The increasing focus on accelerating the productivity and the growing number of government initiatives to improve the quality of soil and yields are the significant factors that are boosting the demand for the AgriTech market over the forecast period.
The global AgriTech market is expected to witness strong demand in the next six years owing to the increasing focus on enhancing the productivity and cultivation of the crop, along with the continuous integration of several technologies around the world. Moreover, the farmers are largely opting for different services from the AgriTech vendors to monitor the level of production and test the quality of the soil. The governments of numerous nations are emphasizing on a sustainable model for farming to earn maximum revenues, which in turn, is another factor that is contributing to the growth of the AgriTech market size. For example, the government of India has launched various incentive schemes to support start-ups in the agriculture sector, such as ASPIRE, the NSTEDB start-up schemes, and other programs. All these initiatives will encourage entrepreneurs to launch new start-ups to bring innovative advancements in the agriculture sector.
There has a significant shift in the consumer’s preference for personalized and on-demand products due to the growing awareness regarding health and sustainability. In addition to this, the rising rate of the world population, especially the undernourished population, is creating severe urgency to increase the production of yield to capture the accelerating demand across the globe. The growing complexity in the production of yields is promoting them to opt for advanced technologies to enhance yield efficiency. All these factors will bring innumerable opportunities for the AgriTech market growth over the coming years.
On the basis of the type, the big data and artificial intelligence segment is predicted to witness considerable growth in the coming years. This is attributed to the rising usage of AI-based technologies to analyze and interpret different conditions such as extreme weather conditions, water use, temperature information, and soil conditions for better decision making. Furthermore, the AI technology helps the farmers to optimize planning and to strategizing to generate improved yields through efficient utilization of the resources. All these exceptional advantages offered by artificial intelligence technologies are accelerating the demand for the segment in the market.
Based on the application, the production and maintenance segment is predicted to witness considerable growth in the next six years. The increasing usage of advanced technologies such as IoT based sensors, vertical farming, and remote-controlled drones for an increased yield is the key driver that is surging the demand of the segment. Moreover, the rising adoption of automated machinery by the farmers for several purposes, such as the identification of agricultural produce and optimization of water usage, will further boost the demand of the segment over the coming years.
On the basis of the region, the North American region is anticipated to be the fastest growing region in the AgriTech market in the next six years owing to the presence of a large number of market disruptors and technology innovators in North America. Additionally, the leading enterprises are emphasizing on improving the soil and seed quality, which in turn, will promote them to opt for different technologies in the agriculture sector. On the other edge, the Asia-Pacific region is expected to grow at a higher CAGR during the forecast period owing to the growing investments for developing advanced technologies in the agriculture sector, especially in emerging economies such as China and India. Moreover, the food technology market is soaring with a boom in the food delivery services market, thus energizing the demand of the market in the Asian countries.
The key players of the AgriTech market include PivotBio, AeroFarms, LettUs Grow, Ceres Imaging, Conservis, Ninjacart, MeiCai, ProducePay, Indigo Ag, Inc., Pure Harvest Smart Farms, and Apollo Agriculture, among others.
The research report on the AgriTech market provides an in-depth analysis of the market revenue based on type, application, and region for the forecast period from 2020 to 2027. The report highlights the major market drivers propelling the growth as well as challenges faced by the market participants. The research report also provides market size and forecast for the market. The report also analyses the competitive landscape, major players, and their strategies in 2019. The competitive landscape section of the report captures and highlights the recent developments in the market.