Smart Forestry Market Report 2024

This Smart Forestry market 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 smart forestry market size has grown rapidly in recent years. It will grow from $4.47 billion in 2023 to $4.95 billion in 2024 at a compound annual growth rate (CAGR) of 10.7%. The growth during the historical period can be attributed to heightened environmental awareness, a growing need for efficient forest management, government regulations on deforestation, increasing concerns about climate change, and a push for sustainable resource management practices.

The smart forestry market size is expected to see rapid growth in the next few years. It will grow to $7.46 billion in 2028 at a compound annual growth rate (CAGR) of 10.8%. The anticipated growth during the forecast period can be attributed to the expansion of IoT networks, increased investment in precision agriculture, a heightened focus on climate resilience, rising funding for green technology initiatives, and growing consumer demand for sustainably sourced forest products. Key trends in the forecast period include the adoption of AI-driven analytics, the expansion of IoT-enabled sensors, advancements in drone and satellite imagery, the integration of blockchain for supply chain transparency, developments in data interoperability through open platforms, and the rise of climate-smart forestry technologies.

The growth of the smart forestry market is anticipated to accelerate due to the increasing demand for responsible forestry practices. Responsible forestry involves managing and utilizing forest resources to ensure the long-term health, productivity, and biodiversity of forest ecosystems while meeting the social, economic, and environmental needs of both current and future generations. This rising demand is driven by factors such as heightened ecological awareness, regulatory frameworks, and the need for sustainable products and certifications. Smart forestry supports these practices by incorporating advanced technologies for accurate monitoring, sustainable resource management, and minimizing environmental impacts. For example, GOV.UK reported in June 2023 that tree planting rates in England had increased, with woodland creation growing by 40% to 3,128 hectares in 2022-23 compared to the previous year. This growing focus on responsible forestry is fueling the expansion of the smart forestry market.

Major companies in the smart forestry market are focused on developing innovative solutions, such as new digital platforms, to create safer, smarter, more productive, and sustainable workplaces. A digital platform is an online system that allows users to interact, share, and collaborate through integrated services and applications, improving connectivity and functionality across different digital ecosystems. For example, in June 2024, Komatsu Limited, a Japan-based manufacturer of construction, mining, forestry, and military equipment, launched a new digital platform. This platform features real-time data analytics and AI to improve equipment management and operational efficiency at construction and mining sites. It supports predictive maintenance, reducing downtime and optimizing machine performance. Additionally, the platform offers remote monitoring capabilities, enabling operators to track machine health and productivity from anywhere, thereby enhancing overall fleet management.

In July 2023, Deere & Company, a US-based manufacturer of agricultural machinery, heavy equipment, forestry machinery, diesel engines, drivetrains for heavy equipment, and lawn care equipment, acquired Smart Apply, Inc. for an undisclosed amount. This acquisition strengthens Deere's precision agriculture capabilities by integrating advanced technology for more efficient crop spraying and nutrient application. The strategic move enables Deere to provide innovative solutions to farmers, improve operational efficiency, and solidify its position in the agricultural technology sector. Smart Apply, Inc., a Finland-based company, specializes in software and digital solutions for forest management and the forestry industry.

Major companies operating in the smart forestry market are Deere & Company, Hexagon AB, Trimble Inc., Maxar Technologies Inc., Esri International LLC, Ponsse Oyj, AFRY AB, Planet Labs PBC, Pix4D SA, Komatsu Forest AB, EcoTrust Software Ltda., Silvacom Ltd., GEOSYS, Rottne Industri AB, Tigercat International Inc., TreeMetrics, Skytec LLC, Agremo Ltd., ForestX AB, Landmark Spatial Solutions, CollectiveCrunch Oy, Blue Marble Geographics, GIS Cloud Ltd.

North America was the largest region in the smart forestry market in 2023. The regions covered in the smart forestry market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the smart forestry market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Smart forestry involves using advanced technologies and data-driven methods to manage forests by monitoring and analyzing real-time conditions like tree health and biodiversity. The primary aim is to enhance the efficiency and sustainability of forest management through informed decision-making. This approach supports habitat conservation, climate change mitigation, and community livelihoods.

Smart forestry encompasses both machinery and software. Machinery refers to advanced equipment designed to perform various forestry tasks with improved efficiency, precision, and sustainability. These machines employ technologies such as global positioning systems (GPS), geographic information systems (GIS), and remote sensing for tasks including timber harvesting, forest management, and reforestation. They are used by various stakeholders, including private foresters, government agencies, and research institutes.

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

The smart forestry market consists of revenues earned by entities by providing services such as forest monitoring, resource management, biodiversity protection, and illegal logging prevention. The market value includes the value of related goods sold by the service provider or included within the service offering. The smart forestry market also includes sales of IoT sensors, smart cameras, scanners, weather stations, and drones. 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).

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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