The content of this report will be updated with the latest scenarios based on the global COVID-19 Pandemic
The global precision harvesting market size is estimated to reach USD 22.9 billion by 2027, registering a CAGR of 8.6% over the forecast period, according to a new report by Grand View Research, Inc. Precision harvesting, also known as modern agricultural cultivation technique, includes using cameras and sensors to detect appropriate period for cultivation for maximum crop production. This technique helps increase crop efficiency and reduces waste by monitoring the temperature, soil, humidity, and other environmental factors. It includes a wide range of technologies such as robotics, automation, sensors, imagery, and big data.
Increasing adoption of autonomous combine harvesters and harvesting robots, increasing mechanization of farms in developing economies, and increased labor cost due to shortfall of skilled labor are some of the key factors driving the market growth. Major manufacturers of agriculture equipment are adopting telematics services to improve farm efficiency, thereby reducing the cost of agricultural operations, maximizing profitability, and reducing environmental impact due to improved management.
Increasing global food demand, minimizing crop wastage during harvesting processes, and extended crop yield and profitability are also driving the market. Government initiatives in various countries are encouraging farmers to adopt advanced technological and agricultural tools and machinery to improve crop yield. However, low rate of technology adoption, lack of skills, and lack of technical awareness among farmers due to absence of stringent standards and limitations on the exchange of data, are likely to hamper the precision harvesting market growth over the forecast period.
Furthermore, high initial capital investment and lack of independent consulting and advisory services due to absence of validated agronomic models to make investment decisions are impeding the market growth. In addition, independent services are not linked to co-operatives, government bodies, and farmer’s associations where farmers can get additional information to make improved decisions.
Further key findings from the report suggest:
- Increasing government support for adopting modern agricultural techniques and growing need for efficient harvesting to increase crop production are expected to drive the market
- The software segment is anticipated to expand at a significant CAGR owing to cloud computing, which focuses on shared networks, servers, and storage devices thus reducing costs incurred in maintaining hardware and software infrastructure
- Digital revolution in the agricultural sector and financial incentives from the government are likely to drive the market in Europe
- Asia Pacific is expected to witness the fastest growth owing to availability of the largest agricultural land, which provides growth opportunities in countries such as China, India, Australia, and Japan
- Key players in the precision harvesting market include AGCO Corporation; Trimble Inc.; Deere & Company; AgJunction Inc.; Raven Industries, Inc.; AG Leader Technology, Inc.; FFRobotics; and Precision Planting LLC.