Opportunities in the AgriTech Sector: Innovation for Sustainable Agriculture

✍️ Opinions

Varun Bhardwaj

Oct 2, 2024 — 5 min read

Opportunities in the AgriTech Sector

This article has been contributed by Megha Pavan, Founder and CEO, Arkaa Cluster Private Limited.

Food has been the basic necessity of life and Agriculture has been the central point of human civilization in one way or the other. But with the ever increasing population of the world and the pressure being put on natural resources latter is experiencing a kind of revolution. This change is anchored on AgriTech, which is a rising industry that strategically applies technology and innovation to solve some of the pressing issues in the agricultural field. Thus, relying on artificial intelligence, biotechnology, data analysis, and automation, AgriTech provides exceptional opportunities to increase the yields, sustainability, and revenues in agriculture.

The Evolution of AgriTech

Affiliated to agricultural technology or commonly known as AgriTech, is the broad term referring to innovations that seeks to optimize farming. Over the course of farming history it has been embracing new tools and methods starting from the plow to genetic modification of crops but today’s AgriTech is characterized by its focus on digitization and precision farming. In the recent past, farmers adapted to the modern technologies that include; sensors, drones, robotics, and machine learning in an attempt to enhance efficiency in the utilization of some of the resources like water, fertilizers, and pesticides. It is with this technological advancement that one expects to witness yet enhanced yields and food production plus minimized wastage hence food security considering the current changes prevalent in climatic conditions, depleting natural resource base and changing consumer trends all of which are likely to be occasioned by climate change.

Here Are Some Emerging Opportunities in the Agri Tech Sector

1) Precision Agriculture

Precision agriculture can be described as a process of closely tracking and controlling crops with the help of application of data. Soil conditions, moisture, and overall plant vigour is known using drones, satellite imaging, and remote sensoring. Using this information farmers can know when and where to irrigate, apply inputs, and spray pesticides and fertilizers; in this way, one reduces costs and gets good yields. Firms focusing on precision agriculture technologies are being paid large sums of money as the solutions offered by the industry will unlock agriculture production and reduce the impact on the environment.

2) Indoor and Vertical Farming

Due to the increase of the rate of urbanization and decrease of arable land, innovative methods like vertical and indoor farming have appeared to produce food in limited spaces. Compared to conventional farming, these systems require fewer water, less land, and generate less pesticide usage and crops can be grown all year round irrespective of weather conditions. Vertical farming, in particular, has been adopted in the cities since the available space to farm is restricted and more so the markets demand locally grown produce. Advancements in lighting technology, automation systems, and hydroponics are the main trends in the AgriTech sector, present possibilities for clients to change the approach to urban food production.

3) Millets: A Climate-Resilient Crop

Therefore, Millets are slowly proving to be a promising area within AgriTech because these crops do not require good soil, and optimum climate conditions to grow, and even yields better results in unfavourable conditions like dry lands. In comparison to other grains, these small-seeded grains are actually much drier than rice and wheat – a factor that makes them perfectly suitable to regions experiencing water stress. Millets are rich sources of dietary fiber, protein and various micronutrients which are very useful to meet the growing popularity of health foods in the world. Millet farming is one area that is hosting innovation by AgriTech companies that create solutions of increasing yield, processing and distribution. The emphasis on millets correlates with sustainability objectives and paints a picture of increased profitability for small farmers in regions of hardship common to many developing countries hence makes economic headlines for AgriTech, Food Security, Environmental stewardship.

4) Agri-Biotechnology

This compels authorities in charge of agriculture to search for new solutions from available technologies, and biotechnological developments in particular. Techniques like the CRISPR system help researchers to grow crops that can withstand difficult conditions including drought, diseases, pests among others. Moreover it has presented its bio-solutions that are under development at several biotech companies which includes pest control solutions in form of bio pesticides, fertilization in form of bio fertilizers and other soil improvers which helps in improving soil health in order to make it more suitable for agriculture. Technological advancement in agricultural sector specifically biotechnology helps to minimize the hazardous chemicals usage for crop production and increase yields and has vast prospects for new business models.

5) Agricultural Robotics and Automation

Long-standing and particularly in the developed countries, the shortage of workers for agricultural work is leading to the automation of the process. These include planting, weeding, and harvesting since agricultural robots have the capacity of doing any specific job with great precision. It can also drive machinery for watering the crops and spraying fertilizers and also help identify diseases through drones at an early stage hence cutting costs.

Conclusion

In conclusion, the use of this technology in farming will create the future of AgriTech. The AgriTech sector has great potential for development since it answers two major cognizances of humanity: food security and the preservation of the planet. As a driver of high technology in the areas of precision farming, biotechnology, indoor agriculture and automation, there are much significant prospects that the sector has to offer on the changing dynamics of the food production, processing and consumption. Business people, venture capitalists, and authorities are gradually awakening to the fact that AgriTech may become the key to the further development of agriculture that will be more efficient, environmentally friendly, and able to feed the growing population. As the future of the global food industry unfolds to uncertainty in the face of climate change, resource scarcity, changing trends of diets among others, the AgriTech sector will remain to be a critical player in shaping the future of the food economy.