The US precision agriculture market is set to grow to $6 billion by 2022, from $1.5 billion, according to RobecoSAM. That is a 17 percent annual growth rate.
And outside the US, where the need for productivity improvements is greater, the market is set to grow 20 percent a year, according to a recent report from RobecoSAM.
“The expected growth of the US precision agriculture market is expected to quadruple by 2022, resulting in a variety of attractive opportunities for investors,” said Oliver Girakhou, equity analyst at RobecoSAM Sustainable Agribusiness Strategy.
In the report, Robeco analyses the increasing use of precision agriculture technology by farmers; between 70 percent and 80 percent of new farm equipment sold today includes a precision farming component, according to the report.
As well as enabling farmers to increase the efficiency of their farming operations, precision agriculture also has major environmental benefits because it reduces the use of fuel and chemicals in turn minimising CO2 emissions and pollution of soil and water, according to Girakhou.