Precision Agriculture Market Led by North America (38.5% Share): IoT, AI & Drives Integration Propels Growth to USD 18 Billion by 2031

Leander, Texas and Tokyo, Japan - Jan.05.2026
As per DataM Intelligence research report "Global Precision Agriculture Market reached USD 7 billion in 2022 and is projected to witness lucrative growth by reaching up to USD 18 billion by 2031. The market is expected to exhibit a CAGR of 12.5% from 2024 to 2031." Integration of advanced technologies like IoT, AI, drones, and data analytics for resource optimization, higher yields, cost reduction, and sustainable farming practices are fueling demand for precision agriculture solutions.

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Japan: Recent Industry Developments
✅ In September 2025, Japanese companies integrated AI and robotics into autonomous tractors, robotic rice transplanters, and AI-equipped harvesters, optimizing resource use such as water and fertilizers for enhanced efficiency.
✅ In August 2025, Over 60% of Japanese rice farms adopted precision agriculture technologies, with a strong emphasis on agricultural robots and AI to boost productivity and address labor shortages.
✅ In May 2025, Japan advanced robotics and automation in precision farming, including autonomous tractors and harvesters, supporting sustainability and urban farming expansion.

United States: Recent Industry Developments
✅ In September 2025, Deere & Company launched an upgraded John Deere Operations Center with AI capabilities to improve farm data management and operational efficiency.
✅ In September 2025, Sensei Farms acquired a 25-acre site in Lockhart, Texas, expanding controlled-environment precision agriculture for sustainable produce.
✅ In 2025, U.S. farmers accelerated adoption of precision tools like drones, AI analytics, and variable-rate technology for real-time crop monitoring and resource optimization.

Precision Agriculture Market: Drivers
The precision agriculture market is driven by the need for efficient resource management, higher crop yields, and reduced environmental impact through technologies like GIS, GNSS, remote sensing, and variable rate application. Rising labor costs, climate variability, and food security demands promote data-driven decisions and automation.
Another driver is government support for sustainable practices, integration of IoT and AI for real-time monitoring, and advancements in drones and sensors for precision irrigation, yield forecasting, and crop scouting. Growing adoption in large-scale farming and focus on minimizing input waste sustain market momentum.

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Precision Agriculture Market: Major Players
AGCO Corporation, Agribotix LLC, Agjunction Inc., CropMetrics LLC, Deere and Company, Farmers Edge Inc., Grownetics, Inc., Granular, Inc., Raven Industries, Trimble, Inc.

Segment Covered in the Precision Agriculture Market:
By Offering
The market is segmented into Software, Hardware, and Services.
By Application
Crop Scouting, Field Mapping, Precision Irrigation, Irrigation Management, Weather Tracking & Forecasting, Yield Monitoring, and Others.
By Technology
Remote Sensing, Guidance Systems, Variable Rate Technology (VRT).

Regional Analysis
North America - Leading Share (38.5%)
North America leads the precision agriculture market with high adoption of advanced farming technologies, strong presence of agri-tech companies, and widespread use of GPS, IoT, AI, and data analytics across large-scale farms in the U.S. and Canada.
Europe - Significant Share (26.4%)
Europe holds a significant share driven by strong government support for digital farming, sustainability-focused agricultural policies, and increasing adoption of precision tools across Germany, France, and the U.K.
Asia Pacific - Strong Share (21.7%)
Asia Pacific shows strong growth supported by rising food demand, expanding adoption of smart farming technologies, and government initiatives promoting precision agriculture in China, India, Japan, and Australia.
Latin America - Gradual Growth (7.8%)
Latin America experiences gradual growth with increasing adoption of precision technologies in large commercial farms, particularly for crops such as soybeans, corn, and sugarcane in Brazil and Argentina.
Middle East & Africa - Emerging Growth (5.6%)
The Middle East and Africa are emerging markets, driven by the need to optimize water usage, improve crop yields in arid regions, and rising investments in agri-technology solutions.

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