Asia Pacific (APAC) Connected Agriculture Market

Asia Pacific (APAC) Connected Agriculture Market Size, Growth, Trends and Forecast:

The Asia Pacific (APAC) Connected Agriculture Market is expected to reach US$ 650 Million by the end of 2026 from US$ 120 Million in 2021. The CAGR is anticipated to be 27.4% between the years 2022 - 2027. The connected agriculture is in high demand during the forecast period because it consists of crucial applications such as smart irrigation systems, precision planting, proximity marketing, precision fertilizer application, condition, and health monitoring, intelligent water monitoring, comprising crop surveying, condition monitoring, navigational services, autonomous machinery, ecological monitoring, automated feed dispensing and smart logging. All these applications help the farmers to keep a real-life track of the farm. The mobile telecommunication, which links to various markets for finance, can even check the price of the commodity, weather, and agriculture technique. 

These devices will help produce maximum yield using less labor as there is an increasing demand for food due to the growing population, each year we have to provide 2% more compared to the previous year to keep up with the people. The government’s interest in this market is very high. This is enabling the farmers with instant microfinance to invest in the equipment.

Recent Developments:

Drones are being used for agriculture in the Asia Pacific region. Maharashtra, India signed a partnership with the World Economic Forum (WEF) Centre for exploring the use of drones in the agriculture industry.

The department of Agriculture (DA) in the Philippines is currently adapting to drones to change the way of planting the seeds, and the way fertilizers and pesticides are applied to the crop and new ways to monitor the crop and livestock.

In Japan, the ministry has set up a new goal to introduce drones to agriculture for about half the land that grows rice, wheat and soy across the country by 2022.

Drivers and Restraints of Asia Pacific (APAC) Connected Agriculture Market:

Drivers:

The primary driver for the Asia Pacific connected agriculture market is the increasing demand for food as the population is expanding at a rapid rate, and to produce sufficient food to feed the entire community, the farmers must be able to increase their production up to 75% by 2050. Connected agriculture helps reduce wastage. There is a tremendous amount of wastage produced by the application of agriculture inputs, and this wastage could cause pollution. For example, less than 50% of the fertilizers are used for a better crop, and the other 50% is usually contaminated by water.

Emerging countries are funding heavily in educating and informing their farmers about the advantages of connected agriculture. Even the social bodies are willingly coming forward to help educate the farmers.

Restraints:

The major limitation is the lack of awareness among the end-users. Farmers are lacking knowledge about the advantages of using connected agriculture solutions. Most of the framers are still willing to follow the traditional methods of farming and rejecting advanced technology, mainly because they are not aware of the new technology and do not know how to use them.

Asia Pacific (APAC) Connected Agriculture ​Market Segmentation:

Asia Pacific (APAC) Connected Agriculture Market - By Component:

The Asia Pacific connected agriculture market is segmented based on the compound into solutions, platforms and services. 

Asia Pacific (APAC) Connected Agriculture Market​​​​​​​ - By Platform:

The platform section is further segmented into device management, connectivity management and application enablement. 

Devices management is likely to dominate the regional market during the forecast period as it helps with tracking, managing, securing and sustaining the devices. These devices consist of different communication interfaces and operating systems as they are based on different communication systems. The configuration management feature in the devices management solution configures new machines according to the need with a particular function. The increasing demand for access and control over the connected devices is driving the connected agriculture market in this area. 

Asia Pacific (APAC) Connected Agriculture Market​​​​​​​ - By Services:

The Asia Pacific connected agriculture market by services is separated as Consulting Integration and Implementation, Support and Maintenance, Micro Leading Services, Micro Insurance Services, Mobile Payment Services, Mobile Information Services, Professional Services, and Management Services. 

Asia Pacific (APAC) Connected Agriculture Market​​​​​​​ - By Solution:

Smart Water solution in the APAC connected agriculture market by solution is expected to register the highest CAGR during the outlook period as this management system solution helps the farmer keep track of the amount of water required for a specific crop during a specified period, by measuring the moisture and heat conditions in the soil.

Asia Pacific (APAC) Connected Agriculture Market​​​​​​​ - By Application:

Farming production planning and management of the Asia Pacific connected agriculture market by application is estimated to lead the regional market during the projection period.

The into farming production planning and management application involve water irrigation management, breeding management, feed management, crop production monitoring and maintenance, crop scouting, animal tracking, and insurance management. These solutions are services that help the grower to keep a real-life track of all the crops and livestock in the farm, resulting in improving the productivity and quality of the yield.

Regional Analysis:

The connected agriculture market in the Asia Pacific has a significant growth rate due to the increasing demand for mobile technology with agriculture resolutions and services to increase the crop yield by improving the farm operations. India is foreseen to be the most promising area in the APAC to offer enormous growth potential for this market.

Key Players:

Trimble Navigation Limited (United States), IBM Corporation (United States), Microsoft Corporation (United States), AG Leader Technology (United States), Syspro Technologies (United States), Cisco Systems Inc. (United States), Epicor Software Corporation (United States),  AT&T (United States), Raven Industries Inc. (United States), AGCO Corporation (United States), Deere And Company (United States), Oracle (United States), Iteris (United States), And Decisive Farming (Canada).