Digital Agriculture Market Size, Share, and Trends 2024 to 2034

Digital Agriculture Market Size and Forecast 2024 to 2034

The global digital agriculture market size is estimated at USD 22.92 billion in 2024 and is anticipated to reach around USD 60 billion by 2034, expanding at a CAGR of 10.10% from 2024 to 2034.

Digital Agriculture Market Key Takeaways

• Asia Pacific dominated digital agriculture market in 2023. 
• By product, the perishable segment led the market during the forecast period 2024 to 2034.
• By business, the B2B segment led the market during the forecast period 2024 to 2034.

Asia Pacific Digital Agriculture Market Size and Growth 2024 to 2034

The Asia Pacific digital agriculture market size is evaluated at USD 8.94 billion in 2024 and is predicted to be worth around USD 23.70 billion by 2034, rising at a CAGR of 10.23% from 2024 to 2034. 

The Asia Pacific region is expected to dominate the global digital agricultural market during the forecast period. The Chinese agricultural sector has undergone a great revolution with respect to the adoption of smart farming practices. With the availability of Internet of Things cellular devices use of sensor-based technologies like gear tooth sensor-based irrigation and fertilizer equipment the market is expected to grow. There is an increased rate of mechanization and smart agricultural practices are adopted by the farmers.

China has contributed well in the agricultural science and technology progress. The rate of mechanization in crop harvesting and crop cultivation has rose exponentially in China. India is an agricultural country and it is traditionally dependent on rain and the climate changes. Due to these reasons the farmers are extremely vulnerable to crop loss in India. An increase in the use of artificial intelligence in the agricultural field will help in reducing the uncertainties and the risk in the agricultural activities in India.

In the recent years the Indian government has adopted agricultural policies that have provided a major boost to digital agriculture. IBM and the Government of India have signed a pact in order to provide weather forecast and soil moisture information at village levels using the artificial intelligence.

Digital technology is playing an extremely big role in the in India’s steps towards agricultural modernization and vitalization. The digital agriculture market in the Asia Pacific region is driven by the rise in technology driven agricultural equipments which are available across the Asia Pacific regions and there is an increase in the government funding for the establishment of these tech firms.  

Market Overview

There is growing pressure on farmers to produce more food and animal feed by using lesser chemicals. The increasing population is making it more difficult to feed the growing population. There's an increase in the strain on agricultural production. The use of Internet of Things solutions combined with precision agricultural softwares will help the agricultural sector. There is an increasing use of agricultural tools that are digital which help in tracking the progress of the crops with the help of sensors that record the condition of the soil and the temperature in the fields.

Farmers are using these applications to analyze the climate for the growth of various crops. Like all the other sectors farming is also making use of digital platforms post pandemic. There's an increase in the investments and innovations for the digital agriculture. Increasing dependency on the digitization is helping in the betterment of the lives of various farmers across the world.

Digital Agriculture Market Growth Factors

Due to an increased awareness about the benefits of the digital agriculture in better optimization of agricultural production has the resulted in the growth of the agriculture market. Increasing demand for food due to the increase in population has led to the adoption of these digital agricultural tools by various farmers. In many countries there is strategic policymaking which helps in encouraging the farmers to adopt these new technologies. There are many farms advisory services that help the farmers in adopting these new innovative technologies which enables them to become efficient in utilizing the resources which are extremely cost effective and help in combating the challenges. These softwares are able to help the farmers to maximize their yield and minimize the losses.

North American region is the largest market for digital agriculture. That's a great investment by the United States which helps in facilitating the ecosystem for future foods. The Asia Pacific region is also expected to be the fastest-growing market for digital agriculture. Farming is helping the farmers to understand the seeds that can be planted and the number of fertilizers that need to be used it is also helping them in understanding the perfect time for harvesting the crops which will help in generating the expected output.

Increase population and an increasing need for food security is creating a great demand for digital agriculture across many regions. With the help of digitalization in the agricultural market, businesses are able to communicate information beyond the conventional boundaries of their industries. Due to digitization in the agricultural field, there is initiation of new modes of work. These technological advancements have improved the capacities of agriculture and the agricultural industries.

Market Scope

Product Type Insights

On the basis of the product type the perishable segment is expected to dominate the marketplace during the forecast period. Dairy products, vegetables, meat, fresh fruits, seafood and poultry are all the perishable foods in the digital agricultural marketplace.

Business Channels Insights

The B2B segment is expected to have the largest market share during the forecast period in the digital agricultural market. B2B commerce operates between companies instead of the end user and the company. There are various tools and services like software tools, data analysis, value added services for logistics which are offered to the farmers. All these services in the B2B segment help the farmers to improve their crop productivity and cultivation

Digital Agriculture Market Top Companies

• AGCO Corporation
• Microsoft Corporation
• HummingBird Technologies
• IBM Corporation
• Gamaya SA
• DTN
• Taranis
• Farmers Edge
• Eurofins
• Agriwebb
• Climate Corporation

Key Market Developments

• CSIRO in the year 2021 give Melbourne technology company digital agricultural services licensing rights in order to use their crop forecasting tool which is Graincast. Graincast is used to identify and predict the risk like drought, flood, fire and the productivity of a particular region.
• CNH Industrial launched AGXTEND in Brazil in the year 2021. It is an innovative platform for the digital agricultural solutions. The solution is offering best standards for all the stages of the cultivation cycle which will be extremely beneficial for all types and profiles of farmers. The management and the monitoring solutions are based on the images taken by the drone. It also provides monitoring of the soil.
• The Chinese government announced that it is planning to sample a digital village in the year 2020. China helped the world's largest population according to the China Internet network Information Center. This population was using Internet or online related services. Many farmers across China are adopting digital services for their agricultural purposes which is helping them economically. There is an increase in the per capita income in the rural villages of China.
• TELUS Agriculture which is one of the leading participants in the farm industry had launched new business unit that will be able to deliver creative and advanced solutions for the agricultural industry. The service will be helpful for data analysis and production better food outcomes and efficiency.

Segments Covered in the Report

By Business Channel

• B2B
• B2C

By Product Type

• Perishables
• Non perishables
• Raw materials
• Others

By Component Type

• Hardware
• Software
• Devices

By Deployment

• Cloud
• On-Premise
• Hybrid 

By Infrastructure

• Sensing & Monitoring
• Sensors
• Cameras
• Communication Technology
• Short Range
• Medium Range
• Long Range
• Cloud and Data Processing
• Telematics/Positioning
• GPS/GNSS
• GIS

By Type

• Crop Monitoring
• Artificial Intelligence
• Precision Farming

By Company Type

• Tier 1-55%
• Tier 2-20%
• Tier 3-25%

By Designation

• C-Level Executives-40%
• Directors -35%
• Others-25%

By Application

• Field Mapping
• Livestock Monitoring
• Greenhouse Farming
• Crop Scouting
• Weather Tracking
• Drone Analytics
• Financial Management
• Farm Inventory Management
• Others

By Geography

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East & Africa (MEA)