption. As innovation continues and sustainable practices gain momentum, North America is expected to maintain its leadership in shaping the future of the smart farming market.Recent developments in the smart farming market:
- In July 2024, ioCrops introduced the HERMAI Spray Robot and HERMAI Transport Robot. The Spray Robot automates pest control tasks, including monitoring, targeted control, and digital record management, reducing costs. The transport robot supports automation by monitoring harvest quantities and transporting crops, decreasing harvest time by about 10%.
- In January 2024, Ag Leader Technology, Deere & Company, and Kinze Manufacturing collaborated to facilitate technology integration, enabling farmers to integrate Kinze Manufacturing and Ag Leader Technology planting and display products with Deere & Company's Operations Centre. By focusing on in-cab technology enhancements, the company continues to emphasize a farmer-centric approach, adding value to operators and enhancing farm management efficiency.
- In March 2023, Passenger Drone Research Private Limited launched AeroGCS Green software for drones, which helps farmers map fields, identify areas that do not require spraying, and determine the precise quantity of pesticides needed. This software facilitates cost-effective spraying in minutes compared to traditional methods. Key features include remote monitoring, automated control, sensor integration, equipment integration, data visualization, and an alert and notification system.
Demand - Drivers, Limitations, and Opportunities
Market Drivers
The smart farming market has been driven by the increasing need for sustainable agricultural practices and the growing adoption of precision agriculture. Rising global food demand highlights the urgency of resource-efficient farming to conserve water, reduce fertilizer dependency, and lower methane emissions. Technologies such as precision irrigation and advanced fertilization address these challenges while minimizing environmental impacts. Additionally, the adoption of precision agriculture, powered by drones, sensors, and data analytics, optimizes resource use, enhances productivity, and reduces costs. As climate change, population growth, and food security concerns intensify, these innovations reshape farming practices, drive sustainability, and position the market for significant growth.Market Restraints
The smart farming market faces significant challenges, including a lack of technical expertise among farmers and growing concerns over data security. Many farmers, especially smallholders, struggle to adopt advanced technologies due to limited knowledge and skills, hindering the effective use of precision tools and data analytics. Additionally, the increasing integration of connected technologies has exposed the sector to cybersecurity threats, raising concerns about data privacy and operational risks. The absence of robust regulatory frameworks further exacerbates these issues. Addressing these challenges requires targeted education, technical support, enhanced cybersecurity measures, and clear data governance policies to foster trust and adoption.Market Opportunities
The smart farming market offers significant opportunities, driven by increasing investments in agri-tech startups and the integration of blockchain technology. Rising funding enables startups to develop advanced solutions such as IoT sensors, AI-driven analytics, and autonomous machinery, accelerating innovation and expanding market reach. Partnerships between startups, established companies, and research institutions further enhance technology adoption. Additionally, blockchain technology has been transforming agriculture by improving transparency and traceability across the value chain. Blockchain addresses food quality and safety concerns by enabling secure transactions and reporting real-time issues, ensuring data integrity. These advancements position the market for sustainable growth and enhanced operational efficiency.How can this report add value to an organization?
Product/Innovation Strategy: This report provides a comprehensive product/innovation strategy for the smart farming market, identifying opportunities for market entry, technology adoption, and sustainable growth. It offers actionable insights, helping organizations to meet environmental standards, gain a competitive edge, and capitalize on the increasing demand for eco-friendly solutions in various industries.Growth/Marketing Strategy: This report offers a comprehensive growth and marketing strategy designed specifically for the smart farming market. It presents a targeted approach to identifying specialized market segments, establishing a competitive advantage, and implementing creative marketing initiatives aimed at optimizing market share and financial performance. By harnessing these strategic recommendations, organizations can elevate their market presence, seize emerging prospects, and efficiently propel revenue expansion.
Competitive Strategy: This report crafts a strong competitive strategy tailored to the smart farming market. It evaluates market rivals, suggests methods to stand out, and offers guidance for maintaining a competitive edge. By adhering to these strategic directives, companies can position themselves effectively in the face of market competition, ensuring sustained prosperity and profitability.
Research Methodology
Factors for Data Prediction and Modeling
- The scope of this report focuses on several types of smart farming applications and products.
- The base currency considered for the market analysis is US$. Currencies other than the US$ have been converted to the US$ for all statistical calculations, considering the average conversion rate for that particular year.
- The currency conversion rate has been taken from the historical exchange rate of the Oanda website.
- Nearly all the recent developments from January 2021 to November 2024 have been considered in this research study.
- The information rendered in the report is a result of in-depth primary interviews, surveys, and secondary analysis.
- Where relevant information was not available, proxy indicators and extrapolation were employed.
- Any economic downturn in the future has not been taken into consideration for the market estimation and forecast.
- Technologies currently used are expected to persist through the forecast with no major technological breakthroughs.
Market Estimation and Forecast
This research study involves the usage of extensive secondary sources, such as certified publications, articles from recognized authors, white papers, annual reports of companies, directories, and major databases to collect useful and effective information for an extensive, technical, market-oriented, and commercial study of the smart farming market.The process of market engineering involves the calculation of the market statistics, market size estimation, market forecast, market crackdown, and data triangulation (the methodology for such quantitative data processes is explained in further sections). The primary research study has been undertaken to gather information and validate the market numbers for segmentation types and industry trends of the key players in the market.
Primary Research
The primary sources involve industry experts from the smart farming market and various stakeholders in the ecosystem. Respondents such as CEOs, vice presidents, marketing directors, and technology and innovation directors have been interviewed to obtain and verify both qualitative and quantitative aspects of this research study.The key data points taken from primary sources include:
- validation and triangulation of all the numbers and graphs
- validation of reports segmentation and key qualitative findings
- understanding the competitive landscape
- validation of the numbers of various markets for market type
- percentage split of individual markets for geographical analysis
Secondary Research
This research study of the smart farming market involves extensive secondary research, directories, company websites, and annual reports. It also makes use of databases, such as ITU, Hoovers, Bloomberg, Businessweek, and Factiva, to collect useful and effective information for an extensive, technical, market-oriented, and commercial study of the global market.Secondary research was done to obtain crucial information about the industry’s value chain, revenue models, the market’s monetary chain, the total pool of key players, and the current and potential use cases and applications.
The key data points taken from secondary research include:
- segmentations and percentage shares
- data for market value
- key industry trends of the top players of the market
- qualitative insights into various aspects of the market, key trends, and emerging areas of innovation
- quantitative data for mathematical and statistical calculations
Key Market Players and Competition Synopsis
The companies that are profiled in the smart farming market have been selected based on input gathered from primary experts and analyzing company coverage, product portfolio, and market penetration.Some of the prominent names in this market are:
- Ag Leader Technology
- AGCO Corporation
- CNH Industrial N.V.
- Deere & Company
- Hexagon AB
- KUBOTA Corporation
- Climate LLC
- BASF
- CropX inc.
- Connecterra B.V.
- Naïo Technologies
- DJI
- Signify Holding
- ams-OSRAM AG
- Afimilk Ltd.
- Allflex
- Nedap N.V.
- Cargill, Incorporated
- GEA Group Aktiengesellschaft
- AKVA group ASA
- Eruvaka Technologies Pvt. Ltd
- AquaManager
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Table of Contents
Executive SummaryScope and Definition
1 Market: Industry Outlook
2 Application
3 Products
4 Regions
5 Markets - Competitive Benchmarking & Company Profiles
6 Research Methodology
List of Figures
List of Tables
Samples
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Companies Mentioned
- Ag Leader Technology
- AGCO Corporation
- CNH Industrial N.V.
- Deere & Company
- Hexagon AB
- KUBOTA Corporation
- Climate LLC
- BASF
- CropX inc.
- Connecterra B.V.
- Signify Holding
- ams-OSRAM AG
- Afimilk Ltd.
- Allflex
- Nedap N.V.
- Cargill, Incorporated
- GEA Group Aktiengesellschaft
- AKVA group ASA
- Eruvaka Technologies Pvt. Ltd
- AquaManager
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 230 |
| Published | December 2024 |
| Forecast Period | 2024 - 2034 |
| Estimated Market Value ( USD | $ 20.42 Billion |
| Forecasted Market Value ( USD | $ 117.2 Billion |
| Compound Annual Growth Rate | 19.0% |
| Regions Covered | Global |
| No. of Companies Mentioned | 20 |
