May 24 2016, 11.50 AM IST || Pocket News Alert
Even
as countries focus on sustainable improvements in agricultural
productivity to mitigate the effects of climate change, High Precision
Positioning systems to lead with $ 7.23 Bn or 28% revenue share in 2022;
Livestock Farming solutions to reach $ 3.32 Bn, while Variable-rate
Technology market set to reach $ 2.31 Bn by 2022
Asia-Pacific with 13.6% CAGR and MEA with 13.8% CAGR to show highest growth over the period 2016-2022
BENGALURU,
India – May 24, 2016 – Infoholic Research LLP, a global ICT and
Electronics market research and consulting organization, has published a
study titled “Worldwide Advanced Farming:Market Drivers, Opportunities,
Trends and Forecasts, 2016-2022” (May 2016).
Infoholic
Research forecasts that advanced farming will change the way
agriculture is practiced and will result in increased productivity,
better crop-yields and reduce the demand of manual labour on farms. With
higher ownership and deployment of farm mechanization equipment across
large, corporate farms/plantations, and the rising trend of custom
hiring of equipment by individual/family owned holdings for tillage,
sowing, plant protection, harvesting, post-harvest processing and so on,
the market is expected to grow at a CAGR of 13.4% during the period
2016-2022 to touch an aggregate of $ 25.81 billion by 2022. Most of the
Advanced Farming systems are linked with Farming Management Systems
(FMS); these technologies also help farmers track and monitor animal
health. In the last 2-3 years, cloud based FMS have started penetrating
into the Advanced Farming market.
Figure 1. Worldwide Advanced Farming Market Revenue Growth, 2016-2022
Source: Infoholic Research, 2016
“Advanced
Farming is turning out to be a key revenue pocket for policy makers and
agri-equipment makers. However, faced with economic challenges and a
dynamic global commodities market, adoption is subject to farmers’
feeling the need to acquire appropriate technology within a suitable
farming policy framework,” said Tariq A. Shaik, Research Manager at
Infoholic Research.
Advanced
Farming and its close cousin, farm mechanization, are still in a
nascent stage of adoption in emerging economies, and need significant
support from governments to achieve higher market penetration. Despite
the potential, bringing about sustainable growth in the advanced farming
market remains a challenge for most developing countries on account of
various macro-economic, demographic and market factors:
1.The benefits of the ‘Green Revolution’ of the 1960s-1980s have run their course in major emerging markets such as India;
2.Changing
consumer choices – food preferences and habits are increasingly
influenced by health, lifestyle and convenience considerations;
3.Non-availability of farm labor during peak season;
4.Rising production costs such as seeds and chemical fertilizers;
5.Resource scarcity and efficient utilization of the same, for example, water for irrigation in dryland farming, and
6.Impact of climate change on crop yields and the need to develop drought-resistant, high yield plant and crop varieties.
In
view of the above, leading stakeholders in the business, especially
large, MNC vendors need to invest in research and development and
testing of market-specific machinery and equipment for standardization
and quality control, and education, training and popularization.
“Private
investment in the field of agriculture will drive the market for the
next few years. Developing regions and countries are expected to
register high growth due to increased demand for foodgrains, vegetables,
fruits and dairy products, and a shift from subsistence farming to cash
crops as incomes rise, lifestyles change and rural populations migrate
to urban areas,” said Preeti Wadhwani, Senior Research Analyst at
Infoholic Research.
Figure 2. Worldwide Advanced Farming Market by Region, 2016 and 2022
Source: Infoholic Research, 2016
“The
advanced farming market is expected to witness a healthy growth in the
emerging markets of Asia-Pacific and the MEA region over the next six
years, with CAGR of 13.6% and 13.8% respectively. In this high growth
scenario, there will be ample opportunities to integrate with cloud and
analytics to rapidly modernize farming in these regions,” said Komal
Sharma, Research Analyst at Infoholic Research.
Report Synopsis
“Worldwide
Advanced Farming: Market Drivers, Opportunities, Trends and Forecasts,
2016-2022” (May 2016) aims to highlight key insights from both vendors
and end users. It provides an in-depth analysis and forecast for the
industry, covering the following important issues and trends:
Drivers of the Advanced Farming market:
o Growing Food Requirement
o Need for Environment Friendly Farming Techniques
o UN/FAO/international community support
Restraints of the Advanced Farming market:
o High Initial Investment Costs
o Lack of IT Literate Farmers
o Improper IT Infrastructure
Key questions answered in the report:
o What will be the global advanced farming markets size in 2016-2022?
o What is the industry structure?
o What are the submarkets attracting the business opportunities?
o What are the advanced farming technology trends?
o What are the advanced farming market drivers and inhibitors?
o What are the challenges to the advanced farming market?
o How is the advanced farming market growing in the regions such as Americas, Europe, APEJ, and MEA?
o How are the service and technology industry growing in the advanced farming market?
o How much investments have been made into advanced farming and what are the ongoing and upcoming advanced farming projects?
Advanced Farming Companies covered in the report:
o Trimble Navigation Ltd.
o AGCO Corp.
o Deere & Company
o Raven Industries Inc.
o AgJunction Inc.
o Cisco Systems
o IBM Corp.
o Microsoft Corp.
o Intel Corporation
o Smart Fertilizer Management
o Blue River Technology
o Growing Smart
o ThingWorx
Further, the report
o
Provides a comprehensive overview of the advanced farming solution
technologies – Variable-rate Technology (VRT), High Precision
Positioning Systems, Automated Steering Systems, Remote Sensing and
Integrated Electronic Communication.
o Covers Applications such as – Fleet Management, Livestock Farming, Forest Farming, Aqua Farming and Horticulture.
o Covers Services like – Integration Services, Maintenance Services, and Training & Consulting.
o Discusses Deployment Models such as – Cloud and Local.
o
Analyzes the market by four distinct geographical regions – the
Americas, Europe, Asia-Pacific, and Middle East & Africa (MEA).
o
Provides a list of key projects being run by both private users and
public institutions that involve the deployment of advanced farming.
Investments made by private users and public sector institutions are
included in the report.
o
Contains a critique of the various deployment models with a forecast
for each of the major technologies and applications currently in vogue,
based on stakeholder insights and key user trends (current and future)
of the market.
o Provides a SWOT analysis of the ‘Top Five’ vendors.
o
Carries a competitive benchmarking analysis to suggest optimal short
term and long term go-to-market strategy alternatives for vendors,
solution providers and their partners.
About Infoholic Research
Infoholic
Research is a global ICT and Electronics market research and consulting
organization providing strategic and high-level market intelligence in
emerging and niche technologies. Founded in 2014, we are headquartered
in India with an office in the U.S.A. and with consultants working
across the globe. Our market analysis powered by rigorous methodology
and quality metrics provides information and forecast across all the
emerging markets, technologies and business models. We aim at delivering
high quality results to our clients providing them with in-depth
industry insights to identify new business opportunities and nurture
their business strategies. For more information, please visit
www.infoholicresearch.com