Digital Farming Market Size, Share, Growth, Trends, and Global Industry Analysis: By Offering (Advisory Services, Precision Agriculture & Farm Management, Quality Management & Traceability, Digital Procurement, Agri e-commerce, and Financial Services), By Component (Hardware, Software, and Services), By Deployment Type (Cloud and On-premises), By Technology (AI/ ML/ NPL, IoT, Block Chain,  and Big data analysis ), By Application (Yield monitoring, Field mapping, Crop monitoring, Livestock monitoring, Real-time safety testing, Soil monitoring, and Precision farming), and Region Forecast 2019-2030.

Digital Farming Market size was valued at US$ 18,920.0 million in 2023, at a CAGR of 10.4% from 2024-2030. The increasing prevalence of precision farming and the incorporation of cutting-edge technologies like big data analytics, artificial intelligence (AI), and the Internet of Things (IoT) are driving the market. By facilitating data-driven decision-making, real-time monitoring, and resource optimization, these technologies raise crop output and efficiency. Government programs encouraging smart farming and the growing need for environmentally friendly agricultural methods to address environmental issues are further factors driving the market. Significant barriers,

however, include the high initial investment costs, the absence of internet infrastructure in remote regions, and data privacy issues. The expense and lack of expertise provide obstacles for small and medium-sized farms, especially in developing nations, when attempting to use these technologies. Developments in AI and robotics present opportunities and offer creative approaches to soil management, automation, and pest control. Technology companies and agriculture partnerships are also encouraging innovations. The increasing use of drones for aerial photography, satellite-based tracking, and blockchain technology for supply chain transparency are some of the major developments.

Key Players

The digital farming market size is inclusive of several companies such as Cisco Systems, Inc. (US), IBM Corporation (US), Accenture (Ireland), Microsoft (US), Deere & Company (US), AKVA Group (Norway), Hexagon AB (Sweden), Bayer AG (Germany), AGCO Corporation (US), CNH Industrial N.V. (UK), Topcon Corporation (Japan), KUBOTA Corporation (Japan), CLAAS KGaAmbH (Germany), DeLaval (Sweden), DJI (China), Epicor Software Corporation (US), Vodafone Group PLC (UK), Eurofins Scientific (France), TELUS (Canada), Small Robot Company (England), Gamaya (Switzerland), Precision Hawk (US), Agricultural Consulting Services (US), and Agreena (Denmark)

Facts and Figures  

• The Canadian Agri-Food Automation and Intelligence Network (CAAIN) introduced US$ 5 million in funding focused on boosting the growth of a national network of digital farms.
• Syngenta Group and CNH Industrial (CNH) announced the integration of Syngenta's Cropwise digital platform and CNH's agricultural brands. Integrating Cropwise and CNH agricultural equipment and connecting various precision farming systems creates a reliable, connected data source that simplifies the decision-making process for farmers and advisors and generates better insights for the business.

Key Developments

•  In March 2023, Tavant partnered with Bayer, a global agriculture solution provider, to develop new AgriTech solutions to improve the production of crops and reduce environmental impact by integrating Internet of Things (LoT) analytics, Artificial Intelligence (Al), and Machine Learning (ML) technologies.
• In May 2022, Kubota Corporation collaborated with a start-up, Parcel THRIVE, Inc. The partnership aimed to speed up the growth of a platform to bring optimization and efficiency to the production value chain for vegetables, fruits, nuts, and other crops.
• In March 2022, CNH Industrial strengthened its presence in India with the launch of the India Technology Center (ITC) in Gurugram. The new center aimed to improve the company's global research & development footprint that focused on digital solutions and product development.

Digital Farming Market Segmentation

By Offering: Precision Agriculture & Farm Management is the leading category in the digital farming industry because of its substantial influence on increasing farm production and efficiency. With the use of data-driven insights, farmers can optimize crop yields, soil management, water consumption, and other crucial farm activities in this area. Precision field monitoring is made possible by the increasing use of technology like GPS, sensors, and Internet of Things devices, which also lower waste and increase sustainability. Predictive analytics is another benefit of integrating AI and machine learning with farm management systems, which facilitates improved decision-making. Precision agricultural instruments are in high demand as farmers want to increase yield while reducing resource consumption; as a result, this product is the most influential on the market.

By Component: The hardware component holds a prominent position in the market since it is essential to implementing precision agriculture. Hardware for gathering real-time data on soil conditions, weather, crop health, and other topics includes GPS units, sensors, drones, and other Internet of Things devices. With the use of these tools, farmers can more precisely monitor and manage their fields, increasing output and efficiency. The need for hardware solutions is being driven by the growing use of smart equipment and automated machinery that integrates with software platforms. Furthering hardware's rise to prominence as the primary component in the digital farming industry are developments in sensor technology and the expanding trend of smart farming.

By Deployment: In addition to its affordability, scalability, and flexibility, cloud-based deployment is the most popular approach in the digital farming sector. With cloud-based solutions, farmers and agricultural businesses may use any internet-connected device to access data and remotely control farm operations. Real-time data analysis is made possible by this deployment type, providing insightful information that helps with improved decision-making in areas like crop weather prediction and irrigation schedule optimization. Furthermore, cloud technologies are perfect for precision farming because they can manage enormous volumes of data from several sources. Cloud-based solutions are the go-to option in the digital farming sector because of their easier interaction with current systems and reduced upfront expenditures.

By Technology: Internet of Things technology is the industry leader in digital farming because it makes agricultural operations easier to monitor and regulate in real time. Large-scale data collection from the field is made possible by Internet of Things devices like sensors and drones, which provide farmers with real-time access to information about crop health, soil moisture, and environmental variables. More accurate agricultural techniques are made possible by this data-driven approach, which raises yields and decreases resource waste. IoT technologies also make it easier to automate processes like fertilization and irrigation, which increases operational effectiveness. IoT is becoming an indispensable part of contemporary agricultural technology, fueled in part by its comparatively low implementation costs and the increasing desire for sustainable farming methods.

By Application: In the market, Precision farming is the dominant application. This approach allows farmers to optimize inputs like water, fertilizers, and pesticides based on specific data from each section of their fields, ensuring more efficient resource use and reducing environmental impact. Precision agriculture relies on advanced technologies such as GPS, IoT sensors, and data analytics, providing real-time information on crop health, soil conditions, and weather patterns. By enabling more targeted interventions, it helps farmers increase crop yields and profitability while minimizing costs. Its ability to improve sustainability and productivity, particularly for large-scale farms, has made it the leading application in the market.