Agriculture IoT Market Forecasts to 2030 – Global Analysis By Offering (Hardware, Software and Services), Farm Type (Large, Mid-Sized and Small Farms), Farm Production Planning Stage, Application and By Geography

Agriculture IoT Market Forecasts to 2030 – Global Analysis By Offering (Hardware, Software and Services), Farm Type (Large, Mid-Sized and Small Farms), Farm Production Planning Stage, Application and By Geography

According to Stratistics MRC, the Global Agriculture IoT Market is accounted for $14.25 billion in 2023 and is expected to reach $31.1 billion by 2030 growing at a CAGR of 11.8% during the forecast period. The Agriculture IoT (Internet of Things) Market is the application of IoT technology in agriculture, encompassing the use of connected devices and sensors to collect real-time data and automate various agricultural processes. IoT in agriculture is used for precision farming, where it monitors soil conditions, weather, crop health, and livestock, allowing farmers to make data-driven decisions.

According to the UN Food and Agriculture Organization (FAO), the global population is expected to surpass 9 billion people by 2050. To produce enough food for the given population, agriculture production volumes have to increase by 50%.

Market Dynamics

Driver

Increasing adoption of IoT and AI for various agricultural applications

IoT sensors and devices, coupled with AI analytics, enable farmers to monitor and manage crops, livestock, and machinery with unprecedented precision. This technology assists in real-time data collection, predictive analytics for crop yields, automated decision-making, optimizing resource utilization and reducing manual labor. By harnessing the power of IoT and AI, agriculture becomes more sustainable, productive, and resilient, addressing the challenges of food security, resource scarcity, and climate change, making it a crucial driver in the agriculture IoT market.

Restraint

High upfront cost for deployment of modern agricultural equipment

While IoT technology offers long-term benefits, including increased productivity and resource optimization, the initial investment can be prohibitively expensive for many small and medium-sized farmers. The cost includes not only the purchase of IoT devices and sensors but also infrastructure upgrades, connectivity fees, and training expenses. This financial barrier may hinder widespread adoption, particularly in regions with limited access to capital or where traditional farming practices are deeply entrenched.

Opportunity

Growing popularity of poultry robots and BSC smart cameras

The innovative technologies leverage IoT and automation to enhance poultry farming efficiency and animal welfare. Poultry robots can automate tasks like feeding, egg collection, and health monitoring, reducing labor costs and improving production outcomes. BSC smart cameras provide real-time visual data for precise flock management. Their adoption streamlines operations, increases yield, and ensures animal well-being. As these solutions gain traction, they signify the expanding scope of IoT applications in agriculture, offering farmers advanced tools to optimize processes, reduce manual labor, and boost overall profitability.

Threat

Unavailability of simple and standardized data management and data aggregation tools

IoT generates vast amounts of data from sensors and devices across farms, making effective data management crucial. However, the lack of user-friendly, standardized solutions for collecting, processing, and interpreting this data can overwhelm farmers and hinder decision-making. It results in data silos, inefficiencies, and missed opportunities for optimization. Without standardized tools, data collected from different sources often exists in silos, making it challenging to integrate and analyze comprehensively. This fragmentation hampers the ability to derive meaningful insights and make informed decisions. Farmers, especially those with limited technical expertise, may struggle to harness the full potential of IoT technology due to the intricacies of data handling.

Covid-19 Impact

The COVID-19 pandemic has had a significant impact on the agriculture IoT market, primarily due to disruptions in the global supply chain and workforce constraints. Lockdowns and restrictions hampered the production and distribution of IoT components, delaying project implementation and increasing costs. Additionally, economic uncertainties led to reduced investment in agricultural technology. Farmers faced financial challenges, limiting their ability to invest in IoT solutions. However, the pandemic also underscored the importance of IoT in agriculture, as it highlighted the need for remote monitoring and automation to ensure food security during crises, potentially driving increased adoption in the long term as the sector adapts to future challenges.

The production planning segment is expected to be the largest during the forecast period

Production planning it involves the strategic integration of smart sensors, data analytics, and automation technologies, in regard to the Agriculture IoT Market and expected to hold a significant share. By continuously monitoring environmental conditions, soil quality, and animal health, IoT solutions enable farmers to make data-driven decisions for planting, irrigation, fertilization, and disease control. This result in increased crop yields, reduced resource waste, and improved sustainability. Additionally, predictive analytics can help forecast demand, ensuring efficient supply chain management.

The smart greenhouses segment is expected to have the highest CAGR during the forecast period

During the anticipated period, the smart greenhouses segment is expected to increase at the most effective rate. These advanced structures employ an array of sensors, actuators, and data analytics to create an optimal growth environment for plants. Real-time monitoring and control of factors like temperature, humidity, light, and irrigation ensure precise conditions for enhanced yields and resource efficiency. Integrated IoT systems enable remote management and data-driven decision-making, enabling farmers to adapt swiftly to changing conditions. In the agriculture IoT landscape, smart greenhouses exemplify sustainable, high-yield agriculture, addressing the growing global demand for food production while conserving resources and reducing environmental impact.

Region with largest share

During the forecast period, it is expected that the North American agriculture IoT market will hold a majority of the market share driven by its advanced technological infrastructure, large-scale farming operations, and strong focus on agricultural innovation. The region's farmers and agribusinesses are increasingly adopting IoT solutions to enhance crop management, livestock monitoring, and overall farm efficiency. Factors like climate change, labor shortages, and the need for sustainable practices have propelled IoT adoption in agriculture. Furthermore, North America's regulatory framework and government support for precision agriculture initiatives contribute to its leadership in the global agriculture IoT market, making it a hub for IoT innovation in the farming sector.

Region with highest CAGR

Asia Pacific is projected to have the highest CAGR over the forecast period. Its diverse agricultural landscape, ranging from smallholder farms to large commercial operations, benefits immensely from IoT technologies. Farmers in the region are increasingly deploying smart sensors, precision agriculture solutions, and data analytics to optimize crop production, monitor livestock, and manage resources more efficiently. This adoption fosters sustainable agriculture practices, mitigates risks associated with climate change, and enhances food security. Furthermore, the Asia Pacific's commitment to technological advancement and the need to meet rising food demands position it as a critical player in shaping the future of agriculture IoT.

Key players in the market

Some of the key players in Agriculture IoT market include CropX inc., AgJunction Inc., AgriData Incorporated., Aker Solutions, Auroras s.r.l., Ceres Imaging, Inc, Conservis, Ag Leader Technology., Deere & Company., DeLaval Grownetics, Inc., Farmers Edge Inc, Granular, Inc., Iteris, Inc., Mothive., Trimble Inc., Raven Industries, Inc., Reed Business Information Ltd and The Climate Corporation.

Key Developments

In November 2022, DeLaval introduced RC550 & RC700 to its portfolio of robots. These robots were designed for solid floors to improve cow comfort and hoof condition. With their unique rotary manure intake system, any type of manure can be handled by the collector, and additional water need not be added.
In October 2022, Deere & Company launched an updated version of ExactRate, which is an on-planter system that fertilizes new crops with twice the previous speed and reduces the number of refills needed for fertilizer tanks during planting.

In June 2022, Raven Industries introduced its first driverless agriculture technology for harvesting operations. It helps farmers to monitor driverless vehicles by setting field plans, adjusting speeds and monitoring location activities.

Offerings Covered
• Hardware
• Software
• Services

Farm Types Covered
• Large
• Mid-Sized
• Small Farms

Farm Production Planning Stages Covered
• Pre-Production Planning
• Production Planning
• Post-Production Planning

Applications Covered
• Precision Farming
• Precision Livestock
• Precision Aquaculture
• Precision Forestry
• Smart Greenhouses
• Other Applications

Regions Covered
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements