AgTech Market Size was valued at USD 18.9 Billion in 2022. The AgTech Market industry is projected to grow from USD 21.1 Billion in 2023 to USD 52.4 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 12.00% during the forecast period (2023 - 2032). The AgTech sector is swiftly advancing to enhance crop yield, growth, quality, and harvesting through the application of technology. This involves the utilization of various tools, including big data, smart sensors, interactive applications, high-tech autonomous machines, and other innovations that are expected to be a significant market driver for the AgTech market
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Increasing adoption of the Internet of Things (IoT) coupled with investments in cutting-edge agricultural technologies is driving the market growth.
Market CAGR for AgTech is being driven by the increasing adoption of the Internet of Things (IoT) coupled with investments in cutting-edge agricultural technologies. The expansion of precision agriculture can be attributed to the widespread adoption of the Internet of Things (IoT) and the utilization of advanced analytics by farmers. Advanced analytics, a component of data science, employs various tools and methods to analyze data, providing forecasts to ensure optimal nurturing of crops and soil. This empowers farmers to strategically plan their actions based on the insights derived.
Additionally, the increasing investments in technologies like driverless tractors, guidance systems, and GPS sensing systems are expected to further boost the growth of the precision agriculture market during the study period. For example, in April 2022, Agtech firm EarthScout introduced an innovative addition to its scalable line of agriculture products designed to assist farmers and food producers during droughts. This product aims to conserve water, reduce irrigation, and minimize inputs by offering real-time data on soil moisture and growing constraints. The EarthScout Soil Cub, a compact 4.5"x3"x2" commercial-grade sensor, is strategically placed in the field to monitor soil moisture, temperature, and electrical conductivity at different soil depths. This allows growers to monitor moisture and nutrient levels throughout the root zone, enabling them to make informed adjustments to inputs. As a result, it is anticipated that throughout the projection period, demand for the AgTech Market will increase due to the increasing adoption of the Internet of Things (IoT) coupled with investments in cutting-edge agricultural technologies. Thus, driving the AgTech Market revenue.
The AgTech Market segmentation, based on Application includes Precision agriculture, livestock monitoring and management, indoor farming, aquaculture, and Other Agtech segments. The precision agriculture segment dominated the market, accounting for 58% of market revenue (10.9 billion). Advancements in agricultural technology have the potential to significantly drive the adoption of precision farming. As per ETNO, the European Union is projected to witness a rise in the number of active Internet of Things (IoT) connections in agriculture. The recorded count was 46.92 million connections in 2022, with an expected increase to 70.26 million by 2025. Various applications of IoT devices in agriculture include the use of drones for surveillance or the distribution of seeds.
Figure 1: AgTech Market, by Application, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The anticipated expansion of the AgTech market in North America can be attributed to several key factors. The region is at the forefront of technology adoption, driven by factors such as increased government initiatives supporting the integration of modern agricultural technologies and well-developed infrastructure, leading to substantial regional market revenue. Notably, organizations like the National Institute of Food and Agriculture (NIFA), a part of the U.S. Department of Agriculture, play a pivotal role by conducting programs on geospatial, sensor, and precision technology to raise awareness among farmers. Collaborating with Land-Grant universities, NIFA supports farmers in developing robust sensors, associated software, and instrumentation for modeling, observing, and analyzing diverse biological materials and processes. In addition, the Government of Canada, in May 2022, announced a noteworthy investment of USD 4,41,917.5 to facilitate the development of an integrated system for precision fruit tree farming. This investment aims not only to enhance the efficiency of fruit tree farming but also to address sustainability challenges faced by Canada's apple industry.
Further, the major countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: AGTECH MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Leading market players are investing heavily in research and development to expand their product lines, which will help the AgTech market grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the AgTech industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the AgTech industry to benefit clients and increase the market sector. In recent years, the AgTech industry has offered some of the most significant advantages to the agricultural sector, ranging from increased efficiency and productivity to sustainable and data-driven farming practices. Major players in the AgTech Market, including Cargill (US), ADM (US), Bayer (Germany), AgroStar (India), Topcon Agriculture (US), DeLaval (UK), Trimble (US), Apollo Agriculture (Kenya), Benson Hill (US), and Bowery Farming (US) are attempting to increase market demand by investing in research and development operations.
Trimble Inc. is a provider of technological solutions designed to enhance and revolutionize work processes for professionals and mobile field workers. The company delivers a range of products, including satellite navigation systems, surveying instruments, agricultural and construction equipment, as well as data collection and fleet tracking systems. Trimble caters to diverse markets such as agriculture, civil engineering, architecture, surveying, mapping, geospatial, construction, natural resources, government, transportation, and utilities. The company distributes its products through various channels, including distributors, dealers, authorized representatives, joint ventures, and other partners. With a presence in the US, Sweden, Germany, Finland, New Zealand, Canada, the Netherlands, China, the UK, and India, Trimble operates at the forefront of technology innovation. The corporate headquarters is located in Sunnyvale, California, in the US. In August 2022, Trimble, Inc. announced a strategic partnership with CLAAS KGaA mbH, a prominent agricultural engineering equipment manufacturer. The collaboration aimed to develop a precision farming system integrating the SAT 900 GNSS receiver, CLAAS CEMIS 1200, and GPS PILOT steering system.
Bayer AG is actively involved in the research, development, manufacturing, and commercialization of products spanning human health and agriculture. The company offers a range of medications for various health concerns, including cardiovascular diseases, women's health, cancer, hematology, and ophthalmology. Bayer is dedicated to advancing new molecules and technologies applicable in both the medical and modern agriculture fields. The extensive product portfolio includes prescription drugs, specialty pharmaceuticals, diagnostic imaging equipment, over-the-counter (OTC) products, seeds, crop protection solutions, and non-agricultural pest control solutions. Bayer distributes its healthcare and crop protection products primarily through wholesalers, pharmacies, hospitals, and retailers. Operating through subsidiaries across Asia-Pacific, Europe, North America, Latin America, Africa, and the Middle East, Bayer is headquartered in Leverkusen, North Rhine-Westphalia, Germany.
January 2022: In January 2022, Hexagon Agriculture introduced a groundbreaking technology called the HxGN AgrOn Planting Assistant, designed to enhance precision in shovel planting. This innovation is versatile and applicable to various crops, including but not limited to palm oil, coffee, banana, and citrus.
October 2022: In October 2022, Trimble Inc. unveiled new agriculture displays, namely the Trimble GFX-1060 and GFX-1260, tailored for precision agriculture applications. These displays offer advanced performance and connectivity to elevate in-field operations to the next level.
AgTech Market Regional Outlook
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 18.9 Billion |
| Market Size 2023 | USD 21.1 Billion |
| Market Size 2032 | USD 0.2952.4 Billion |
| Compound Annual Growth Rate (CAGR) | 12.00% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Application, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Cargill (US), ADM (US), Bayer (Germany), AgroStar (India), Topcon Agriculture (US), DeLaval (UK), Trimble (US), Apollo Agriculture (Kenya), Benson Hill (US), and Bowery Farming (US) |
| Key Market Opportunities | · Changing consumer demands and an improvement in technology within the space |
| Key Market Dynamics | · The burgeoning proliferation of the Internet of Things (IoT) along with the use of advanced analytics by farmers |
Frequently Asked Questions (FAQ) :
The AgTech Market size was valued at USD 18.9 Billion in 2022.
The AgTech Market is projected to grow at a CAGR of 12.00% during the forecast period, 2023-2032.
North America had the largest share of the market
The key players in the market are Cargill (US), ADM (US), Bayer (Germany), AgroStar (India), Topcon Agriculture (US), DeLaval (UK), Trimble (US), Apollo Agriculture (Kenya), Benson Hill (US), and Bowery Farming (US)
The Precision agriculture segment dominated the market in 2022.
Research Analyst Harshita post graduate mba in business administration from welingkar institute, mumbai and 5 years of experience in the field of product market research. as a research analyst, i have cross-domain experience in packaging, and industrial automation & equipment. i am currently looking after the research process of packaging, logistics & transportation, and industrial automation & equipment at market research future reports. my responsibilities at the organization involve handling syndicate and custom reports as well as responding to client inquiries, and organize, co-ordinate with a group of 5 to 6 persons to manage all workflows.
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