Agriculture in Israel Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Agriculture in Israel Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

The Agriculture In Israel Market size is estimated at USD 12.61 billion in 2024, and is expected to reach USD 15.21 billion by 2029, growing at a CAGR of 3.80% during the forecast period (2024-2029).

Israeli agriculture is renowned for its dynamic nature and heavy reliance on advanced technology, positioning it as a pioneer in agricultural methods. The country is known for its advanced techniques, such as drip irrigation systems, automated and controlled machinery, and superior quality seeds and plants, which have enabled Israeli agriculture to prosper in adversity. Over 40% of the agricultural produce in Israel is cultivated in the desert, posing a significant challenge for farmers due to water scarcity. Israel holds a record in water recycling, with over 90% of its wastewater being recycled, a feat unmatched by any other country worldwide. Thus, the water recycling capacity boosts the country’s agricultural production despite water scarcity and limited agricultural sources.

In Israel, wheat, corn, barley, and oats are the main cereals and grains consumed. At the same time, citrus fruits, avocados, kiwis, potatoes, and cucumbers are the most popular fruits and vegetables among Israelis. Further, Israel is recognized as one of the leading exporters of fruits, with citrus being the most exported fruit. According to the United States Department of Agriculture (USDA), Israel's citrus exports in 2023 reached 175,000 metric tons, up 23% from 2022. Israel produces a variety of cereals and grains, with wheat being the primary crop due to its adaptability to diverse climates.

Israel Agriculture Market Trends

Advancement in Agricultural Technology

Israeli technology provides a wide range of innovative inventions and advanced tools to enhance productivity. For instance, in 2023, BloomX, an Israeli agri-tech startup, introduced "Crossbee,” a portable device designed to collect and distribute sticky pollen grains among avocado trees. This device is operated by AI-driven software connected to a smartphone app and equipped with a GPS feature. This helps agricultural workers identify the treated areas of a field, leading to a 30% increase in fruit yields. Besides, companies such as AgriTask and SeeTree are harnessing the power of AI-driven analytics to enhance logistic operations, forecast market needs, and enhance inventory control. These platforms enable farmers and agribusinesses to streamline their processes, minimize wastage, and guarantee timely distribution of fresh produce to consumers by analyzing data related to market trends, consumer behavior, and logistical variables. Thus, the growing adoption of various advanced technologies by Israeli farmers and the creation of innovative technologies by companies are anticipated to propel the agriculture market in Israel during the projected timeframe.

Fruits and Vegetables are Widely Consumed in Israel

In the country, tomatoes, cucumbers, citrus fruits, avocados, kiwifruit, guavas, mangoes, grapes, and leafy greens are staples commonly featured in salads, traditional dishes, and various culinary preparations. Their diverse culinary applications underscore their popularity. With a rising focus on healthy eating, there’s been an uptick in demand for these fresh, nutritious, low-calorie, and high-water-content fruits and vegetables. In Israel, heightened health awareness, particularly among millennials, is fueling a surge in demand for fresh produce, such as fruits. Fruits, rich in essential nutrients and antioxidants like vitamin C, carotenoids, and polyphenols, play a pivotal role in reducing cardiovascular disease risks. For many years, local growers have been proving their great importance as a first-rate factor in maintaining Israel's food security and providing the citizens of the country with fresh and healthy agricultural produce. This will encourage the market growth in future years.

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• The market estimate (ME) sheet in Excel format
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