"Smart Strategies, Giving Speed to your Growth Trajectory"

Digital Farming Market Size, Share & COVID-19 Impact Analysis, By Infrastructure (Sensing & Monitoring, Communication Technology, Cloud and Data Processing, Telematics/Positioning, End-use Components), By Technology (AI/ML/NLP, IoT, Blockchain, Big Data & Analytics), By Application (Yield Monitoring and Mapping, Smart Crop Monitoring, Soil & Fertilizer Management, Smart Irrigation Monitoring System, Weather Forecasting, and Others), and Regional Forecast, 2022-2029

Region : Global | Format: PDF | Report ID: FBI106784



Play Audio Listen to Audio Version

The global digital farming market size was valued at USD 19.50 billion in 2021. The market is projected to grow from USD 21.49 billion in 2022 to USD 51.10 billion by 2029, exhibiting a CAGR of 13.2% during the forecast period. Based on our analysis, the global digital farming market exhibited an average growth of 8.6% in 2020 as compared to 2019.

Digital farming can be defined as the use of advanced technologies, such as Artificial Intelligence (AI), Big Data Analytics, and IoT, along with devices including drones, smart crop sensors, and automatic systems to monitor the utilization of crops, fertilizer, pesticides, and water to maximize yield for farmers.

In the market study, we have considered digital farming technology solutions offered by market players such as Deere & Company – Connect Mobile, receivers, touch-screen displays, Trimble’s display system, guidance, automation and control systems, spray system, automated steering systems, among others. Similarly, Agleader’s agriculture solutions and AgEagle Aerial Systems’ drones provide farming solutions and services to improve crop monitoring and overall farming activities.

The digital farming market forecast can be attributed to several factors such as rising demand for food due to the rapidly growing world population. Besides, labor shortage is creating demand for autonomous farming equipment across countries. Moreover, increasing water scarcity fuels the adoption of innovative irrigation system. All the above factors are likely to boost the market growth.


Increased Funding in Agricultural Technology to Fuel Demand for Digital Farming Solutions Post COVID-19

The COVID-19 pandemic drastically impacted the agriculture sector due to nationwide lockdown, travel restrictions, and import and export activities suspension due to restricted movement for migrants and rural laborers during the pandemic, resulting in labor shortage that hampered crop production across the world. The COVID-19 pandemic has declined agriculture equipment sales due to limited shipment and unfavorable effects of transactions. The disrupted supply chain affected the farm equipment industry's distribution channel and hampered the sales of smart farming equipment.

However, the COVID-19 pandemic pushed the sector toward digitalization. Adopting technologies, such as farm management systems, smartphone applications, and wireless devices, gained traction during the pandemic. For example,

  • Agrostar, an AgTech start-up, generated triple revenue through its app in 3 months during the COVID-19 pandemic.

  • DeHaat’s digital advisory services to farmers increased by 3X and overall demand by approximately 3.5X.

Major market players of are focusing on investment and partnerships with small and medium-sized businesses to implement advanced technology across the existing and new farming machinery, which is anticipated to propel the market.

  • In March 2021 - Augmenta, a Greece-based precision farming start-up, raised USD 8 million in a Series A funding round led by CNH Industrial N.V., Pymwymic, Marathon Venture Capital, and HCVC. The company focuses on utilizing funding to automate crop fertilization and reduce pollution. Further, the firm aims to expand the distribution channel for Harvest Aid (HA) and Plant Growth Regulator (PGR) solutions across North America, CIS, Australia, Europe, and South America.

According to the 2021 Finistere Ventures’s 2020 Agrifood Tech Investment Review report, crop protection and input management accelerated the agriculture biotech investment. Besides, prominent players, including CNH Industrial, Deere & Co., Trimble, and Cropin invest in smart agricultural products in 2020. Thus, the surge in investment in precision agriculture, indoor agriculture, crop protection & input management, and sensors & farm equipment is expected to fuel the market growth.

During the COVID-19 pandemic, the growth opportunities of the market was hampered for a short period. However, the market is anticipated to exhibit remarkable growth during the forecast period.


Request a Free sample to learn more about this report.

Rising Penetration of AI and IoT Technologies to Create Ample Opportunities for Market Growth

Artificial intelligence and machine learning are rapidly adopted across farming products or in-field techniques. Cognitive computing is gaining traction across the sector as it helps to learn, understand, and respond to different situations and increase efficiency. The solutions as a service, such as chatbots and other conversational platforms, help the farmers keep pace with the advanced technology. For example,

  • Microsoft worked with 175 farmers to provide advisory services for land, sowing, fertilizer, and others in Andhra Pradesh, India. This initiative resulted in an increase in yield per hectare by 30% on average compared to 2017.

Similarly, governments and private corporations are focusing on introducing new initiatives to transform the agriculture sector digitally. For instance,

  • In August 2020, the World Economic Forum’s Centre launched the Artificial Intelligence for Agriculture Innovation (AI4AI) initiative for the Fourth Industrial Revolution India, in partnership with the Government of Telangana, Ministry of Electronics and IT, the Ministry of Agriculture, and the National Institution for Transforming India (NITI) Aayog. The initiative aims to deploy emerging technologies across agriculture, improve financial and digital inclusivity among small farmers, and build sustainable farm income.

Similarly, IoT solutions help in efficiently utilizing natural resources such as electricity, water, and others. Different sensors, such as light, humidity, temperature, and others, used in the IoT devices help to monitor crop health and soil moisture. The automated farm management systems enable the management of farm conditions from anywhere. For instance,

  • In January 2021, Raven Industries launched the first driverless Agtechnology OMNIDRIVE and OMNI POWER for harvesting operations. It assists farmers in managing driverless vehicles, such as tractors, sprayers, and spreaders, by adjusting speeds, location activities, and setting field plans.


Growing Adoption of Remote Sensing, Communication, and Telematics Technologies to Drive Market Growth

Remote sensing technology enables farmers to classify crop species, identify crop conditions, map soil properties, monitor weeds and crop diseases, and monitor yield. Rapid advancements in sensing technologies, including GIS, GPS, sensors, and cameras are expected to fuel market growth.

Sensing technologies help farmers get meaningful information about weather, crop health, and yield. Similarly, the adoption of cloud and data analytics allows growers to access the information related to their farm from a remote location and assist in optimizing the production process at every step. The market players are investing in building cloud infrastructure to manage farm data. For instance,

  • In June 2022 - Cropin, a Bangalore-based agriculture technology firm, planned to launch an agriculture cloud (Agcloud). The Agcloud contains data about crops and farmers' locations. In addition, it includes applications that help to solve agriculture problems. The information of farmers is digitized and used to run agriculture programs to select crops.

  • In May 2022 - Trimble launched dual frequency, GNSS receiver module, the Trimble BD9250. Trimble RTX correction services are supported by the Trimble BD9250. The new module is developed to provide high-accuracy positioning for agriculture automatic agriculture applications.

Rapid technological innovations are expected to propel the demand for digital farming solutions in the coming years.


High Initial Cost of Autonomous Farm Equipment May Restricts Market Growth

Automated farm equipment, such as automated tractors, weeding robots, robot-assisted irrigation systems, tillers, and automated harvesters, cost much more than traditional farming equipment. Similarly, the associated maintenance cost with advanced vehicles restricts small farmers' adoption of smart digital farming solutions. The expenses of maintaining sensors, software, hardware, and cameras across these vehicles hamper the market growth. To earn higher profits and crop productivity, it is substantial for farmers to invest in automated and technology-enabled vehicles; however, making an increased initial investment is difficult for them. The high initial cost of smart farming solutions is a challenge for farmers in countries such as India, Brazil, and China.

Further, operational cost is high due to the complexity of technology integrated into smart farming solutions. Grid management, software technology, and remote sensing need frequent changes and updates with the changing weather conditions and nature of the crop. Drones integrated with software, hardware, imaging sensors, high-resolution cameras, and tools are expensive, which is anticipated to restrict the market growth.


By Infrastructure Analysis

Cloud and Data Processing to Create Dominance Owing to Increasing Investment to Develop Cloud Infrastructure

Based on infrastructure, the market is segmented into sensing & monitoring, communication technology, cloud and data processing, telematics/positioning, and end-use components.

The sensing & monitoring segment held the major market share in 2021 and is expected to grow at a significant growth rate. The cloud and data processing segment is expected to grow with the highest CAGR during the forecast period. Increased investment in building cloud infrastructure by significant market players and benefits offered by the cloud services surge the demand for precision farming solutions.

By Technology Analysis

IoT-based Applications Such as Drones, Robots, and Chatbots to Grow with Highest CAGR

Based on technology, the market is divided into artificial intelligence/machine learning/natural language processing, Internet of Things, blockchain, and big data & analytics.

The rapid advancement in agricultural equipment with AI, cloud, IoT, and analytics drives the market growth. Companies are building advanced AI-enabled solutions to detect weather conditions, soil analysis and health, crop health, weeds, and pests. For example, PEAT, a Germany-based technology company, developed an AI-based application, Plantix. This app identifies nutrient deficiencies, pests, and diseases in the soil, which assist farmers in applying the right fertilizers to enhance harvest.

Similarly, AI-based drones, robots, and applications are anticipated to drive the adoption of technologies across farming.

By Application Analysis

To know how our report can help streamline your business, Speak to Analyst

Increased Crop Failure and Lack of Natural Resources Create Demand for Digital Farming Solutions for Smart Crop Monitoring

By application, the market is classified into yield monitoring and mapping, smart crop monitoring, soil & fertilizer management, smart irrigation monitoring system, weather forecasting, and others (farm labor management, inventory management).

Increasing soil degradation, water shortage, and eising risk of crop failure create demand for yield monitoring, soil and fertilizer management, and smart irrigation systems.

Similarly, smart farming solutions help farmers understand the weather conditions to select the right crops according to the climate. Thus, the most drought-prone countries worldwide are expected to adopt weather forecasting solutions in the coming years. These factors are expected to boost the digital farming market growth.


North America Digital Farming Market Size, 2021 (USD Billion)

To get more information on the regional analysis of this market, Request a Free sample

Geographically, the market is divided into five key regions, North America, Europe, Asia Pacific, the Middle East & Africa, and South America. They are further categorized into countries.

North America is expected to hold a significant market share due to the presence of leading agricultural equipment manufacturers. Rising government initiatives and guidelines to improve the agriculture industry are anticipated to drive the market in North America during the forecast period.

  • In June 2022, the Canadian Agri-Food Automation and Intelligence Network (CAAIN) introduced a USD 5 million funding focused on boosting the growth of a national network of digital farms.

  • In February 2020, AGCO Corporation introduced the Momentum planter in the crop production market in North America. The product is developed to help tackle challenges in planting conditions. Moreover, it is integrated with SmartFrame technology, which is used for automated, vertical contour toolbar, and smart & configuration capabilities

Asia Pacific is expected to witness maximum growth during the forecast period. Digital farming is in the early stage in the Asia Pacific region, with increasing government support to develop digital agriculture and improve farm productivity across India and Japan. For example,

The government of India initiated multiple projects based on new technologies such as blockchain, cloud, drones, remote sensing and Geographic Information System (GIS), and robots under a digital mission for 2021–2025.

Europe is anticipated to showcase significant growth in the coming years. European countries, including Germany, the U.K., the Netherlands, and Spain are expected to fuel the development of digital farming.

The European Union initiated many programs to assist farmers in leveraging advanced technologies in their agricultural ventures. The Life, GAIA Sense project is the European Union funding program launched to invest in smart farming across Europe. The LIFE GAIA Sense program offers funding to farmers to install sensors on their farms. These sensors are used to manage various conditions, including pest monitoring, soil moisture, and plant health. Such active programs are expected to fuel market growth.

Like many countries across the world, the European Union member states are struggling with the risk of climate change to their growing population. Climate change decreased the farmland required to feed Europe’s increasing population.

To know how our report can help streamline your business, Speak to Analyst

The Middle East & Africa and South America are projected to develop at a faster pace in the forecast period. The market growth is attributed to growing smart penetration and internet connection across the region. The rising advancement to build a cloud data center and implement emerging technologies, such as Machine Learning (ML), Artificial Intelligence (AI), cloud, Big Data, and others, by governments and high tech-savvy companies in Brazil, Argentina, Israel, and GCC creates ample market opportunities.


Key Players Emphasize Building Advanced Farming Machinery to Strengthen their Positions

The prominent players in the market include Deere & Company, Trimble, AGCO Corporation, Topcon Positioning Systems, Kubota Corporation, CNH Industrial N.V. Agjunction Inc., and AgEagle Aerial Systems are focusing on business expansion through strategic partnership and collaboration with other organizations. These players are investing in developing automated farming equipment. The prominent players are also investing in research and development to maximize crop production and farm efficiency. For instance,

  • In February 2022 - Vodafone Business launched the MyFarmWeb service that helped speed up agriculture's digitization across Europe. The new service will provide farmers with an easy-to-use mobile farm management app connected to farming IoT sensors.

List of the Key Companies Profiled:


  • May 2022 - Kubota Corporation collaborated with a start-up, Parcel THRIVE, Inc. Through this collaboration, Kubota strengthened its union with Parcel. The partnership aims 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.

  • March 2022 - CNH Industrial strengthened its presence in India with the launch of the India Technology Center (ITC) in Gurugram. This new center aims to improve the company’s global research & development footprint focusing on digital solutions and product development.

  • September 2021 – Hexagon AB partnered with the Government of Karnataka to develop seven centers for innovation and development in smart agriculture. The center aims to improve the agriculture sector with agriculture equipment manufacturing & design, automation in agriculture, advanced drone technology for farming, smart precision farming, and soil & weather.

  • July 2021 - Deere & Company updated its information management product, JDLINK, with no additional cost. The change enables customers to activate the connectivity service, JDLink, and manage connected farming machines on the mobile app or web.

  • In March 2021 - CNH Industrial invested in a U.S.-based AgTech company Monarch Tractor. The partnership aims to enhance long-term sustainability and accomplish zero carbon emission. The collaboration with Monarch Tractor helped CNH's developments in automation, electrification, and other advanced technologies for off-road equipment.


An Infographic Representation of Digital Farming Market

To get information on various segments, share your queries with us

The study on the market includes prominent areas worldwide to get a better knowledge of the industry. Furthermore, the research provides insights into the most recent industry and market trends, as well as an analysis of technologies that are being adopted quickly worldwide. It also emphasizes some of the growth-stimulating restrictions and elements, allowing the reader to obtain a thorough understanding of the industry.




Study Period


Base Year


Estimated Year


Forecast Period


Historical Period



Value (USD Million)


By Infrastructure, Technology, Application, and Region

By Infrastructure

  • Sensing & Monitoring

    • Sensors

    • Cameras

  • Communication Technology

    • Short Range

    • Medium Range

    • Long Range

  • Cloud and Data Processing

  • Telematics/Positioning

    • GPS/GNSS

    • GIS

  • End-use Components

    • Hardware/Systems

    • Software/Apps

By Technology


  • IoT

  • Blockchain

  • Big Data & Analytics

By Application

  • Yield Monitoring and Mapping

  • Smart Crop Monitoring

  • Soil & Fertilizer Management

  • Smart Irrigation Monitoring System

  • Weather Forecasting

  • Others (Farm Labor Management, Inventory Management)

By Region

  • North America (By Infrastructure, By Technology, By Application, and By Country)

    • U.S. (By Application)

    • Canada (By Application)

    • Mexico (By Application)

  • Europe (By Infrastructure, By Technology, By Application, and By Country)

    • U.K. (By Application)

    • Germany (By Application)

    • France (By Application)

    • Italy (By Application)

    • Spain (By Application)

    • Benelux (By Application)

    • Nordics (By Application)

    • Rest of Europe

  • Asia Pacific (By Infrastructure, By Technology, By Application, and By Country)

    • China (By Application)

    • Japan (By Application)

    • India (By Application)

    • South Korea (By Application)

    • ASEAN (By Application)

    • Oceania (By Application)

    • Rest of Asia Pacific

  • Middle East & Africa (By Infrastructure, By Technology, By Application, and By Country)

    • Turkey (By Application)

    • Israel (By Application)

    • GCC (By Application)

    • South Africa (By Application)

    • North Africa (By Application)

    • Rest of Middle East & Africa

  • South America (By Infrastructure, By Technology, By Application, and By Country)

    • Brazil (By Application)

    • Argentina (By Application)

    • Rest of South America

Frequently Asked Questions

The market is projected to reach USD 51.10 billion by 2029.

In 2021, the market stood at USD 19.50 billion.

The market is projected to grow at a CAGR of 13.2% in the forecast period (2022-2029).

By infrastructure, the cloud and data processing segment is likely to lead the market.

Growing adoption of remote sensing, communication, and telematics technologies to drive the market growth

Deere & Company, Kubota Corporation, CNH Industrial N.V., Hexagon AB, Topcon Corporation, CLAAS, Trimble, AGCO Corporation, CNH Industrial N.V., and AgEagle Aerial Systems are the top players in the market.

North America is expected to hold the highest market share.

By application, the smart crop monitoring segment is expected to grow with the highest CAGR.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert
  • Aug, 2022
  • 2021
  • 2018-2020
  • 150


  • $4850
    Buy Now

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Client Testimonials

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.