PUBLISHER: Allied Market Research | PRODUCT CODE: 1298192
PUBLISHER: Allied Market Research | PRODUCT CODE: 1298192
The global iot in agriculture market was valued at $27.1 billion in 2021, and is projected to reach $84.5 billion by 2031, growing at a CAGR of 12.6% from 2022 to 2031.The global iot in agriculture market was valued at $27.1 billion in 2021, and is projected to reach $84.5 billion by 2031, growing at a CAGR of 12.6% from 2022 to 2031.Agriculture is one of the most important activities in most of the countries across the globe. It has evolved from manual to a technology-based occupation in every aspect. The agriculture industry is open to innovation and adoption of Internet of Things (IoT) for further development of the sector by using information from weather stations, sensors, and other machinery. Internet of Things (IoT) can gather, use, and analyze vast amount of data that is used as an input for various algorithm-based outputs in the field of decision making. The data is used to help autonomous machines or humans to take accurate decisions to revolutionize the farming sector and deliver return on investment & tangible benefits to farmers.
The primary focus of IoT is to reduce cost, save time, and decrease wastage of power. In addition, IoT in agriculture provides benefits in areas such as health, safety, welfare, sustainability, and nutrition. These include livestock & plant disease monitoring, yield measurement, soil conditioning, quota systems, remote machine control, mobile platform controller, computer platform controller, greenhouse management, and livestock monitoring. The application of IoT in precision farming, livestock monitoring, smart greenhouse, and fish farm monitoring has helped increase production and generate higher returns.
For implying IoT to a farm land, the farmers need to have sensor networks, data analytics software, machine to machine communication, management system, and mobile or computer-based application. The complete tools of farm management coupled with information technology offer features such as critical decision capabilities that help take critical decisions at the appropriate time.
Because there is a connection between agriculture and climate change, global climate change has a considerable impact on agricultural production. Climate change has an impact on agriculture because it alters the atmosphere, rainfall patterns, and extreme weather events like heat waves. It also alters the amount of ozone in the atmosphere and the nutritional value of food. Brazil's agriculture, which is allegedly impacted by such climate challenges, is predicted to see a 10% reduction in maize production by 2055. Similar declines in agricultural production are anticipated in Eastern Australia and the Midwest of the United States due to the intense heat. While in Central and Eastern Europe, a decline in forest production is anticipated due to a lack of water. These severe climatic conditions play an important role in the deployment of IoT-based technology in agriculture to optimize the production and efficiency of the farm.
Small businesses in the agriculture sector provide solutions for various points along the value chain. Also, the market lacks a dominant operator that offers a solution for the entire value chain of agriculture. As a result, farmers find it challenging to attain economic scalability through the use of products and services provided by smaller companies. For instance, solutions to lower storage or transportation costs do not assist farmers in maximising their return on investment or achieving economic viability (ROI). Hence, the fragmented agriculture market limits the development of IoT in agriculture.
Due to data-driven methodologies for maximising and monitoring farm production, farmers are rapidly integrating internet-based technologies, such as smartphones, into their daily activities. The adoption of IoT in rural areas is boosted by connected wireless technologies like low-power wide-area network (LPWA) and Zigbee that enable high level communication protocols employing networks like low powered digital radio, Wi-Fi, and additional wireless sensor technologies. With the aid of these technology, farmers may gather vast amounts of field data that aids in a variety of agricultural operations, including field control, inventory control, pesticide spray control, resource purchase, planting, and crop harvesting.
The global IoT in agriculture market is expected to witness significant growth owing to increase in global population coupled with rise in demand for food. In addition, climate change hampers agricultural production, which is expected to fuel the growth of IoT-based technology solutions in the agriculture sector. IoT-based technology is expected to increase productivity and improve efficiency of a field equipment, which further boosts the market growth. Moreover, additional benefits of IoT in agriculture, such as water conservation and reduced wastage of fuel are expected to drive the IoT in agriculture market growth during the forecast period. However, high capital investment to develop the existing infrastructure and setup of IoT in the agriculture ecosystem emerge as challenge for farmers across developing economies, such as India, China, and Brazil. Nevertheless, surge in number of smartphones and internet penetration provide up-to-date information and latest developments in the agriculture sector to the farmers. In addition, increase in public-private partnership between the government agriculture department and state-owned enterprises to promote growth of sustainable agriculture by adoption of IoT is further expected to fuel the growth of the global IoT in agriculture market during the forecast period.
The Internet of Things (IoT) in agriculture market is segmented on the basis of system, application, and region. By system, the market is classified into automation & control systems, sensing & monitoring devices, livestock monitoring hardware, fish farming hardware, smart greenhouse hardware, and software. By application, it is categorized into precision farming, livestock monitoring, smart greenhouse, and fish farm monitoring. By region, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Some of the major players analyzed in the global Internet of Things (IoT) in agriculture report include: Cisco Systems, Inc., International Business Management Corporation (IBM), Telit, Hitachi, Ltd, Decisive Farming, Trimble Inc., OnFarm Systems Inc., Farmers Edge Inc., SlantRange, Inc., and The Climate Corporation.