This report examines digital transformation (DX) in the Agriculture sector, enabled by the key technology groups that are the focus of Transforma Insights’ research. It focuses on the use of DX from harvest to storage.
Digital technologies hold tremendous potential to transform the Agriculture sector by improving the efficiency of farming methods, resulting in better utilisation of resources and energy. The core driver behind rising adoption of digital technologies in this sector is the need for sustainable and consistent production, helping the industry overcome the challenge of high food demand with limited resources (especially water and land), climate change and increasing cost of labour and raw materials.
Digital transformation in Agriculture incorporates the use of granular monitoring techniques (with sensors), drones, agricultural vehicles and robots to optimise the use of resources (seed, fertilizers, water) and quickly react to threats (weeds, pests, fungi). Most of the DX solutions discussed in this document benefit businesses by improving yields, enhancing the quality of crops, improving farm productivity and reducing production costs (including labour costs). Furthermore, they significantly contribute towards sustainability goals by reducing water usage, food wastage, preventing groundwater contamination, and reducing the amount of fuel used in trips taken by farmers for monitoring fields.
Overall, we have identified nine key domains of change in the Agriculture sector that are enabled by digital transformation. These are discussed in more detail in this document and comprise:
Collectively, the activities listed above will bring significant changes to the Agriculture industry.
This report examines digital transformation in the Agriculture sector as enabled by the key technology groups that are the focus of Transforma Insights’ research. These technology groups comprise:
Accordingly, the aim of this document is not to chart the future direction of the agriculture industry, but to highlight key areas of change enabled by new and emerging technologies. The bulk of this report is concerned with discussion of these key areas of change, including an overview of each area, together with analysis of the business impact, and the complexity, timings and risk associated with each area. We also identify key enabling technologies for each area (from the list above) and provide summary details of illustrative case studies that are available in Transforma Insights Best Practice & Vendor Selection database.
The purpose of the document is two-fold. Firstly, from the perspective of a grower, farming-cooperative or a consumer products company involved in the agriculture industry, the document highlights new and emerging changes that can be expected to impact the industry in the next few years. Secondly, from the perspective of potential vendors for the agriculture industry, it highlights key emerging areas of opportunity to sell new products, services, and solutions to the industry. Our analysis of the key technologies that enable each of the identified areas of digital transformation will help vendors of horizontal (technology-specific) capabilities to identify the contexts in which they may secure new business from the Agriculture sector.
Specific exclusions from the scope of this report include:
The analysis contained in this report draws significantly on Transforma Insights’ Best Practice & Vendor Selection Database and analysis of the Agriculture sector Case Studies that are part of the database included in this report.
