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Agriculture Technology startups

Numbers in Agriculture Technology will blow your mind

Introduction:

Agriculture is considered to be one of the primary occupations. All the countries are looking for a way to improve in the field of agriculture. People are looking forward to investing in new technologies to improve the way of farming. And it’s not just farming, it also includes horticulture, aquaculture to yield the maximum growth. By implementing these technologies it might help the people in increasing efficiency and profitability. As agriculture is very important in all human life, it is very advisable to spend money and time to find ways to improvise. In this article, let’s look at the trendy investments in AgTech, important investors and much more.

Agriculture Technology:

Agri Tech simply stands for agricultural technology implemented in agriculture, horticulture and aquaculture to improve the quality of production, efficiency. In turn, give you a huge profit. It plays a vital role in global economics. These technologies could be both hardware and software. It is said to be a growing economic sector that will change the whole of agriculture into something that will increase the production rate and reduce the other issues regarding agriculture. People are looking for a way to evolve more. And the best way to start this evolution is in agriculture. Global agriculture is changing for better and greater things. AgTech is also involved in finding solutions to all forms of food production.

Trendy investments in Agriculture Technology :

AgTech is continuing to play a major role in global economics. In 2020, around $5.1 billion has been invested in this field. And just around half of 2021, $4.9 billion has been invested. If this continues it is said that the investments made in 2021 will be a considerable amount more than the previous year. And it will continue to grow at a much rapid pace.

Among all these investments and deals, 60% is in the early stage of the startups, 24% on the emerging startups and 16% on the advanced stage startups.

Value chains and logistics:

There are around 83 startups dedicated to value chains and logistics. Recently robotic harvesting has intrigued investors but food waste remains to be the top investing sector here. Some of the top deals in value chains and logistics are a Chinese startup called Dingding Macai which is a fresh Vegetable e-commerce platform and the deal is made for $330 million. Misfits markets, which is a subscription box of fresh organic produce made a deal for $200 million. Bayotech, an energy solution for the production of hydrogen and fertilizers, made a deal for $157 million.

Food, Feed and Fuel:

There are around 57 startups based on food, fuel and feed. Many startups were funded this year in this category. In this field animal product alternatives, hydroponic and vertical farming are continuing to dominate. Some of the deals and startups funded this year are Bowery Farming which is a vertical farming company and the deal is made for $300 million. Modern meadow, this company makes animal-free leather, made a deal of $130 million.

Animal health:

Some startups mainly focus on the health of animals and for their welfare. There are nearly 21 startups that mainly focus on the health and well-being of animals. Compared to other investments, investments made in animal health are less. Some of the deals made this year are Agriwebb, which is an application that helps the farmers in tracking livestock production and compliance, which made a deal for $23 million. Halter and Vence had also made some deals this year.

Countries investing in AgTech:

There are so many countries that are investing in agricultural and food technologies to develop strong economic growth. The United States continues to dominate by making 44% of the AgTech deals and investments. It is said that in 2019, the US has made over 653 deals with $8.7 billion. This makes them lead the AgTech sector.

South Korea, Columbia, UK and Spain were among the countries that have seen an increase in the investment of AgTech. China and India continue to lead after the US by investing a lot in AgTech. China has made 181 deals and invested around $3.2 billion. India invested around $1.3 billion with 152 deals in 2019.

Top trends shaping the AgTech:

Biotech:

Biotech could include animal biotech and plant biotech. The population is growing at a faster rate. Thus, it means the consumption of food rate is also increasing which also includes edible plants and meat. Plant biotech means finding ways to increase the growth of the plants using proper fertilizers, microorganisms and some others. Animal biotech simply means to find a way to improve animal health, welfare, feed, breeding. This way the animals will stay healthy.

As the demand for food production is increasing the startup companies are finding alternative ways to increase and optimise food production.

Automation and Robotics:

The pandemic has proved so many vulnerabilities in the agricultural system. There are so many where human labour couldn’t work such as in packaging. Through automation and robotics, there is now a chance to improve productivity. This will also save a lot of time. Many startups are continuing to build machinery, drones to watch over the farm, software to look for updates and many more. These are helping the small number of humans to cover a vast area. This pandemic has started to prove the importance of robotics and automation.

Indoor farming:

Startups are looking for a new way to develop and grow insects and plants in a new environment and alternative techniques such as vertical farming, aquaponics are used. This has increased the production of food and the shortage of labour could be easily solved. This pandemic, indoor farming has helped a lot and produced a lot.

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  • Conclusion:

    Farming is one of the most important jobs in the world. Technologies are being implemented to develop a better strategy to produce a lot with minimum input. The shortage of labour is another problem that could be easily solved with automation, robotics and indoor farming. AgTech is a growing field where day by day the investments are increasing as it shows promising results.

    Photo by ThisisEngineering RAEng on Unsplash

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