Global Agriculture Industry Outlook 2029

Farmers initially adopted automation through the use of robotics in large-scale operations for tasks such as fruit picking, seeding, transplanting, planting, harvesting, spraying, and weeding. They are now leveraging advanced agricultural machinery, including autonomous and semi-autonomous tractors equipped with auto-steer technology, which enhances efficiency in harvesting and field navigation. Cutting-edge advancements include autonomous harvesting solutions and robots integrated with stereo cameras capable of identifying and selecting fresh produce based on ripeness and size.

Argentina, Brazil, and countries in North America and Europe have embraced sustainable agricultural practices, including crop protection, minimal or no-tillage farming, and precision techniques such as variable-rate spraying and fertilization. Additionally, the industry has seen a growing shift toward the use of biocontrols and bionutrients, emphasizing sustainability-focused approaches to maintaining soil health.

Precision agriculture in 2024 focuses on maximizing efficiency and sustainability through advanced technologies like IoT, GPS, AI, and drones for real-time monitoring, smart irrigation, and precise field mapping. Farmers utilize data-driven tools for variable rate seeding, fertilization, and pesticide application, enhancing yield and reducing environmental impact. Innovations include autonomous machinery, predictive analytics for weather and crop health, and soil sensors for nutrient management. Emphasis on sustainability is driving regenerative practices and the adoption of eco-friendly technologies, with governments and agritech companies providing support to scale these solutions globally.

Farmers are increasingly implementing regenerative agricultural practices, including crop rotation, minimal tillage, cover cropping, and rotational grazing. To support this shift, agricultural companies are offering advisory services, precision farming technologies, organic fertilizers, financial incentives, and partnerships for sourcing regenerative products. Companies throughout the agricultural value chain have pledged to support regenerative farming practices. For example, Nestlé aims to source 50% of its key ingredients through regenerative methods, while Cargill plans to implement these practices across 10 million acres in North America. PepsiCo has committed to adopting regenerative agriculture on 7 million acres, and General Mills is working to advance regenerative farming on 1 million acres of farmland by 2030. Governments are also playing a crucial role by providing subsidies, carbon credit programs, policy backing, educational initiatives, and research funding to encourage broader adoption of these sustainable practices across various farm types and regions.

North America and Europe are leading the way in the adoption of agricultural biologicals, with Argentina and Brazil also seeing significant uptake, particularly in soybean and sugarcane farming. The primary driver for this shift is the need to reduce greenhouse gas emissions linked to the production and use of chemical crop protection products, alongside stricter government regulations on chemical pesticides (e.g., EU regulations). However, the higher costs of products grown with these methods are a barrier to broader adoption in certain regions.

Automation: The agricultural sector is set to undergo a transformative shift with automation seamlessly integrated across the entire value chain, encompassing soil analysis, irrigation management, and monitoring of crop health. Fully autonomous systems powered by advanced AI and machine learning will enable smarter decision-making and enhance precision farming practices. Labor dependency will significantly decline as robots take over routine tasks such as weeding and harvesting. Automation is also expected to see rapid growth, becoming widely accessible and adopted across smallholder and mid-scale farms.

Sustainable Agriculture: Sustainable agriculture will experience greater involvement from developing regions, driven by advanced technologies such as AI-powered tools, digital twins, and blockchain, ensuring full transparency and traceability across supply chains. Smart water management systems and drought-resistant crops will become integral, enabling efficient resource use and climate resilience. The sector will shift predominantly toward bio-inputs, reducing dependence on synthetic alternatives. Additionally, comprehensive global training programs will emerge, supported by active collaboration between governments and NGOs, to equip farmers with the knowledge and skills needed for sustainable farming practices.

Precision Agriculture: By 2029, precision agriculture will be adopted across farms of all sizes, including large-scale operations. Advanced technologies like high-resolution imaging and hyperspectral sensors will be used for monitoring crop health, while predictive models for pest and disease management will optimize control efforts. With widespread 5G and satellite connectivity, real-time precision farming will be possible in all regions. Global standards will be established, simplifying the ability for companies to offer their products and services worldwide. Additionally, concerns about data privacy will be mitigated through the implementation of strong security protocols.

Regenerative Agriculture: Regenerative agriculture will play a pivotal role in revitalizing biodiversity worldwide as farmers embrace practices that foster healthy ecosystems, safeguard pollinators, and support habitat restoration. It will also substantially impact global carbon sequestration, with widespread implementation of techniques designed to combat climate change and rejuvenate degraded soils. The integration of advanced precision farming technologies, including AI, machine learning, and real-time data analytics, will further enhance the efficiency and effectiveness of regenerative practices, enabling more precise and sustainable farm management.

Agricultural Biologicals: By 2029, agricultural biologicals will be widely adopted, with substantial market penetration in developing regions, making them a standard solution across all major crop categories. Significant progress in precision fermentation and AI-driven biologicals will lead to the development of highly tailored solutions for specific crop requirements. As economies of scale reduce production costs, biologicals will become more affordable, offering financial benefits to farmers globally. Additionally, these advancements will play a pivotal role in fulfilling the growing consumer demand for environmentally responsible agricultural practices.

The MarketsandMarkets - Global Agriculture Industry Outlook 2029 report can help prepare consumers and market leaders for the year ahead. The report incorporates years of experience in the rapidly expanding agriculture sector, the opinions of industry experts, comprehensive evaluations by analysts, and extensive interviews with stakeholder groups worldwide..