Insurance Brokerage Market Assessment, By Type [Dedicated Insurance Brokerages, Integrated Insurance Brokerages], By Insurance Type [On-premises, Cloud], By Mode [Online, Offline], By End-user [Individual, Family, Business, Corporation, Government and Pub

Insurance Brokerage Market Assessment, By Type [Dedicated Insurance Brokerages, Integrated Insurance Brokerages], By Insurance Type [On-premises, Cloud], By Mode [Online, Offline], By End-user [Individual, Family, Business, Corporation, Government and Public Sector, Non-Profit Organization, Educational Institution], By Region, Opportunities and Forecast, 2017-2031F

Global microirrigation systems market is projected to witness a CAGR of 8.54% during the forecast period 2024-2031, growing from USD 10.57 billion in 2023 to USD 20.36 billion in 2031. There is a considerable increase in the market owing to the rising demand for efficient water management in agricultural practices. These systems, among others, including drip and sprinkler irrigation, ensure targeted water application directly at the root zone, thus reducing water loss and contributing to the optimal growth of the crops. This effectiveness is observing an inclination of water-deficient areas towards these systems where agricultural productivity is of great concern. In addition, microirrigation systems are promoted due to government programs, which seek to increase production and minimize water use, resulting in brisk growth of the market. With the introduction of automated and remote-controlled systems, microirrigation is expected to gain more acceptability due to improved accuracy and labor economy.

Furthermore, the expansion of the market can be attributed to the growing need for high-value crops and the need to enhance agricultural production to counter food security-related problems. Additionally, the growing concern about farming methods and the need for the reduction of environmental harm caused by agriculture contributed to the shift from traditional farm irrigation systems to microirrigation systems. Nonetheless, some barriers to the adoption of these systems exist, such as their high initial installation costs and the requirement of technical expertise, which may limit usage, especially among small-scale farmers. However, long-term advantages, such as improved grain production and reduced water wastage, are projected to propel the microirrigation systems market for a sustained period, thus making it an integral aspect of agriculture’s future sustainability.

In March 2024, Nelson Irrigation Corporation introduced its latest product, R2000FX, a low-pressure solution sprinkler. The product has a flow capacity between 1 to 3 gpm at a radius of 29 to 40 feet, amounting to a pressure of between 20-35 psi. There are four alternative plates, 12 degrees, 15 degrees, and 24 degrees, through which water is delivered. R2000FX has the ability to deliver water at low-pressure, which reduces the need for tight spacing or application rates, unlike other types of low-pressure sprinklers. It employs a rotator mechanism alongside plate motion that is off-axis.

Growing Water Shortages Spur the Adoption of Microirrigation Systems

Water scarcity contributes greatly towards the adoption of microirrigation systems as a solution to overcome the challenges affecting agricultural productivity across the globe. Global warming, overutilization and depletion of water resources, and escalation in urban, industrial, and agricultural activities lead to competition for available water resources. This shortage, particularly in areas prone to drought, makes proper application of water imperative. In such situations, microirrigation systems such as drip and sprinkler irrigation, which supply water directly at the roots of the plant, are a better option as they help to reduce water usage considerably compared to the traditional ways of watering. For instance, in August 2024, the European Union and UNDP implemented a solar powered drip irrigation system in household gardens in Akkurgan district of Tashkent, known for its water scarcity. With the help of solar panels, the system included a water pump that extracted water from a vertical well 180 meters deep. This solar-powered irrigation system was designed to irrigate 3 hectares of land and cater to 30 households in total.

These systems are capable of maintaining high levels of productivity under water-scarce conditions as they allow the crops to be supplied with the required amount of water. With water resources becoming more limited, it is anticipated that the use of microirrigation systems will increase sharply, thus making it an indispensable component of sustainable agriculture in the forecast period.

Rising Need to Improve Crop Yields to Feed a Growing Population to Fuel Market Growth

The increasing global population, projected at 9.7 billion people by 2050, and food demand are major factors fueling the micro-irrigation systems market. This explosive expansion puts an enormous burden on agricultural systems to enhance food production, even on a small amount of available arable land, necessitating enhanced agricultural efficiency and output. In a bid to enhance agricultural productivity, governments across the globe are countering this challenge by providing subsidies and incentives for the use of water-saving irrigation techniques. As a result, the productivity of crops is improved as water and nutrients are delivered more effectively with the use of microirrigation systems. For instance, in February 2024, under the Rashtriya Krishi Vikas Yojana (RKVY), the Centrally Sponsored Scheme (CSS) entitled Per Drop More Crop (PDMC) was implemented in India. The aim of the PDMC is to enhance the economic productivity of water at the farm level through the adoption of microirrigation systems such as drip and sprinkler irrigation. The scheme provides a subsidy of 55% for the installation of microirrigation systems to the small and marginal farmers, while others receiving a subsidy of 45%. Moreover, some states provide additional benefits or top-up subsidies to farmers, encouraging them to adopt the practice of microirrigation.

With the help of these systems, farmers are able to grow crops with a higher economic value in areas with little water, helping to ensure that the food supply remains constant.

Commercial Usage to Hold Significant Market Share

A significant portion of the microirrigation systems market is from commercial usage as this class of users, especially farmers cultivating on huge agricultural lands, pursue maximum efficiency and increased production. Commercial farms, especially growing high-value crops such as fruits, vegetables, and nuts, stand to benefit from microirrigation, since it ensures accurate delivery of water and nutrients, hence increasing the quantity and quality of crops produced. Such farms frequently work in areas with limited water resources. Therefore, efficient irrigation is critical to preserving their profitability and long-term existence. Also, the growing demand for produce of export-standards has driven commercial farmers to embrace modern methods of irrigation that are able to keep up with quality standards. Government subsidies and other incentives for the adoption of water-saving irrigation technologies serve to motivate the commercial farmers to apply microirrigation techniques. With the ongoing growth of extensive agricultural activities, the commercial sector’s need for microirrigation systems is projected to increase, supporting its leading market share and enhancing the overall growth of the market.

In September 2023, to boost the irrigation economy and efficiency for sports fields, stadiums, and large commercial turf areas, Rain Bird Trading (Shanghai) Co., Ltd. introduced its new 11000 Series in-ground rotary sprinklers. The 11000 series rotary sprinkler does not require as many sprinklers to cover a large area compared to ordinary rotary sprinkler solutions, as it can distribute water evenly within a radius of 32 meters. Moreover, a 6.9 cm top exposed diameter of the 11000 series allows the athletes to be less distracted by the sprinklers.

North America to Hold a Significant Market Share

A substantial portion of the global microirrigation systems market belongs to North America, attributed to its advanced agricultural techniques and emphasis on water efficiency. Above all, the United States boasts of an economically advanced agricultural society that encourages water conservation in all forms, ensuring efficient usage of water in all states, including California and Southwestern states, which are mostly arid. The implementation of microirrigation systems is increasing due to government initiatives and subsidies that aim to promote water-saving irrigation methods among farmers. Moreover, the growing propensity for high-value crops such as fruits, nuts, and vegetables, alongside an emphasis on improving crop yields and quality, has brought rapid uptake of microirrigation in agriculture in North America. The greater accuracy and control offered by automated and smart irrigation systems help in the expansion of the market. Moreover, as sustainability and water management control increasingly take precedence, the advancement of the market in North America is expected to increase.

Capitalizing on the region's growth, in September 2024, Rivulis Pte. Ltd. commissioned a new plant to produce microirrigation systems in North America, which is the biggest of its kind in the region. This move has been strategically planned considering the availability of resource-smart irrigation solutions that are in demand. The plant will manufacture Rivulis’s top-selling T-Tape products, which growers have relied on for almost forty years for their superior performance in water application, flow rate consistency, clogging resistance, and material durability.

Future Market Scenario (2024 – 2031F)

With the integration of IoT, AI, and smart irrigation technologies, precision and efficiency will be improved, hence making microirrigation systems more favorable to farmers. For instance, in April 2024, Vertefarm unveiled a residential hydroponic factory using functional design principles. The micro plant factory is equipped with a novel lighting system specifically designed for the optimization of green leafy plants with a photosynthetic photon flux of more than 150 μmol/m²/s which promotes healthy plants. The addition of a smart control system that incorporates Bluetooth Low Energy (BLE) and WiFi connectivity through a smartphone application makes plant cultivation management easier and enjoyable.

The increasing demand for fruits, vegetables, and other high-value crops will enhance the application of microirrigation to maximize yield and quality.

Asia-Pacific is likely to experience exponential growth in the adoption of microirrigation systems, owing to the potential growth in agricultural activities and modernization trends.

Key Players Landscape and Outlook

The global microirrigation systems market features a diverse landscape of key players that significantly influence its growth and innovation. Leading companies are focused on developing advanced irrigation technologies, including drip and sprinkler systems, to cater to the growing demand for water-efficient solutions in agriculture. These players emphasize research and development to enhance system efficiency, durability, and ease of use, contributing to market expansion. Additionally, strategic partnerships, collaborations, and acquisitions among manufacturers, distributors, and agricultural technology firms are becoming increasingly common to enhance market reach and product offerings. For instance, in August 2024, Rain Bird Corporation acquired Adritec Group International (AGI) in Jordan and Mexico. The company aim to expand its operations in MEA and Latin America through this acquisition.

The outlook for the microirrigation systems market remains positive, driven by rising awareness of sustainable farming practices and increasing government support for water conservation initiatives. As agricultural practices evolve, the emphasis on high-value crop production will further propel the demand for microirrigation solutions. Emerging markets present significant growth opportunities as these regions seek to modernize agricultural practices amidst water scarcity challenges. With the continuous evolution of technology and increasing environmental awareness, the microirrigation systems market is expected to witness robust growth, positioning itself as a critical component of sustainable agriculture in the forecast period.