Market Trends of Europe Precision Farming Industry
This section covers the major market trends shaping the Europe Precision Farming Market according to our research experts:
Increasing use of IOT in the Agricultural Sector
The EU fruit and vegetable sector is heavily dependent on a non-national labor force, either from the other EU Member States or third countries. Germany, Italy, Spain, France, and Poland employ high numbers of migrant seasonal farmworkers.
Certain farm sectors, such as the fruit and vegetable sector, are very labor-intensive, meaning that tending, harvesting, and packaging require high numbers of agricultural workers for a limited duration. This work used to be done by the farmers themselves. However, the ongoing process of consolidation in EU agriculture resulted in fewer and larger farms, with hired workers doing an ever-increasing share of farm work.
According to the Migration Policy Institute, private employment agencies often recruit seasonal workers as intermediaries between clients and workers. Many of them act as recruiters and employers at the same time and are called temporary work agencies. Their activity is particularly prominent in the agricultural sector. These agencies often exploit these workers, and EU citizenship does not protect migrant workers from exploitation or abuse. Therefore, the increasing labor shortage across the region is anticipated to drive the less labor-demanding precision farming market's growth during the forecast period.
Germany Dominates the Market
The increasing adoption of modern farming techniques by German growers is an insightful reason to adopt precision farming. Additionally, a majority of farmers use data collection techniques such as GPS-based area measurement and soil sampling rather than variable-rate application techniques such as site-specific sowing and fertilizing.
In Germany, precision farming is implemented in agricultural contractor services such as an additional farming business, constituting more than 500 ha of arable land. The technology can support monitoring soil and plant health and growth management. The rising awareness of specific farm areas of drone application may raise the technology acceptance model (TAM) in modular precision farming technology, which will provide lucrative growth for the market studied in the country. For instance, in the year 2019, a study concluded that 69% of the farmers are adopting drones for agribusinesses to regulate economic progress in the industry of the nation. Thus, the increasing growth of food security for nutrient supply among the population is leading to greater adoption of precision farming techniques by the growers in the country.
