Smart Harvest Market

Smart Harvest Market Outlook (2023 to 2033)

The global smart harvest market is valued at US$ 14 billion in 2023 and is projected to reach a size of US$ 40 billion by 2033, growing at an impressive CAGR of 11% from 2023 to 2033 (forecast period).

For decades, the global population has been steadily increasing, causing major shifts in people's lifestyles and demands. The agriculture industry is under increasing strain as the world's population grows. Technology is tremendously supporting farmers in addressing the food needs of the rising population. Farmers have seen significant profit and growing productivity since the adoption of technologically powered equipment and procedures in agriculture and its associated sectors.

Smart harvest is an advanced and innovative method of farming that reduces human labor, saves time, and improves farm productivity. Smart harvesting enables farmers to harvest more in less time and at a lower cost by utilizing sophisticated technologies. Smart harvest incorporates a variety of farming practices and advanced and innovative technologies. These methods are used in conjunction with standard farming practices to boost productivity and efficiency.

The incorporation of smart technologies in agriculture, such as the internet of things (IoT), machine learning (ML), sensors, and artificial intelligence (AI), is boosting market growth. Machine learning and artificial intelligence are widely being used in cultivation and harvesting by self-driving smart tractors, as well as for yield estimation and crop health monitoring.

Artificial intelligence significantly improves crop quality and pest infestation management, disease management through early detection of pests and illnesses, and harvest methods. Advanced technologies aid in limiting human involvement and lowering the cost of recruiting specialists and related staff.

Moreover, with the use of predictive analysis tools, research institutions are cooperating with firms like Microsoft to identify and evaluate data to acquire accurate insights for sowing and harvesting to achieve optimal production. The database, which is supported by IoT sensors, assists farmers in anticipating the ideal planting and harvesting times to boost production.

The use of acoustic crop sensors to monitor and analyze harvested areas during grain harvesting, fruit harvesting, and forage harvesting is considerably contributing to the implementation of more advancements in harvesting solutions, technologies, and processes.

Furthermore, government initiatives linked to agricultural technique modernization and the deployment of automated agricultural equipment to improve crop output are bolstering market growth. In addition, the growing trend of precision farming to increase agricultural productivity and eliminate potential environmental dangers is increasing the demand for improved harvesting systems. Smart harvesting involves precision farming methods such as more precise field observation, vehicle tracking, and inventory monitoring.

Increased investments by leading market players in technological improvements for the creation of more sophisticated harvesting robots are also pushing the growth of the worldwide market.

Due to such factors, Fact.MR, a market research and competitive intelligence provider, estimates that global demand for smart harvest technologies will grow substantially over the decade.

Report Attributes	Details
Smart Harvest Market Size in 2023	US$ 14 Billion
Projected Market Value (2033)	US$ 40 Billion
Global Market Growth Rate (2023 to 2033)	11% CAGR
Europe Market Growth Rate (2023 to 2033)	7.3% CAGR
Leading Crop Type	Fruits
Key Companies Profiled	Abundant Robotics, Inc Deere & Company Agrobot AVL Motion Energid Technologies Corporation Dogtooth Technologies Limited Harvest Croo Iron Ox

Why is Demand for Smart Harvest Systems Rising Rapidly?

“Lack of Skilled Labor to Work on Farms”

The scarcity of skilled labor for agricultural practices is the primary factor pushing farming communities to use effective harvesting methods. While there are over 2 million farms in the United States, farmers and ranchers account for only 1.3% of the labor force.

High-value crops like strawberries, apples, and sweet peppers are becoming less economically viable as the cost of skilled labor rises due to a decrease in the availability of workers. Farmers of such fruits are moving toward crop-sensing systems that allow for efficient plucking without inflicting physical damage on the fruit.

Country-wise Insights

Which Countries are Strengthening Europe's Position in the Global Market?

“United Kingdom & Germany to Lead European Market Growth”

Europe is currently holding a dominant position in the worldwide market for smart harvest. The demand for smart harvest technologies in Europe is predicted to increase at a CAGR of 7.3% over the next ten years. This is primarily due to the growing adoption of smart agricultural systems and increased European Commission funding in IoT-based smart farming.

The United Kingdom and Germany are boosting regional market growth. The presence of an advanced agriculture sector in these countries and the increasing deployment of harvesting robots and autonomous combine harvesters are significant factors driving the market in the United Kingdom and Germany. Moreover, the rising trend of precision farming in these countries to prevent environmental degradation and boost agricultural productivity is increasing the demand for smart harvesting systems.

Why is the United States a Leading Market for Smart Harvest Systems?

“Increasing Use of Robotic Harvesting Machines”

North America has seen considerable expansion in the smart farming business in recent years as a result of increased technological advancements and government encouragement for the use of smart equipment. Due to the numerous advantages of smart farming, farmers and growers in this region are using various technologies on their farms, including drones, GPS, robots, smart controllers, monitors, and others.

The United States is leading the regional market. The country's large-scale use of robotic harvesting machines is accelerating market growth. The average farm size in the United States is roughly 444 acres, making smart harvesting cost-effective. Furthermore, physical labor is expensive in the country due to a shrinking farmer population and stringent human rights and minimum wage legislation.

How is the Market for Smart Harvest Systems Faring in Japan & South Korea?

“Japan & South Korea to Play Major Role in Asia Pacific Market”

The Asia Pacific market is expanding at a considerable pace. Growing population, limited availability of arable land in heavily populated countries in the region, and a dearth of skilled workers are important reasons driving demand for automated harvesting machinery and solutions. Furthermore, increased government measures to modernize agricultural processes to enhance agricultural production are fueling regional market growth.

Each year, with new budgetary plans, governments aim to devote more funds to the agriculture sector, assisting small-scale farmers with loans and other incentives, allowing them to take advantage of advancing technological mechanisms. Together with government funds, increased investments from both the public and commercial sectors in the adoption of smart harvesting technologies and devices are also contributing to the regional market.

Japan and South Korea are playing a major role in Asia Pacific due to growing awareness of the benefits of these smart systems among farmers in these countries.

Category-wise Insights

Why are Fruits the Dominant Crop Type in Smart Harvest Systems?

“Growing Use of Robots for Harvesting Fruits”

Increased demand for fruits like oranges, apples, and strawberries is boosting the use of harvesting robots in farming applications. Harvesting robots are becoming more popular as labor costs rise in many affluent nations owing to a manpower shortage.

Moreover, increased investment by leading players in the development of improved harvesting robots capable of harvesting a wide range of fruits is estimated to propel the market growth during the study period.

Why is Indoor Farming Gaining Popularity across the World?

“Lack of Arable Land and Increasing Labor Costs”

The scarcity of arable land in emerging nations is raising the demand for indoor farming resulting in the increased deployment of smart harvest technologies and robotics. Furthermore, rising labor costs, particularly in many industrialized countries, are promoting the adoption of indoor farming techniques. Automated harvesting equipment and indoor farming eliminate labor costs and the need for traditional harvesting equipment.

Indoor farming necessitates a regulated atmosphere and mostly involves container and vertical farming. Indoor farming uses IoT sensors and high-resolution multi-spectral cameras to help growers determine when crops are ready to harvest, which greatly decreases crop waste.

Competitive Landscape

Key players in the smart harvest market are focusing on collaborations, investments, new developments, and acquisitions to obtain market share and expand their global reach. Furthermore, many start-ups are entering the global market.

• Fasal, an Indian start-up, concentrates on providing customers with real-time farming data. Fasal can help its customers make the best farming decisions by sensing the environment and crop conditions and using machine learning to convert the sensing data into helpful farming predictions.
• Agdhi, a start-up based in India, assists in the detection of seed defects, the diagnosis of crop diseases, and the formation of farmer networks. By linking connected devices to seeds and crops, Agdhi utilizes AI and computer vision technologies to identify faulty seeds or crops and relay the data back to mobile apps, allowing customers to better manage their farming operations.
• Dogtooth Technologies debuted its latest fleet of strawberry-harvesting robots in June 2022, primarily in Australia and the United Kingdom, to alleviate growers' labor concerns.
• Grover, an all-new autonomous mobile robot, was introduced by Iron Ox in November 2021. Grover is a hygienic, long-lasting, and highly competent autonomous mobile robot that helps save energy, water, and land.
• Fieldin absorbed Midnight Robotics in November 2021 to enhance its autonomous platforms. This acquisition sought to build a brand-new sensor-based platform with driving technologies to improve farm management on a daily basis.

Key Segments of Smart Harvest Industry Research

• By Crop Type :

  • Fruits
  • Vegetables

• By Component :

  • Harvesting Robots
  • Automation & Control Systems
  • Imaging Systems
  • Sensors
  • Software

• By Site of Operation :

  • Indoor
  • On-field
  • Greenhouse

• By Region :

  • North America
  • Latin America
  • Europe
  • Asia Pacific & China
  • Middle East & Africa