Smart Harvest Market - A Global and Regional Analysis: Focus on Product, Application, Startup, Patent, Value Chain, and Country-Wise Analysis - Analysis and Forecast, 2023-2028

The global smart harvest market, valued at $4.17 billion in 2022, is expected to reach $7.74 billion by 2028, exhibiting a robust CAGR of 10.5% during the forecast period (2023-2028). This growth is primarily driven by the agricultural industry's growing emphasis on achieving higher crop yields while minimizing input costs. Smart harvest technologies offer precise and targeted approaches for production management, optimized harvesting application, and effective harvesting. By enabling farmers to make data-driven decisions, enhance operational efficiency, reduce resource wastage, and mitigate environmental impact, these technologies are poised to fuel the expansion of the global smart harvest market in the coming years.

Introduction to Smart Harvest

Smart harvest is a cutting-edge agricultural technology solution poised to revolutionize the farming industry. In a world where food production demands are escalating, this innovative approach offers substantial benefits to businesses across the agricultural spectrum. Smart harvest system leverages the power of advanced sensors, data analytics, and automation to optimize crop management and yield outcomes. It enables farmers to make informed decisions, precisely monitor crop health, and efficiently allocate resources such as water and fertilizer. This results in increased productivity and profitability while reducing waste and environmental impact.

With real-time data insights, smart harvest empowers businesses to adapt to changing weather conditions, market demands, and resource availability. Whether the customer is a small-scale operator or a large agricultural enterprise, this technology ensures sustainable and resilient crop production, ultimately securing the customer’s bottom line. Incorporating smart harvest into the customer’s agricultural business not only enhances operational efficiency but also positions the customer as a forward-thinking and environmentally responsible industry leader.

In 2022, the global smart harvest market reached a valuation of $4.17 billion. Over the forecast period, the market is projected to exhibit a CAGR of 10.5%, reaching a value of $7.74 billion by 2028. The market's expansion is influenced by a multitude of significant factors. These include the escalating worldwide need for food, the diminishing accessibility of water resources and arable land, the scarcity of the agricultural workforce, and the upward trend in agricultural input costs such as harvesting labor costs. As a cumulative effect, these factors are projected to drive the increased adoption of smart harvest technologies in the agricultural sector. These advanced technologies empower farmers to optimize resource allocation, enhance crop yield, and ultimately elevate overall agricultural productivity.

Market Segmentation

Segmentation 1: by Site of Operation

• On-Field
• Controlled Environment

On-Field Application to Dominate the Global Smart Harvest Market (by Application)

During the projected timeframe (2023-2028), on-field agriculture application is expected to occupy a significant market share in the global smart harvest market. Regions such as North America, the U.K., Europe, and China are anticipated to experience substantial growth in smart harvest, which can be attributed to the increasing adoption of precision agriculture practices, rising demand for sustainable farming solutions, and the need to optimize resource utilization for enhanced crop management and production.

Smart harvest in on-field agricultural crops involves the integration of advanced technologies and data-driven approaches to effectively manage and harvest on-field crops. This approach goes beyond traditional harvesting methods and focuses on targeted and precise crop management strategies. The key components of smart harvest are sensors and imaging technology for data collection, artificial intelligence (AI)-driven analytics for data processing, automation, robotics for efficient farming tasks, remote monitoring and control for real-time management, and integration with farm management software. These components work together to enable precision agriculture. Sensors gather data on crop and environmental conditions, which is analyzed by AI to inform decision-making.

Automation and robotics execute tasks with precision, reducing manual labor. Remote monitoring and control enable farmers to manage operations remotely, and integration with software provides a holistic view of farm activities, optimizing productivity and sustainability. Another aspect of smart harvest is the integration of remote sensing technologies, such as aerial robots/drones or satellite imagery. These technologies enable farmers to monitor and detect grown crops or ripened fruits across large areas of agricultural fields. By capturing high-resolution images and using advanced algorithms, farmers can identify grown crops and implement timely and targeted harvesting measures.

Segmentation 2: by Product

• Robotic Harvester
• Self-Propelled Smart Harvester
• Others

Self-Propelled Smart Harvester Segment to Dominate the Global Smart Harvest Market (by Product)

The self-propelled smart harvester segment is expected to hold a significant market share in the global smart harvest market during the forecast period (2023-2028). Regions such as North America, Asia-Pacific, Europe, and China are expected to experience notable CAGR in this segment. These regions, characterized by vast geographical areas and diverse crop production, face challenges in achieving efficient harvesting and yield enhancement.

The demand for self-propelled smart harvesters has been steadily rising due to several compelling reasons. Firstly, these advanced machines significantly enhance efficiency and productivity in agriculture. It operates autonomously or semi-autonomously, reducing the need for extensive manual labor, which is becoming increasingly scarce and expensive. This not only boosts overall output but also helps farmers to manage their resources more effectively. Furthermore, self-propelled smart harvesters incorporate cutting-edge technologies such as GPS, sensors, and AI-driven algorithms. These technologies enable precise harvesting, reducing crop damage and waste while maximizing yields. This level of precision is especially crucial in modern farming, where minimizing environmental impact and resource usage is a priority.

The demand for self-propelled smart harvesters also stems from the need for scalability and flexibility in agriculture. These machines can adapt to various crop types and field conditions, making them suitable for a wide range of farming operations. As global food demand continues to grow, these harvesters offer a sustainable and efficient solution to meet these challenges while minimizing labor costs and environmental impact. Consequently, the agriculture industry is increasingly embracing self-propelled smart harvesters as a cornerstone of modern, high-tech farming practices.

Segmentation 3: by Region

• North America - U.S., Canada, Mexico
• Europe - Germany, France, Italy, Spain, The Netherlands, Belgium, Switzerland, Ukraine, Greece, and Rest-of Europe
• China
• U.K.
• Asia-Pacific - Japan, India, Australia and New Zealand, South Korea, and Rest-of-Asia-Pacific
• South America - Brazil and Rest-of-South America
• Middle East and Africa - Israel, South Africa, Turkey, and Rest-of-Middle East and Africa

During the forecast period, Europe, North America, and Asia-Pacific are projected to witness substantial demand for the smart harvest market. The consolidation of small farms and the consequent expansion of average field sizes are expected to create favorable conditions for the adoption of smart harvest.

The utilization of smart harvest technologies is witnessing a notable expansion in Europe, North America, Asia-Pacific, and China. This growth can be attributed to heightened research and development activities, alongside experimental field studies conducted by institutions and government entities aimed at assessing the economic advantages associated with smart harvest technologies. In South America, China, and the U.K., the rapid proliferation of start-up ventures, coupled with the demand for efficient harvesting in food production to minimize costs, is driving the adoption of smart harvest solutions, consequently stimulating market growth.

Recent Developments in the Global Smart Harvest Market

• In February 2023, Antobot Ltd. partnered with Wilkin & Sons Ltd. This partnership aimed at developing affordable robotic solutions and strengthening robotics and automation for the fruit sector.
• In February 2023, MetoMotion signed an agreement with RedStar. This agreement aimed at providing Greenhouse Robotics Workers (GRoW) to RedStar.
• In February 2019, OCTINION launched a strawberry-picking robot named RUBION. RUBION navigates through the strawberries, detects the ripe ones, picks the fruits without bruising, and places the fruit in punnets.

Demand - Drivers, Challenges, and Opportunities

Market Demand Drivers: Rising Crop Losses Caused by Improper Harvesting Practices

The need to enhance crop yield has become critical due to factors such as the exponential growth of world population, shrinking agricultural lands, steady rise in demand for food, and depletion of finite natural resources. In addition, the increase in urban population, mainly in developing countries, along with the enhancement of quality of living owing to high-income levels, are further fuelling the demand for crop production. Limited availability of natural resources, including fresh water and arable land, coupled with slowing yield trends in several staple crops and labor shortage, has eventually prompted growers and companies in the farming sector to introduce innovative as well as advanced smart agriculture techniques in order to enhance farm profitability. This can be achieved through minimizing the losses in the harvesting process by the adoption of smart harvesting solutions.

However, one of the critical areas of farming operations is harvesting due to losses that occurred during improper harvesting practices. Farming cannot be efficient without the right timing as well as the efficiency of harvesting grain, fruit, and vegetables. However, rising levels of automation have been deployed with the combine harvesters for several years. Additionally, fruit and vegetable picking is of key interest to autonomous harvesting technology developers who seek to solve the complexities of identifying good quality as well as ripe fruit by rejecting rotten fruit and carefully handling the picked fruit without creating any damage. There is further an increasing need for automated harvesters or smart harvesters since the production of fresh fruits is rising globally, with about 900 million tons of fresh fruit produced per year. However, according to the UN Food and Agriculture Organization, about 30% of global food loss occurs during agricultural production, including harvest operations. This occurs when the farmers abandon the crops or fail to complete harvests due to the unavailability of skilled labor.

Market Challenges: Less Adoption of Smart Harvesters among Small-Scale Farmers

Autonomous harvesters or smart harvesters are some of the most innovative and advanced technologies utilized in the smart agriculture industry. Although robotic applications provide various benefits to farmers, there are some challenges faced by farmers in implementing the technology. In some developing countries, farmers have restrained themselves from adopting IT technologies in farming methods. The farmers keep utilizing conventional sources owing to less knowledge about the new technologies and heavy investments in adopting smart harvesting equipment.

Farmers in rural areas are not flexible in using IT technology in agriculture activities since they commonly do not use smartphones and other digital devices. If any new technology is introduced in the agriculture sector, its adoption rate depends on various factors such as knowledge, capability, and affordability. It is difficult for certain farmers across the globe to adopt these technologies as they might not have the capacity to operate autonomous robots or find it difficult to understand the functions of such robots.

The lack of knowledge among farmers about smart harvesting solutions presents a significant obstacle to their adoption. Many farmers, particularly in remote or less technologically advanced areas, may not be aware of the potential benefits these solutions offer. Limited access to information, unfamiliarity with digital technologies, and concerns about costs contribute to this knowledge gap. In order to address this issue, efforts are needed to provide accessible and simplified information through workshops, local language resources, and practical demonstrations. Government support, subsidies, and collaboration with agricultural experts can help bridge the gap, empowering farmers with the understanding needed to embrace these technologies and enhance their harvesting efficiency, yield, and overall profitability.

Market Opportunities: Integration of Smart Technologies in Agriculture Machineries or Equipment

The integration of smart technologies in harvesting machinery represents a transformative shift in modern agriculture. By combining sensors, artificial intelligence (AI), automation, and connectivity, these technologies enhance the efficiency and effectiveness of harvesting processes. Sensors embedded in harvesting equipment gather real-time data on crop maturity, soil conditions, and environmental factors. This data is then processed by AI algorithms, which analyze and interpret the information. AI-driven insights guide decision-making, such as determining the optimal timing for harvest or adjusting equipment settings based on real-time conditions.

Automation plays a pivotal role in smart harvesting machinery. AI-powered automation helps in cutting, picking, sorting, and even quality assessment. This reduces the need for manual labor and minimizes errors, leading to increased operational efficiency and consistency in crop handling. Connectivity is another critical aspect. Harvesting equipment can be equipped with GPS and communication technologies, allowing for precise navigation and remote monitoring. This enables farmers to track machinery performance, monitor progress, and receive alerts in case of issues. The key companies operating in the smart harvest market are also engaged in the research and development and integration of smart technologies, resulting in creating opportunities from 2023 to 2028.

• For instance, in November 2021, Iron Ox launched Grover, an all-new autonomous mobile robot. It was a durable, hygienic, and highly capable autonomous mobile robot that allowed Iron Ox to save water, land, and energy.
• In addition, in July 2021, AVL Motion released the AVL Compact S9000 in the market, which was an autonomous asparagus harvesting robot.
• Moreover, in 2022, Tevel Aerobotics Technologies launched flying autonomous robots (FAR) integrated with autonomous drone technology used in harvesting fruits. It was integrated with cameras and AI-based image recognition software.

Ultimately, the integration of smart technologies optimizes the entire harvesting process. It maximizes yield quality by selectively harvesting ripe crops, reduces waste by minimizing damage, and enhances resource efficiency by precisely allocating labor and equipment. This not only boosts overall productivity and profitability but also contributes to sustainable agriculture by minimizing resource usage and environmental impact.

How can this report add value to an organization?

Product/Innovation Strategy: The product segment helps the reader to understand the different technologies used for smart harvest and their potential globally. Moreover, the study gives the reader a detailed understanding of the different solutions provided by smart harvest providers for imaging, processing, and analyzing. Compared to conventional agricultural methods, smart harvest enables more exact targeting of harvest, crop mapping, and crop growth detection, allowing farmers to save money by maximizing the use of their inputs.

Growth/Marketing Strategy: The global smart harvest market has seen major development by key players operating in the market, such as business expansion, partnership, collaboration, and joint venture. The favored strategy for the companies has been partnership, collaboration, and joint venture activities to strengthen their position in the global smart harvest market.

Competitive Strategy: Key players in the global smart harvest market analyzed and profiled in the study involve smart harvest-based product manufacturers, including market segments covered by distinct product kinds, applications served, and regional presence, as well as the influence of important market tactics employed. Moreover, a detailed competitive benchmarking of the players operating in the global smart harvest market has been done to help the reader understand how players stack against each other, presenting a clear market landscape. Additionally, comprehensive competitive strategies such as partnerships, agreements, and collaborations will aid the reader in understanding the untapped revenue pockets in the market.

Primary Data Sources

The primary sources involve industry experts from the agricultural industry and various stakeholders such as agricultural equipment manufacturers and equipment suppliers, smart farming technology developers, precision agriculture solution providers, and software and platform providers, among others. Respondents such as CEOs, vice presidents, marketing directors, and technology and innovation directors have been interviewed to obtain and verify both qualitative and quantitative aspects of this research study.

The key data points taken from primary sources include:

• validation and triangulation of all the numbers and graphs
• validation of reports segmentation and key qualitative findings
• understanding the competitive landscape
• validation of the numbers of various markets for market type
• percentage split of individual markets for geographical analysis

Secondary Data Sources

This research study involves the usage of extensive secondary research, directories, company websites, and annual reports. It also makes use of databases, such as ITU, Hoovers, Bloomberg, Businessweek, and Factiva, to collect useful and effective information for an extensive, technical, market-oriented, and commercial study of the global market. In addition to the aforementioned data sources, the study has been undertaken with the help of other data sources and websites, such as the United States Department of Agriculture, International Society of Precision Agriculture, World Bank, World Economic Forum, and Food and Agriculture Organization.

Secondary research was done in order to obtain crucial information about the industry’s value chain, revenue models, the market’s monetary chain, the total pool of key players, and the current and potential use cases and applications.

The key data points taken from secondary research include:

• segmentations and percentage shares
• data for market value
• key industry trends of the top players of the market
• qualitative insights into various aspects of the market, key trends, and emerging areas of innovation
• quantitative data for mathematical and statistical calculations

Key Market Players and Competition Synopsis

The companies that are profiled have been selected based on inputs gathered from primary experts and analyzing company coverage, product portfolio, applications, and market penetration. The global smart harvest market is a highly competitive and emerging industry, with many players competing for market share. The market is characterized by the presence of agricultural companies, technology-based firms, and start-ups. To survive competition in the fast-growing artificial intelligence (AI) and Internet of Things (IoT) integrated agriculture market, companies have developed strong strategies in recent years. Among all the strategies, the most preferred one by key players has been product launches, partnerships, collaborations, joint ventures, and alliances with other firms.

For instance, in February 2023, MetoMotion launched the first AI robot for picking tomatoes. This strategy strengthened the product portfolio of the company. In addition, in June 2022, Dogtooth Technologies Limited announced the release of its latest fleet of strawberry-harvesting robots, mainly in the U.K. and Australia, to ease growers’ labor woes.

Other major players in the market include Harvest Automation, CNH Industrial N.V., Agrobot, Teradyne Inc., MetoMotion, Harvest CROO Robotics, Advanced Farm Technologies Inc., AMB Rousset, Deere & Company, which offers robots and self-propelled smart harvesters that harvest crops such as grain crops, fruits and vegetables, and others precisely with the help of smart sensors.

Key Companies Profiled:

• Agrobot
• Advanced Farms Technologies, Inc.
• Harvest Automation
• Dogtooth Technologies Limited
• Antobot Ltd.
• MetoMotion
• Mycionics Inc.
• Tortuga Agricultural Technologies, Inc.
• Harvest CROO Robotics LLC
• Tevel Aerobotics Technologies
• AMB Rousset
• CNH Industrial N.V.