The precision agriculture market is projected to grow from US$ 11.27 billion in 2023 to US$ 29.85 billion by 2031; it is expected to expand at a CAGR of 12.9% from 2025 to 2031. Increasing adoption of advanced technologies such as the Internet of Things (IoT) and AI-based solutions, among others, is expected to be a key trend in the market.
The precision agriculture market growth can be credited to the increasing adoption of advanced technologies in farming, the continuous growth of the population resulting in a rise in demand for agriculture-based products, and a surge in the adoption of smartphones. Furthermore, increasing investments in technologies such as autonomous tractors, GPS systems, guidance systems, and favorable government initiatives to support smart farming create lucrative opportunities for the precision agriculture market growth.
Precision agriculture is a farming approach that employs data sensors, remote control tools, connected devices, and other advanced technologies to offer farmers better control over their farms. Precision farming uses modern and advanced technologies such as satellite imagery, field mapping, GPS, and drones to improve crop quality and profitability, increase production, reduce labor time, and ensure the effective management of fertilizers and irrigation processes. It uses large volumes of ground, aerial, and satellite data to improve the use of agricultural resources, levels of yields, and quality of crops. Based on these data, farmers receive information on many key parameters related to farms, such as crop status, weather forecasts, and environmental changes.
The agriculture sector continuously strives to meet consumer demands, regardless of environmental challenges such as unfavorable weather conditions and climate change. Technological advancements in both small and large-scale agricultural businesses are encouraging the implementation of precision agriculture. Innovations related to smart farming and precision farming through IoT will enable farmers to enhance their operational efficiencies, lower costs, reduce waste, and improve yield quality. The use of IoT devices in precision agriculture helps farmers improve field and cattle monitoring, risk management, and planning for aiding decision-making, return on investment (ROI), and overall site farm security. Moreover, the implementation of IoT applications, along with high-speed internet-connected mobile devices obtaining data from reliable, low-cost satellites, adds to the accuracy of precision agriculture, which bolsters the growth of the precision agriculture market growth.
Technological advancements have significantly boosted agricultural productivity and development across the globe. Historically, technology adoption was aimed at increasing production, productivity, and agricultural income. Agriculture, trade, R&D, education, training, and advisory policies have had a significant impact on technology selection, productivity levels, and farming methods for decades. Addressing the challenge of sustainable development necessitates a fundamental shift in existing farming techniques. The introduction of digital technologies has the potential to improve the efficiency of input utilization, raise crop output, and reduce environmental harm, therefore benefiting both farmers and consumers. Thus, the adoption of digital technologies in sustainable farming is expected to create lucrative opportunities for market growth during the forecast period.
The key segments that contributed to the derivation of the Precision Agriculture Market analysis are coverage type and applications.
Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East & Africa, and South & Central America.
North American dominated the precision agriculture market share in 2023. The dominance of this region in the market is majorly ascribed to the increasing adoption of technological advancements in the agriculture sector. A few of the key players in the precision agriculture market are Ag Leader Technology; AgJunction, Inc.; CropMetrics LLC; Trimble, Inc.; AGCO Corporation; Raven Industries Inc.; Deere and Company; Topcon Corporation; Hexagon Agriculture; and CropX Technologies. These companies have been witnessing continuous demand from SMEs and large enterprises in the world. The following figure depicts a revenue growth trend in the precision agriculture market.
The regional trends and factors influencing the Precision Agriculture Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Precision Agriculture Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2024 | US$ 12.72 Billion |
| Market Size by 2031 | US$ 29.85 Billion |
| Global CAGR (2025 - 2031) | 12.9% |
| Historical Data | 2021-2023 |
| Forecast period | 2025-2031 |
| Segments Covered |
By Component
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Precision Agriculture Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Precision Agriculture Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The Precision Agriculture Market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. A few of the developments in the Precision Agriculture Market are listed below:
AGCO Corporation, a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, announced the launch of PTx, a new brand representing its precision ag portfolio. PTx combines precision ag technologies from the cornerstones of AGCO's tech stack: Precision Planting and its newest joint venture (JV), PTx Trimble. (Source: AGCO Corporation, Press Release, April 2024)
The Precision Agriculture Market forecast is estimated based on various secondary and primary research findings, such as key company publications, association data, and databases. The market report "Precision Agriculture Market Size and Forecast (2021–2031)" provides a detailed analysis of the market covering below areas-
Increasing adoption of advanced technologies such as the Internet of Things (IoT) and AI-based solutions, among others, is the major trend in the market.
Ag Leader Technology, AgJunction, Inc., CropMetrics LLC, Trimble, Inc., AGCO Corporation, Raven Industries Inc., Deere and Company, Topcon Corporation, Hexagon Agriculture, DICKEY-john, AgSense, AgSmarts Inc, Monsanto Company, AgJunction Inc., Precision Planting, Teejet, Ecorobotix SA, Granular Inc., Farmers Edge, and CropX Technologies are the major market players.
Some of the customization options available based on the request are additional 3–5 company profiles and a country-specific analysis of 3–5 countries of your choice. Customizations are to be requested/discussed before making final order confirmation, as our team would review the same and check the feasibility.
Technological advancement and government support for precision farming are the major factors that drive the global Precision Agriculture Market.
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The global Precision Agriculture Market was estimated to grow at a CAGR of 12.9% during 2023 - 2031.