Agriculture 4.0 Global Market Report 2025

The agriculture 4 market size has grown rapidly in recent years. It will grow from $81.2 billion in 2024 to $92.47 billion in 2025 at a compound annual growth rate (CAGR) of 13.9%. The growth in the historic period can be attributed to growth in the use of IoT devices, increasing use of autonomous vehicles, growth in farm-to-table supply chains, increasing investment in agricultural biotechnology, and growth in vertical farming.

The agriculture 4 market size is expected to see rapid growth in the next few years. It will grow to $156.68 billion in 2029 at a compound annual growth rate (CAGR) of 14.1%. The growth in the forecast period can be attributed to increasing focus on precision farming, rising demand for sustainable farming practices, growing importance of connectivity and 5G technology, rising popularity of autonomous farming equipment, and rising investments in farm management software. Major trends in the forecast period include technological advancements, drone technology, autonomous tractors, machine learning, and big data analytics.

The forecast of 14.1% growth over the next five years reflects a modest reduction of 0.3% from the previous estimate for this market. This reduction is primarily due to the impact of tariffs between the US and other countries. This is set to directly impact the US through disrupted access to precision agriculture equipment from Taiwan and artificial intelligence (AI) analytics platforms from Israel, which could lead to delayed technology adoption and widening productivity gaps. The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.

The increasing demand for food is expected to drive the growth of the Agriculture 4 market. Food demand refers to the quantity of food that consumers are willing and able to purchase at various price levels over a specific period. Factors such as population growth, urbanization, rising income levels, changing dietary preferences, and economic development contribute to the growing need for food. Agriculture 4 enhances food production by integrating advanced technologies such as artificial intelligence, IoT, robotics, and data analytics. These innovations optimize farming practices, improve crop monitoring and yield forecasting, reduce environmental impact, and enable efficient resource utilization, ultimately boosting productivity and sustainability in agriculture. For instance, in October 2024, the United States Department of Agriculture, a US-based government organization, estimated that in 83 low- and middle-income countries, food demand is projected to rise from 800.2 million metric tons in 2024 to 1.05 billion metric tons by 2034. Consequently, the increasing demand for food is expected to propel the Agriculture 4 market.

Leading companies in the Agriculture 4 market are focusing on developing innovative technologies, such as smart spray solutions, to improve operational efficiency. Smart spray technology is an AI-driven system that enables targeted herbicide application, spraying only where weeds are present, thereby enhancing efficiency and minimizing environmental impact. For instance, in April 2024, Stara, a Brazil-based agricultural machinery company, introduced several advanced products, including the Bruttus 18000, Hércules 10000 and 24000 Inox, Hércules 24000 C, and Eco Spray. The Bruttus 18000 is an advanced gravity-fed spreader designed for efficiency and agility, with a capacity of up to 18,000 kg, making it ideal for various crops, particularly sugarcane. The Hércules 10000 and 24000 Inox are high-precision spreaders that ensure uniform fertilizer and seed application, optimizing resource use. The Hércules 24000 C is built for large-scale operations, offering exceptional spreading precision. The Eco Spray utilizes AI technology for spot spraying, applying herbicides only where needed, significantly reducing chemical usage. These products reflect Stara’s commitment to advancing precision agriculture and smart farming solutions.

In July 2023, John Deere, a US-based agricultural equipment company, acquired Smart Apply Inc. for an undisclosed amount. This acquisition aims to enhance precision spraying technology, reduce chemical use, and optimize crop yields for high-value growers, promoting sustainability and efficiency in agriculture. Smart Apply Inc. is a US-based agricultural technology company specializing in precision spraying equipment.

Agriculture 4 refers to the integration of advanced technologies such as IoT, AI, robotics, and big data into agricultural practices to improve productivity, sustainability, and resource efficiency. It is designed to optimize crop management, automate tasks, and provide real-time data for informed decision-making.

The key components of Agriculture 4 include hardware, software, and services. Software in Agriculture 4 consists of digital platforms and applications that analyze and manage data collected from farm equipment and sensors. The different crop types include cereals and grains, oilseeds and pulses, and other crop varieties. Farms are categorized based on size into small farms, medium-sized farms, and large farms, utilizing technologies such as the Internet of Things (IoT) and connected devices, artificial intelligence and machine learning, robotics and automation, big data analytics, blockchain, drones and unmanned aerial vehicles, and cloud computing. These technologies are applied in various areas, including farming, forestry, livestock monitoring, fish farm monitoring, smart greenhouses, and other agricultural applications.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and emerging trade disputes in spring 2025 are having a profound impact on the agriculture sector by driving up the costs of essential inputs such as seeds, fertilizers, and machinery components sourced from international markets. Higher duties on imported agrochemicals and farm equipment have substantially increased operational expenses for farmers. At the same time, retaliatory tariffs from key global buyers have reduced demand for major U.S. agricultural exports, including corn, wheat, and dairy, straining farm incomes. In response, many producers are exploring crop diversification, investing in precision agriculture to optimize resource use, and calling for government support through subsidies and improved trade access.

The agriculture 4 market research report is one of a series of new reports that provides agriculture 4 market statistics, including agriculture 4 industry global market size, regional shares, competitors with an agriculture 4 market share, detailed agriculture 4 market segments, market trends and opportunities, and any further data you may need to thrive in the agriculture 4 industry. This agriculture 4 market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Major players in the agriculture 4 market are BASF SE, International Business Machines Corporation, Kubota Corporation, Mahindra & Mahindra Limited, AGCO Corporation, Deere & Company, Syngenta Group Co. Ltd., SZ DJI Technology Co. Ltd. (DJI Agriculture), Trimble Inc., Raven Industries Inc., Blue River Technology Inc., Sentera Inc., DICKEY-john Corporation, Grégoire SA, Ecorobotix SA, Iron Ox Inc., Robotics Plus Ltd, CNH Industrial NV, Stara SA Indústria de Implementos Agrícolas, Ekobot AB, Indigo Agriculture Inc., Naïo Technologies SAS, Jacto SA.

North America was the largest region in the agriculture 4 market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in agriculture 4 report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the agriculture 4 market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The agriculture 4 market consists of revenues earned by entities through services such as precision farming, aerial imaging, data analytics, and sustainable farming solutions. The market value includes the value of related goods sold by the service provider or included within the service offering. The agriculture 4 market includes sales of drones, smart irrigation systems, and autonomous tractors. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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