AgriTech in Australia - statistics & facts
Agricultural technology (AgriTech or AgTech) has been gaining traction globally. It includes products, services, or applications that improve the processes and efficiency of farming practices, with digitalization at its core. AgTech can range from precision agriculture, which uses big data to assist in farm management decisions, to water management technology, which reduces water waste while irrigating crops. Australia’s agriculture industry has the potential to be transformed by this type of technology, and the economic impact could be particularly lucrative. The Australian government aims to transform agriculture into a 100-billion-dollar industry by 2030. The sector will face many challenges to reach that goal, and technology adoption could become increasingly important.
In comparison, Australia’s role in the AgTech market is still relatively minor. Challenges such as the lack of connectivity in rural areas and the absence of robust datasets have led to a low rate of technology adoption among producers. Australian farmers may not immediately reap the benefits, and combined with high investment costs, this could lead to hesitation to implement this technology into their farming practices. Regarding the industries in which venture capital deals were made in Australia, agriculture still trailed behind.
Technology is not the only factor that affects the agriculture industry; international trade agreements, biosecurity, supply chains, and weather events all play a significant role. However, technology adoption can lead to greater drought resilience, better decision-making, and increased productivity, profitability, and sustainability across Australia’s agriculture industry.
The global AgTech market
The leading regions for the AgTech market worldwide are North America and Europe. Precision agriculture and livestock monitoring and management were forecast to lead the smart farming market globally. The United States has invested heavily in the development of smart farming, with the number of investment deals in agriculture technology increasing over the past five years.In comparison, Australia’s role in the AgTech market is still relatively minor. Challenges such as the lack of connectivity in rural areas and the absence of robust datasets have led to a low rate of technology adoption among producers. Australian farmers may not immediately reap the benefits, and combined with high investment costs, this could lead to hesitation to implement this technology into their farming practices. Regarding the industries in which venture capital deals were made in Australia, agriculture still trailed behind.
Startups and beyond
Nevertheless, there are many innovative Australian startups in this field. AgriWebb provides farm management software, including data recording, cost management, and sustainability insights. Other startups that have gained investment attention recently include Stacked Farm (automated indoor vertical farming systems) and Loam Bio (developer of microbial seed coating for farming enterprises). The range of technology that can be integrated into farming practices, from robotics, to AI, to the blockchain, are driving industrial digital transformation in Australia.Technology is not the only factor that affects the agriculture industry; international trade agreements, biosecurity, supply chains, and weather events all play a significant role. However, technology adoption can lead to greater drought resilience, better decision-making, and increased productivity, profitability, and sustainability across Australia’s agriculture industry.
