Growing Government Support for Implementation of AI Solution Drives Europe Artificial Intelligence in Agriculture Market
Governments across the world are transforming the agriculture sector to be more efficient, sustainable, and inclusive to ensure food security. Governments around the world encourage the implementation of Al for agricultural applications in order to provide aid to farmers. In 2023, agrifoodTEF, a German initiative, was announced by the Osnabrück University of Applied Sciences. To apply AI and robots in the agriculture industry, the initiative intends to pool the resources of multiple EU nations, primarily Germany, France, and Italy.As of January 1, 2023, the project has received ~US$ 53.6 million (50 million euros) in funding from the EU. The funds will be used to support specific projects that are meant to work in tandem with one another. A number of supporting nations, including Belgium, Austria, Poland, and Sweden, will each receive five million, while the three main nations - France, Germany, and Italy - will each receive ten million.
Thus, such growing government support and initiatives are propelling the growth of AI in the agriculture market.
Europe Artificial Intelligence in Agriculture Market Overview
The Europe AI in the agriculture market is segmented into Germany, France, Italy, the UK, Russia, and the Rest of Europe. The Europe agriculture market is utilizing AI technologies to improve production and sustainability. This includes the use of Al-driven systems for precision farming, predictive analytics, crop and soil monitoring, and livestock management. Advanced technologies promote resource efficiency, increase crop yields, and reduce environmental impact. Further, food security concerns drive the adoption of AI in Europe agriculture due to population growth and climate change.Various institutions and research centers are also taking initiatives to promote AI in Agriculture. For example, the agrifoodTEF initiative constitutes three institutions - Deutsches Forschungszentrum für Künstliche Intelligenz (DFKI), Osnabrück University of Applied Sciences, and Agrotech Valley Forum. In February 2023, test settings for AI and agricultural robotics were established in three European nations as part of this program. This will aid the companies and academic institutions throughout Europe to test AI components in prototypes to make them ready for the market in the Osnabrück region of Lower Saxony. With funding of up to US$ 10.8 million, the Osnabrück team specializes in agricultural technology for arable farming.
In 2022, Europe faced a summer drought that was the worst in over 500 years. In many parts of Europe, this was followed by minimal rainfall over the winter, and water availability was pronounced "very precarious" by an Austrian group of scientists, prompting several EU governments to implement national water strategies as soon as possible. Agriculture was one of the sectors most affected, with lower harvests and greater production costs.
As a result, prices, quantities, and yield quality are all affected. As a significant contribution to water use - accounting for 24% of water extraction in the EU, the agricultural sector is increasingly looking to technology, powered by data and AI, to reduce its water use and total environmental imprint while providing healthy food to the population in a more sustainable manner.
Various startups across Europe are developing AI technology for agriculture. For example, in February 2023, French startups were likewise at the forefront of developing technology. In February 2023, Dilepix, a spin-off from research at the French Institute for Research in Computer Science and Automation (INRIA), announced that it is developing artificial intelligence systems to monitor cattle, insects, and agricultural machines. Thus, such instances propel the growth of AI in agriculture market.
Europe Artificial Intelligence in Agriculture Market Segmentation
- The Europe artificial intelligence in agriculture market is categorized into components, application, and country.
- Based on component, the Europe artificial intelligence in agriculture market is categorized into hardware, software, and services. The software segment held the largest market share in 2022.
- In terms of application, the Europe artificial intelligence in agriculture market is categorized into precision farming, drone analytics, agriculture robots, livestock monitoring, and others. The precision farming segment held the largest market share in 2022.
- By country, the Europe artificial intelligence in agriculture market is segmented into Germany, the UK, France, Italy, Russia, and the Rest of Europe. Germany dominated the Europe artificial intelligence in agriculture market share in 2022.
- Deere & Co, International Business Machines Corp, Microsoft Corp, Easytosee Agtech SL, Climate LLC, Gamaya SA, Prospera Technologies Ltd, and Tarani are some of the leading companies operating in the Europe artificial intelligence in agriculture market.
Market Highlights
- Based on component, the Europe artificial intelligence in agriculture market is categorized into hardware, software, and services. The software segment held 63.5% market share in 2022, amassing US$ 293.45 million. It is projected to garner US$ 1.50 billion by 2030 to register 22.6% CAGR during 2022-2030.
- In terms of application, the Europe artificial intelligence in agriculture market is segmented into precision farming, drone analytics, agriculture robots, livestock monitoring, and others. The precision farming segment held 39.8% share of Europe artificial intelligence in agriculture market in 2022, amassing US$ 184.21 million. It is anticipated to garner US$ 886.53 million by 2030 to expand at 21.7% CAGR during 2022-2030.
- This analysis states that Germany captured 28.1% share of Europe artificial intelligence in agriculture market in 2022. It was assessed at US$ 129.84 million in 2022 and is likely to hit US$ 636.12 million by 2030, registering a CAGR of 22.0% during 2022-2030.
- In November 2022, Microsoft's research wing, in collaboration with Oxford University, Artificial Technology and Climate Change, Atal incubation center, and Agricultural Development Trust, has launched Microsoft Farmvibes.ai. It will focus on sustainable and cost-effective agricultural practices, utilizing precise scientific techniques and data-driven production.
- In March 2023, Microsoft is aiming to build tools that help farmers grow more sustainably by leveraging data and AI. Affordable internet-connected sensors, powered by cloud technology, AI, and machine learning, enable farmers to capture and track operational data from soil, equipment, and livestock. This data can be used to improve yields while conserving resources, such as water. AI technology, like Project FarmVibes.AI, can predict and plot fertilizer and herbicide amounts based on soil nutrients, forecast temperatures and wind speeds, determine seed and irrigation depth, and guide crop practices to sequester carbon in the soil. These digital tools help farmers make informed decisions about their farms, optimizing harvests with minimal resources. By monitoring greenhouse gas emissions, water use, and pollution, the agricultural sector can help Europe achieve sustainable food systems and reduce the EU's greenhouse gas emissions. Azure Data Manager for Agriculture automates environmental data capture, storage, and analysis, reducing manual data collection and enabling more accurate and detailed reporting.
Reasons to Buy
- Save and reduce time carrying out entry-level research by identifying the growth, size, leading players, and segments in the Europe artificial intelligence in agriculture market.
- Highlights key business priorities in order to assist companies to realign their business strategies.
- The key findings and recommendations highlight crucial progressive industry trends in the Europe artificial intelligence in agriculture market, thereby allowing players across the value chain to develop effective long-term strategies.
- Develop/modify business expansion plans by using substantial growth offering developed and emerging markets.
- Scrutinize in-depth Europe market trends and outlook coupled with the factors driving the Europe artificial intelligence in agriculture market, as well as those hindering it.
- Enhance the decision-making process by understanding the strategies that underpin commercial interest with respect to client products, segmentation, pricing, and distribution.
Table of Contents
Companies Mentioned
Some of the leading companies in the Europe Artificial Intelligence in Agriculture market include:- Easytosee Agtech SL
- Deere & Co
- Climate LLC
- Gamaya SA
- International Business Machines Corp
- Microsoft Corp
- Prospera Technologies Ltd
- Taranis
Table Information
Report Attribute | Details |
---|---|
No. of Pages | 100 |
Published | August 2024 |
Forecast Period | 2022 - 2030 |
Estimated Market Value ( USD | $ 462.41 Million |
Forecasted Market Value ( USD | $ 2280 Million |
Compound Annual Growth Rate | 22.1% |
Regions Covered | Europe |
No. of Companies Mentioned | 9 |