Precision Forestry Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The precision forestry market size has grown rapidly in recent years. It will grow from $5.19 billion in 2024 to $5.71 billion in 2025 at a compound annual growth rate (CAGR) of 10%. The growth in the historic period can be attributed to environmental concerns and regulations, resource optimization and cost reduction, demand for wood products, climate change mitigation and adaptation.

The precision forestry market size is expected to see strong growth in the next few years. It will grow to $7.88 billion in 2029 at a compound annual growth rate (CAGR) of 8.4%. The growth in the forecast period can be attributed to demand for carbon sequestration services, increased investment in R&D, demand for urban forestry management solutions, expansion of internet of things (IoT) applications. Major trends in the forecast period include integration of artificial intelligence (AI) and machine learning (ML), utilization of blockchain for traceability and certification, enhanced remote sensing capabilities, rise of autonomous forestry equipment.

The anticipated growth of the precision forestry market is driven by the increasing demand for timber. Timber, commonly referring to wood prepared for construction or carpentry, is a vital resource derived from harvested and processed trees. The surge in timber demand is fueled by factors such as heightened housing needs, expansion in the construction sector, and infrastructure development. Precision forestry techniques play a crucial role in meeting this demand by optimizing forest management methods, enhancing the efficiency of timber harvesting operations, and facilitating improved tracking, harvesting, and processing of timber resources. For instance, in September 2023, reports from the International Tropical Timber Organization highlighted that the value of exports for processed timber wood products reached $36.5 billion in 2022, showing a significant increase of nearly $26 billion (40%) compared to 2020. Consequently, the growing demand for timber is expected to drive the growth of the precision forestry market.

Leading companies in the precision forestry market are focusing on the development of forestry camera drones to improve forest management, enhance data collection for forest health assessments, streamline timber harvesting, and enable precise monitoring of vegetation growth and environmental changes. These innovations aim to foster more sustainable and efficient forestry operations. Forestry camera drones are unmanned aerial vehicles (UAVs) equipped with high-resolution cameras and specialized sensors designed for forestry applications. For example, in September 2022, Katam, a Sweden-based precision forestry company, introduced the world’s first service using camera drones to collect data from tree trunks. This service is designed to improve traditional tree trunk diameter measurements, helping forest owners and field workers avoid hazardous environments, including steep, thorny, or wildlife-dense tropical forests.

In July 2023, Deere & Company, a US-based agricultural machinery manufacturer, acquired Smart Apply, Inc. for an undisclosed amount. This acquisition allows John Deere to strengthen its precision agriculture capabilities by incorporating Smart Apply's advanced Intelligent Spray Control System. This system is designed to optimize pesticide and fertilizer applications, improving operational efficiency, reducing chemical waste, and supporting sustainable farming practices. Smart Apply is a US-based technology company specializing in the Intelligent Spray Control System.

Major companies operating in the precision forestry market are Caterpillar Inc., Deere & Company, CNH Industrial N.V., Kubota Corporation, Monsanto Company, AGCO Corporation, Hitachi Construction Machinery Co Ltd., Valmont Industries Inc., J C Bamford Excavators Ltd. (JCB), Trimble Inc., Volvo Group, AFRY AB, Ponsse PLC, Tigercat International Inc., Precision Planting LLC, Sampo Rosenlew Ltd., A.G. Leader Technology Inc., BouMatic LLC, Taranis, AgJunction Inc., AgEagle Aerial Systems Inc., Rottne Industri AB, Insight Robotics Limited, Komatsu Forest AB, Treemetrics Ltd., Hyundai Doosan Infracore Co Ltd.

North America was the largest region in the precision forestry market in 2024. The regions covered in the precision forestry market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the precision forestry market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The precision forestry market consists of revenues earned by entities by providing services such as forest inventory and mapping, harvest planning and optimization, forest inventory assessment, and forest health monitoring. The market value includes the value of related goods sold by the service provider or included within the service offering. The precision forestry market also includes sales of decision support systems, precision logging equipment, decision support tools, remote sensing platforms, and GIS (geographic information system) mapping tools. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

Precision forestry is a forest management technique that employs tools and technology for site-specific data collection, with the goal of enhancing wood quality, safeguarding the environment, minimizing waste, and maximizing profits. It encompasses the utilization of advanced data collection and analysis systems, as well as the integration of artificial intelligence and machine learning to make informed decisions across different stages of forestry operations.

The primary components in precision forestry include hardware, software, and services. Hardware refers to the physical equipment and devices used to implement and support various technologies and processes designed to optimize forest management practices. This encompasses diverse technologies such as cut-to-length (CTL), geospatial, and fire detection, applied in various applications such as genetics and nurseries, silviculture and fire management, harvesting management, and inventory and logistics management.

The precision forestry market research report is one of a series of new reports that provides precision forestry market statistics, including precision forestry industry global market size, regional shares, competitors with a precision forestry market share, detailed precision forestry market segments, market trends and opportunities, and any further data you may need to thrive in the precision forestry industry. This precision forestry market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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