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How has the agriculture sensor market grown in recent years?

The market size for agricultural sensors has seen swift growth in the recent past. The market which was valued at $2.06 billion in 2024, is anticipated to expand to $2.41 billion in 2025, reflecting a compound annual growth rate (CAGR) of 16.9%. This upward trend during the historical period is linked to a rise in global population, government policies and subsidy programs, the uptake of precision farming techniques, environmental changes and concerns, as well as an increase in crop losses.

How is the agriculture sensor market size expected to evolve during the forecast period?

The market size of agricultural sensors is anticipated to experience a swift surge in the coming years, with the market value projected to reach $4.33 billion at a compound annual growth rate (CAGR) of 15.8% in 2029. This expansion over the prediction period is due to factors such as emerging markets, rising automation needs, escalating product demand in agriculture, the uptake of sophisticated farming methods, and increasing funding from both public and private sectors. In the forecast period, significant trends include multi-parametric sensors, edge computing, artificial intelligence (AI) and machine learning, remote sensing, and IoT-integrated sensors.

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Which key drivers are propelling the agriculture sensor market’s growth?

The agriculture sensor market is poised to grow in the near future, driven largely by the uptick in smart farming methods. These sensors are gaining popularity in smart farming due to their application in several on-field activities, ranging from predicting weather conditions, determining leaf moisture levels, trunk circumference, to distributing pesticides and insecticides. The sensors also present certain benefits over existing technologies, including ease of installation, cost-effectiveness, reducing pollution and global warming effects, and the ability to control remotely. Such qualities are causing an increase in technology adoption associated with sensors in agricultural systems. As reported by McKinsey Global Institute, an economic and business research wing of McKinsey, the economic benefits of smart farming could skyrocket to $11 trillion globally by 2025. Therefore, the rise in the adoption of smart farming techniques by farmers worldwide is anticipated to stimulate the growth of the agricultural sensor market in the forecast period.

What are the market segments in the agriculture sensor industry?

The agriculture sensor market covered in this report is segmented –

1) By Sensor Type: Humidity Sensor, Electrochemical Sensor, Mechanical Sensor, Optical Sensor, Pressure Sensor, Water Sensor, Soil Sensor, Location Sensor

2) By Application: Soil Monitoring, Yield Mapping and Monitoring, Disease Detection and Control, Weed Mapping, Other Applications

Subsegments:

1) By Humidity Sensor: Capacitive Humidity Sensors, Resistive Humidity Sensors, Thermal Conductivity Humidity Sensors

2) By Electrochemical Sensor: pH Sensors, Gas Sensors, Nutrient Sensors

3) By Mechanical Sensor: Force Sensors, Pressure Sensors, Load Cells

4) By Optical Sensor: Spectral Sensors, Color Sensors, Image Sensors

5) By Pressure Sensor: Absolute Pressure Sensors, Gauge Pressure Sensors, Differential Pressure Sensors

6) By Water Sensor: Water Level Sensors, Water Quality Sensors, Soil Moisture Sensors

7) By Soil Sensor: Soil Temperature Sensors, Soil Moisture Sensors, Soil Nutrient Sensors

8) By Location Sensor: GPS Sensors, RFID Sensors, Beacon Sensors

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Which leading companies are shaping the growth of the agriculture sensor market?

Major companies operating in the agriculture sensor market include Libelium Comunicaciones Distribuidas S.L., Auroras, Acuity Agriculture, Pycno, AgSmarts Inc., edyn Limited, Acclima Inc., CAIPOS GmbH, Vegetronix Inc., Sentek Pty Ltd., AquaSpy Inc., CropX, Ag Leader Technology, Sol Chip Ltd., Sentera LLC, dol-sensors A/S, Glana Sensors AB, Monnit Corporation, Sensoterra, Phytech Ltd., Stellapps Technologies Pvt. Ltd., Mastiline Electronics, CanopyBoulder, Motorleaf Inc., Spensa Technologies Inc., FieldIn, Saturas Ltd., Farmobile LLC, Grassometer, Farmers Edge Inc., Advanced Animal Diagnostics Inc., Granular Inc., Trace Genomics, Arable Labs Inc., CropMetrics LLC, AgriData Inc.

What key trends are currently impacting the agriculture sensor market’s development?

One significant trend gaining traction in the agriculture sensor market is the rise of advanced technologies. Major players in this market are concentrating on creating innovative products that incorporate these emerging technologies while maintaining low-cost features, in order to cater to the increasing worldwide demand for smart farming technologies and solutions. For example, in July 2024, Veris Technologies, an American company that manufactures sensors and controls for precision agriculture, unveiled the CoreScan automated soil sensor probe. This innovative probe offers unique insights into the soil profile, which enables farmers to make knowledgeable and profitable decisions. With its advanced sensor technology, CoreScan creates detailed high-definition maps that outline soil compaction, nutrient and water storage, organic matter, carbon levels, among other factors. This revolutionary tool transforms soil management practices by revealing previously hidden yield restrictions.

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Which geographic areas are influencing the growth of the agriculture sensor market?

North America was the largest region in the agriculture sensor market in 2024. Asia-Pacific is expected to be the fastest-growing region in the agriculture sensor market share during the forecast period. The regions covered in the agriculture sensor market report include Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

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