Digital Agriculture Market is Likely to Register a CAGR of ~11.2% During the Review Period, 2021–2027, Due to the Growing Requirement for High Productivity and Improved Crop Health from the Agri Sector
Overview
The digital agriculture market is predicted to register a CAGR of ~11.2% during the forecast period, 2021–2027. In this report, CRI Report (CRI) includes the segmentation and dynamics of the digital agriculture market to offer a better glimpse into the coming years.
The application of digital technologies to integrate agricultural output from the field to the consumer is known as digital agriculture. These technologies can provide the agricultural business with the tools and data it needs to make better decisions and increase production.
The major factors driving the growth of the digital agriculture market are the increasing requirement for high productivity & improved crop health, the growing shortage of farm labor, and rising concerns of food security & nutrition.However, the complex system of integration & high costs of technology, and the lack of technical knowledge for effective utilization of technology, are hindering the market growth.Although the potential to advance multiple sustainable development goals (SDGs) is growing, the ability to increase efficiency to create new market opportunities and increase the penetration of technology into the agriculture sector is creating lucrative growth opportunities for the market vendors.
Segmental Analysis
The global digital agriculture market has been segmented based on component, application, deployment, and region.
Based on the component, the digital agriculture market has been segmented into hardware, software, and services. The hardware segment is further classified into displays, guidance and steering systems, GPS/ GNSS devices, irrigation controllers, and drones/ UAVs. The hardware segment is likely to have the biggest market share during the forecast period owing to the high adoption of automation and control devices, while the services segment is likely to grow with the highest CAGR.The digital agriculture market for hardware components such as drones/UAVs, GPS/GNSS, irrigation controllers, guidance and steering systems, yield monitors, and sensors are anticipated to increase due to the rising use of new technologies and advanced equipment for digital agriculture.
By application, the digital agriculture market has been segmented into yield monitoring, field mapping, crop monitoring, livestock monitoring, real-time safety testing, soil monitoring, precision farming, and others (weather tracking, drone analytics).During the study period, the precision farming segment is predicted to have the highest CAGR. Compared to traditional cultivation practices, advanced farming technologies such as precision farming can aid in utilizing agricultural inputs in exact proportions to enhance average yields. Farmers may boost their earnings per acre by using precision agriculture. It can also be used to combat agricultural water contamination.
By deployment, the digital agriculture market has been divided into cloud and on-premise.The cloud segment is likely to gain a larger market size during the forecast period as the use of cloud computing technologies in agricultural regions has a better possibility of contributing to the sector’s overall development. In the modern era of cloud computing technology, effective implementation of cloud computing in the agricultural industry is encouraged as it is beneficial for a centralized all-agricultural related data bank (soil-related, weather, research, crop, farmers, agriculture marketing, fertilizers, and pesticide information) in the cloud. Cloud computing is gaining traction as a commercial infrastructure that reduces the need for costly computing gear, software, information technology, employees, infrastructure, and resources, as well as their upkeep.
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Competitive Analysis
The global digital agriculture market is characterized by the presence of several regional and local providers. Some of the key players in the market are Microsoft Corporation (US), IBM Corporation (US), Gameya SA (Switzerland), Agrivi (England), AGCO Corporation (US), Small Robot Company (UK), Hummingbird Technologies (UK), Deere & Company (US), Bayer Crop Science AG (Germany), Conservis Corporation (US), Raven Industries (US), Trimble Inc. (US), DTN (US), Case Corporation (US), Farmers Edge (Canada), and Agri Webb (Australia).
Regional Analysis
Regional analysis for the global digital agriculture market has been done for North America, Europe, Asia-Pacific, and the Middle East & Africa, and South America. The market in North America accounted for the largest market share in 2019, and it is expected to register strong growth during the forecast period. However, the APAC area is experiencing tremendous growth in the agriculture sector. During the research period, India is anticipated to lead the APAC area as the region’s greatest adopter of digital agriculture. Farmers in the country’s southern areas, such as Andhra Pradesh, Telangana, and Tamil Nadu,are increasingly using precision agriculture techniques to increase crop yields.