Smart Harvest Market Size, Share, Growth Report 2032

Smart Harvest Industry Prospective:

The global smart harvest market size was worth around USD 12.81 billion in 2022 and is predicted to grow to around USD 31.84 billion by 2030 with a compound annual growth rate (CAGR) of roughly 12.06% between 2023 and 2030.

Request Free Sample

Smart Harvest Market: Overview

Smart harvest is an indicator of the modernizing and technology-oriented agriculture industry. It is the adoption of modern techniques and systems to produce quality harvests. Agriculture has always been a primary driving factor for every economy but it comes with its set of challenges. These obstacles have increased in the last few decades due to changing weather conditions, increasing global demand for food, and several other factors. Incorporating modern technology can help farmers navigate through these issues and continue to produce good quality harvests with less physical hardships. The ultimate goal of smart farming or harvesting is to help farmers produce high-yield crops with minimal effort. This includes incorporating systems such as the Internet of Things (IoT), Artificial Intelligence (AI), and agricultural robotics. Some of the key components used in the smart harvest industry include sensors, global positioning system (GPS) trackers, radio-frequency identification (RFID), and harvesting robots. While the sector is relatively new and has a long journey to cover, during the forecast period, there may be steady demand for smart farming technology.

Key Insights:

• As per the analysis shared by our research analyst, the global smart harvest market is estimated to grow annually at a CAGR of around 12.06% over the forecast period (2023-2030)
• In terms of revenue, the global smart harvest market size was valued at around USD 12.81 billion in 2022 and is projected to reach USD 31.84 billion, by 2030.
• The smart harvest market is projected to grow at a significant rate due to the increasing government support to promote smart farming
• Based on technology segmentation, hardware was predicted to show maximum market share in the year 2022
• Based on crop type segmentation, fruits was the leading type in 2022
• On the basis of region, Europe was the leading revenue generator in 2022

Request Free Sample

Smart Harvest Market: Growth Drivers

Increasing government support to promote smart farming may drive market growth

The global smart harvest market is projected to grow owing to the increasing government support observed globally to promote the adoption of technologies that assist in smart farming. Agriculture is considered the backbone of several countries. As of 2020, as indicated by the Food and Agriculture Organization, the total monetary value of global agricultural exports was valued at USD 1492 billion. With the increasing population that stands at 8.1 billion as of 2023, the demand and consumption of food items has risen at an exponential rate. The trend is expected to continue in the coming years.

However, traditional farming techniques may fail to meet the surging global food demand propelling the development and adoption of novel systems that reduce manual work and assist in improving crop yield along with maintaining the quality of the final goods. This has led to regional governments promoting the use of smart systems.

For instance, in February 2023, the Jammu and Kashmir government in India approved the Sensor-based Smart Agriculture project worth INR 30.40 crore. The government plans to integrate farming with advanced technologies such as IoT and AI. In other news, in 2022, Pure Harvest Smart Farms, a United Arab Emirates (UAE)-based sustainable technology-enabled agribusiness, raised around USD 180.5 million during their most recent funding round. The company has envisioned the expansion of high-technology hybrid smart farms across Asia and the Gulf Cooperation Council (GCC).

Smart Harvest Market: Restraints

Lack of technical awareness among farmers to restrict market growth

The global smart harvest market revenue may not reach its true potential due to the lack of technical awareness and knowledge among farmers. In several underdeveloped or developing economies, even though agriculture is a major contributor to regional revenue, the farmers remain unaccustomed or isolated from modern technical systems. They are either not aware completely or show hesitancy toward adopting modern innovations. Although several educational programs have been conducted globally, the lack of exposure to novel systems still prevails in many countries with large populations of farmers.

Smart Harvest Market: Opportunities

Rising innovation in smart harvesting technologies to create further expansion opportunities

In recent times, tech giants such as Microsoft and others have entered the smart harvest industry with the introduction of new systems and tools. These machines or equipment are user-friendly and can help the agriculture sector manage the labor shortage observed in the agriculture sector. For instance, Microsoft is working toward developing a set of new agro-based digital tools that leverage the strengths of AI, cloud computing, and machine learning (ML) technologies. The company has developed Project FarmVibes which is a technology platform that is further strengthened by integration work and data analysis conducted by Bayer and Land O’ Lakes.

Changing agriculture trend toward indoor farming could lead to higher expansion possibilities

The most significant impact of changing weather conditions is observed on the quality and quantity of crop yields. Farmers have lost their entire produce due to unexpected environmental conditions including drought and flood. This has resulted in a rise in the number of farmers shifting toward indoor farming in a controlled environment. The smart harvest industry can witness higher growth as this trend continues such smart technologies are an essential part of indoor harvesting.

Smart Harvest Market: Challenges

High cost of modern tools to barriers against growth

One of the major challenges existing in the global smart harvest market is the high cost of technologies promoting smart harvest. Farmers with limited resources may not be able to afford these systems as they continue to use methods they are comfortable with. Additionally, the global market is further plagued with a lack of information technology (IT) infrastructure supporting the adoption of smart harvesting systems. Countries willing to adopt the novel techniques should have large budgets allocated to smart harvest projects.

Smart Harvest Market: Segmentation

The global smart harvest market is segmented based on technology, component, crop type, and region.

Based on technology, the global market is segmented into software and hardware. In 2022, the highest growth was observed in the hardware segment as there was a greater demand for devices that could help in data collection and monitoring for best results. The components help in analyzing soil conditions and crop quality. Moreover, currently, more understanding is available on the application of hardware components. The software segment, on the other hand, is gaining momentum as technology companies are working toward integrating advanced software systems such as AI with hardware devices for improved output. As per analysis, the average cost of a typical fruit-picking harvesting robot may range between USD 245,000 to USD 755,000 depending on the product features.

Based on component, the smart harvest industry is divided into RFID, sensors, GPS, harvesting robots, and others.

Based on crop type, the global smart harvest market is segmented into fruits and vegetables. The highest revenue was generated from the fruits segment in 2022 driven by the extensive use of several forms of smart harvesting techniques for different types of fruits such as grapes and apples. These machines help in analyzing if the fruit is ripe enough to be sold in the commercial market. Furthermore, the harvesting robots help to pick the fruits from the branches just like it is done manually. inaho Europe, a leading player in the market recently launched the next version of its existing tomato harvesting robot. The latest version is 8 times faster than the older one

Smart Harvest Market: Report Scope

Smart Harvest Market: Regional Analysis

Europe to reign over the highest market share during the forecast period

The global smart harvest market is expected to be dominated by Europe during the forecast period. This is mainly due to higher technology adoption among European farmers. The country has extensive farming land and the farmers are not only technically aware but also have sufficient funds to adopt modern systems for better farming produce. The changing environmental conditions have caused regional farmers and large agricultural companies to adopt modern systems to prevent crop wastage or degradation thus creating more room for smart harvest.

The European government heads have played a crucial role in regional market growth. There has been significant emphasis on improving the domestic agricultural sector. In a 2020 report by the European Commission, it was claimed that more than €200 million were allocated to research and development aiming at digital innovation in the agriculture sector. The funding was provided through the Horizon 2020 program. The project also witnessed an investment of €75 million toward the Robotics Digital Innovation Hub (DIH). North America is likely to register significant growth due to growing food consumption levels. Additionally, some of the largest tech giants in North America are explicitly working toward agriculture-oriented technologies.

Smart Harvest Market: Competitive Analysis

The global smart harvest market is led by players like:

• CNH Industrial
• John Deere
• Raven Industries
• Harvest Automation
• AGCO Corporation
• Blue River Technology
• Trimble Inc.
• Octinion
• Kubota Corporation
• Fendt
• Yamaha Motor Co. Ltd.
• AgJunction
• Ripe Robotics
• Hortau
• Agrobot

The global smart harvest market is segmented as follows:

By Technology

• Software
• Hardware

By Component

• RFID
• Sensors
• GPS
• Harvesting Robots
• Others

By Crop Type

• Fruits
• Vegetables

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa