Digital Agriculture Market

Market Synopsis:

The Global Digital Agriculture Market was valued at USD 12.8 Billion in the year 2021 and is expected to reach a value of USD 22.1 Billion by the year 2028. The Global Market is anticipated to grow to exhibit a Compound Annual Growth Rate (CAGR) of 9.6% over the forecast period.

Farmers are using Digital Agriculture tools to monitor the development of crops in real-time, including sensors that monitor temperature and soil quality when they are placed on the fields, computer programs like Climate Field view, a tool designed to produce farming maps, and yield maps, and other corresponding programs. By enabling access to training, financial services, and legal services, the use of digital technology in agriculture promotes the exchange of information between stakeholders and facilitates the building of strategic alliances between suppliers and employees. Affordability, connectivity, availability, and government policies that encourage digital initiatives are the main variables impacting the digital transformation in agriculture. These elements have an impact on and facilitate the adoption of new technology in the agricultural industry. The availability of the internet, mobile phones, social media, and digital skills to assist agricultural innovation are additional enabling elements necessary for affecting the sector.

However, by offering access to training, financial services, and legal services, the use of digital technology in agriculture aids in the dissemination of information from suppliers to the workforce and vice versa. This fosters the development of strategic relationships between the many players. The ownership of data, which can lead to inequity when exploited by larger organizations, has not been subject to any specific policies. Therefore, laws and guidelines for the use of agricultural data and services by third-party service providers must be developed by the government.

Market Segmentation:

The Digital Agriculture Market is segmented based on Type, Applications, and Region. Based on the Type segment, the market is sub-segmented into Crop Monitoring, Artificial Intelligence, and Precision Farming. Furthermore, based on the Applications segment, the market is sub-segmented into Field Mapping, Crop Scouting, Weather Tracking, Drone Analytics, Financial Management, Farm Inventory Management, and Other Applications.

Based on Applications:

Based on the segment Applications, the market is sub-segmented into Field Mapping, Crop Scouting, Weather Tracking, Drone Analytics, Financial Management, Farm Inventory Management, and Other Applications. The Drone Analytics sub-segment is estimated to witness significant growth in the coming years. This is due to the growing use of Drones in the agriculture market. Besides, the Farm Inventory Management sub-segment too is projected to witness moderate growth in the forecast period.

Based on Type:

Based on the category Type, the market is sub-categorized into Crop Monitoring, Artificial Intelligence, and Precision Farming. The Crop Monitoring sub-category had a major share in the global market in 2021 and is estimated to witness the fastest growth during the forecast period. Besides, the Precision Farming sub-category is projected to witness the fastest growth in the coming years. This is majorly due to the growing demand for precision farming worldwide.

Asia Pacific is Projected to grow at the Fastest CAGR During the Forecast Period

Asia Pacific is accounted to grow at the fastest Compound Annual Growth Rate (CAGR) during the forecast period. Leading to increased public knowledge of new agricultural technology and the adoption of supportive government policies to encourage digitization in the agriculture sector, the Asia Pacific area is predicted to experience significant growth in the coming years. The need for Digital Agriculture in this region is anticipated to rise as a result of the region's expanding urbanization and the pressing need to boost food security.

However, based on the customers' growing preferences for using digital technology in agriculture, the Digital Agriculture market is expanding significantly in North America. The region's advanced economy and early embrace of the newest technologies have contributed to the emergence of digital agriculture.