The global agricultural robots market is estimated to be worth $5,994.27 million by 2022. The overall demand for agricultural robots is anticipated to increase at a CAGR of 17.7%, likely to result in revenue of $30,500.51 million by 2032.
Due to the growing population and labor shortages, which encourage automation, developing IoT and navigation technology diminishes automation costs.
Continuously emerging technologies are expected to make a significant impact across a variety of industries.
As the world’s population continues to grow, so does consumer demand for food. The agricultural industry is now gradually adopting technology solutions to boost agricultural productivity.
Agricultural robots are becoming more popular as a result of the need to produce agricultural items efficiently and sustainably. These robots speed up farming procedures while requiring minimal human involvement.
The global agricultural robots market is expected to be fueled by a high demand for modernized, sustainable farming practices that result in higher yields.
North America is a Booming Market for Agricultural Robots
A growing labour shortage and rising labour costs will drive sales in North America.
North America dominated the agricultural robots market. As a result of rising labour shortages, high labour costs in the region, and high per-capita disposable income, the agricultural robots market in the region is being pushed by the increased use of modern technologies.
Increasing government support for the deployment of agricultural robots and other agricultural technologies to enable smart farming are just a few of the factors driving the region’s growth. Agricultural robot market participants are heavily investing in the development of low-cost, high-productivity robots in order to increase yields and reduce farmer expenses.
The emergence of new products into the agricultural robots market that encounter farmer demands is going to propel agricultural robots market growth in North America.
Key Manufacturers’ Presence in the Area to Drive Growth in Europe’s Agricultural Robots
Due to the presence of prominent manufacturers in the region, the European agricultural robot market will grow rapidly. Europe is a pioneer in the use and production of self-driving tractors, unmanned aerial vehicles, and other agricultural technology.
Regional farm owners are investing in the most recent agro-technology advancements, such as robots and automated systems, in order to develop large-scale farming operations and increase agricultural productivity by agricultural robots while decreasing labour costs.Government subsidies to encourage the adoption of modern agricultural technology is likely to boost the agricultural robot market’s prospects.
Product Launches and Acquisitions the Primary Strategies Employed by the Key Players
The agricultural robot market is consolidated, with active players competing on product quality and promotion, as well as focusing on strategic moves to gain larger market shares. Companies are heavily investing in developing new and cost-effective products, as well as collaborating with and acquiring other companies. This factor is expected to boost its agricultural robots market share and R&D activities.
AgEagle Aerial Systems Inc., an industry-leading producer of full-stack drone, sensor, and software solutions for commercial and government/defense use, announced in July 2022 that, in accordance with certain waiver agreements dated July 22, 2022, the Company had made final holdback payments in full satisfaction of its payment obligations for the 2021 acquisitions of MicaSense, senseFly, SA, and senseFly, Inc.
Yamaha Motor Co., Ltd. is pleased to announce that it has increased its investment in TIER IV Inc. in order to develop and commercialise autonomous driving technology, including its automated transport solutions business for industrial grounds, in July 2022.
During a press conference at CES 2022 in January 2022, John Deere demonstrated a completely autonomous tractor that is ready for mass production. This equipment includes a Deere 8R tractor, a TruSet-enabled chisel plough, a GPS navigation system, and other cutting-edge technology. The self-driving tractor will be available to farmers later this year.
The rapidly evolving technologies are likely to have a remarkable influence across several industries, from packaging, food and beverage, and healthcare to agricultural and construction. Consumer demand for food is continuously skyrocketing as the population continues to explode. All this has resulted in the agricultural business gradually adopting technology solutions to increase agricultural productivity.
Agricultural robots are gaining popularity among farmers due to the necessity to produce agricultural items efficiently while maintaining sustainability. These robots are employed to speed up farming procedures while requiring minimum human participation. Agricultural robots are devised to execute several farming tasks such as field farming, dairy farming, seed sorting, soil management, and others. Over the forecast period, the global agricultural robots market is likely to be driven by a high demand for modernized and sustainable farming practices that create higher yields.
Agricultural Robots Demand Analysis (2017 to 2021) Vs Market Outlook (2022 to 2032)
The worldwide global agricultural robots market is forecasted to increase at an astronomical CAGR of 17.7% between 2022 and 2032, compared to a 16.4% CAGR recorded during 2017 to 2021. As the world’s population grows, so does the need for food. As a result, farmers are increasingly relying on new tools and technology, such as agricultural robots, to boost total production and generate more cash.
Moreover, governments all over the world are providing subsidies and launching campaigns to raise farmer understanding of automated technology. For example, the European Union has supported programmes such as GRAPE and MARS to replace labor-intensive jobs with advanced automated technology.
Furthermore, some established and start-up agricultural firms are investing in research and development to produce an innovative variety of agricultural robots.
What are the Factors Driving Global Agricultural Robots Market?
Growing population and Labor Shortages Encourage Automation to Boost the Market
The agricultural industry is enduring a lot of resistance from the world’s soaring population and the demand for increased productivity from current farmland. Altering demographics, as well as urbanization, are now influencing the agricultural market.
The agricultural market in the United States and the United Kingdom, among other nations, largely depends on migrant labor, and a similar tendency may be seen in other industrialized countries. According to World Bank data, agricultural employment has decreased by 15% globally during the previous decade. With an aging farmer population limiting the supply of physical labor, the labor shortage has become a global issue.
The younger generation is less inclined to pursue farming, and children from agricultural households frequently relocate to cities for better job opportunities. As a result, established farmers will have to work in the field for extended years.
Field Application of Real-Time Multimodal Robot Systems to Widen Growth Prospects
The employment of multimodal or heterogeneous platforms that integrate ground and airborne vehicles allows for targeted assistance, intelligence, and mission planning. Collaborative and cooperative behavior among multiple robots becomes helpful for large-scale agricultural and dairy operations because activities may be completed simultaneously, resulting in superior economies of scale. Robots and autonomous systems of many sorts may now be combined systematically.
UAVs or drones, for example, are a great platform for aerial observation, but due to their limited payload, operational duration, and durability, they are not suited for completing ground operations such as spraying. As a result, ground and aerial vehicles must work together to complete their missions. The ability to manage several robots from a single software platform would considerably improve large-scale agricultural automation.
Because multimodal robot systems may run swarms of robots on farms to execute several agricultural applications such as spraying and weeding at the same time, companies in the agricultural robots market are projected to utilize such systems widely throughout the forecast period. Investing in multimodal systems is likely to broaden the income streams of agricultural robot industry participants.
What are the Challenges of the Global Agricultural Robots Market?
Data Privacy and Regulation Concerns to Impede Market Growth
There are ethical concerns about data ownership, particularly with the advent of software applications for agricultural use. Similar to other technology fields, it is possible for a small number of corporations to control the bulk of client information. This data is frequently acquired by outside parties, such as banks, which provide loans depending on the farmer’s production. As a result, data security must be considered.
Other ethical elements of agricultural robots, such as liability frameworks and the re-use of robot-collected data for research or studies, must also be taken into account by governments across the world. The absence of technological standards additionally hinders system integration, since the bulk of equipment manufacturers employ proprietary interface protocols for communication.
In many circumstances, extra gateways are required for data translation and transmission among equipment from various manufacturers. An increasing number of agricultural software businesses are attempting to acquire data from farmers. In many situations, software firms sell or exploit data in ways that are detrimental to farmers.
Region-Wise Insights
Why is North America a Promising Market for Agricultural Robots Market in?
A growing Labor Scarcity and Rising Labor Expenses to Push Sales in North America
The agricultural robots market was dominated by North America, accumulating a revenue share of 38.9% in 2022. The area’s market is being pushed by increased use of modern technologies as a result of rising labor shortages, high labor costs in the region, and high per-capita disposable income.
Increasing government assistance for the deployment of agricultural robots like as unmanned aerial vehicles, autonomous tractors, and other agricultural technologies to enable smart farming are some of the reasons contributing to the region’s growth. Some market participants are substantially investing in the development of cost-effective and highly productive robots in order to boost yields and lower farmer expenses.
Future Acres, situated in Santa Monica, has debuted its first robot, Carry, in 2021, with the intention of tackling grape harvesting. Carry uses AI to convey hand-picked crops alongside humans. As a result, the introduction of new products into the market that meets the demands of farmers is driving the growth of the agricultural robots market in North America.
Start-Ups for Global Agricultural Robots Market
Fieldwork Robots builds Harvesting Robots: Fieldwork Robots, located in the United Kingdom, creates autonomous harvesting robots. The vertical harvesting robot developed by the firm features an adjustable arm that allows for a range of picking scenarios.
Farmers may use the robot to pick crops regardless of how tall or low they are. It also provides a horizontal harvesting robot that navigates crop rows in a variety of farming situations. The startup’s solutions save time and money by automating the harvesting process.
Tibot enables Poultry Management: Tibot, a French firm, creates robots solutions for poultry management. The startup’s plug-and-play technology, Spoutnic, helps farmers by lowering the floor egg rate and encouraging mating and fertility. Its six speeds adapt to the flock on the farm, and its manoeuvring angles are adjustable.
It travels independently, and its small size allows for optimal functionality. Spoutnic NAV robot encourages bird movement and aerates the litter, keeping infections at bay. The startup’s technologies help poultry farmers manage their animals more effectively.
FarmDroid offers Seeding Robots: FarmDroid, a Danish firm, creates seeding robots. FarmDroid is a completely automated robot that handles seeding as well as mechanical weed management. It helps farmers and producers to minimize the expenses of seeding and weeding crops while being CO2 neutral and environmentally friendly.
The FarmDroid FD20 is a solar-powered field robot that utilizes GPS signals to identify agricultural planting locations. It also provides mechanical weed control between and inside the rows.
Market Competition
Tractor LLC, Blue River Technology Inc., AutoProbe Technologies LLC, BouMatic Robots BV, Deere & Company, Harvest Automation Inc., Precision Hawk, Yamaha Motor Corporation, and GoPro, Inc. are among the key players in the agricultural robot market.
Recent key developments among players are:
In July 2022, AgEagle Aerial Systems Inc., an industry-leading provider of full-stack drone, sensor, and software solutions for commercial and government/defense use, announced that, in accordance with certain waiver agreements dated as of July 22, 2022, the Company has made final holdback payments in full satisfaction of its payment obligations for the 2021 acquisitions of MicaSense, senseFly, SA, and senseFly, Inc.
In July 2022, Yamaha Motor Co., Ltd. is pleased to announce that it has increased its investment in TIER IV Inc. in order to build autonomous driving technology and promote its commercialization, including its automated transport solutions business for industrial grounds.
In Jan 2022, John Deere presented a completely autonomous tractor that is ready for mass production during a press conference at CES 2022. Deere’s 8R tractor, TruSet-enabled chisel plough, GPS navigation system, and other modern technology are all included in this equipment. Farmers will be able to purchase the self-driving tractor later this year.
