Smart agriculture market to reach $38.86 billion by 2031
The global smart agriculture market is expected to grow from $17.74 billion in 2024 to $38.86 billion by 2031, with a compound annual growth rate (CAGR) of 10.3%, according to industry forecasts. This growth is driven by the increasing adoption of advanced technologies in farming, such as IoT sensors, AI, and precision farming tools. Verified Market Research did a research study.
Smart agriculture integrates innovative technologies to optimize crop production, soil management, and resource use. As global demand for food security rises, smart agriculture offers solutions to enhance yields and reduce environmental impact. Governments are also backing this shift with subsidies and support to encourage farmers to adopt these systems.
Key factors
Key factors driving the market include the need for higher agricultural productivity due to a growing population and the shift towards sustainable farming practices. IoT and AI technologies provide real-time data and analytics, helping farmers make informed decisions and improve efficiency.
However, challenges such as high initial costs, lack of digital literacy among farmers, and concerns over data privacy are limiting adoption, particularly in smaller farms and developing regions. Despite these hurdles, trends like the rise of precision agriculture, vertical farming, and AI-driven solutions are expected to shape the future of farming and contribute to the market’s growth trajectory.
As smart farming continues to evolve, it offers promising opportunities to address global food security and sustainability challenges.
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