Biotechnology and Biochemicals Segment to Dominate North America Agritech Market during 2019–2027

According to a new market research study on “North America Agritech Market to 2027 – COVID-19 Impact and Regional Analysis and Forecast by Type and Application” is expected to reach US$ 16,005.2 million by 2027 from US$ 6,731.3 million in 2019. The market is estimated to grow at a CAGR of 12.2% from 2020 to 2027. The report provides trends prevailing in the North America agritech market along with the drivers and restraints pertaining to the market growth. Various countries witnessing rise in agriculture sector is the major factor driving the growth of the North America agritech market. However, issues associated with high initial costs, low awareness and disintegrated agriculture sector hinders the growth of North America agritech market.  

The North America agritech market is segmented into type, application, and country. Based on type, the market is segmented into biotechnology and biochemicals, big data & analytics, sensors and connected devices, mobility, and other types. The biotechnology and biochemicals segment held the largest share of North America agritech market in 2019 owing to increasing investments by companies in research and development of biotechnology solutions to address various challenges faced by North America agriculture sector such as low crop yield, low produce quality, and crop diseases. Based on application, the North America agritech market is segmented into irrigation, production and maintenance, supply chain, and marketplace. In 2019, the production and maintenance application segment held the largest share due to rising adoption of sensors, connected devices, big data and analytics in the crop production and maintenance stages.

COVID-19 is having a very devastating impact over the North America region. North America is an important market for the growth of agritech products owing to the presence of developed countries such as the US and Canada in this region. The high number of COVID cases have resulted in a negative impact on country’s and region’s economy and there has been a decline business activities and growth of various industries operating in the region. The COVID-19 pandemic has been a major for all the farmers in the region, threatening access to agricultural labor and complexing worldwide supply chains. However, for indoor farming, it has offered an opportunity. In vertical farming, the batches of crops can be watered individually and ignited with the help of smart agriculture products, enabling them to be grown year-round with less resource. Nevertheless, the factory and business shutdowns across the US, Canada, and Mexico negatively impacted the sales of agritech products, such as sensors, agribots, and many more. COVID-19 has had a severe impact on logistics operations, transportation, and trade activity. North America is home to a large number of manufacturing and technology companies. Thus, the coronavirus outbreak's impact is anticipated to be quite severe in the year 2020 and likely in 2021. However, the impact of COVID-19 is short-term; it is likely to decrease in the coming years.

AeroFarms; AgBiome, Inc.; ARSR Tech; Ceres Imaging; Conservis; Indigo Ag, Inc.; Pivot Bioare among the leading companies in the North America agritech market. The companies are focused on adopting organic growth strategies such as product launches and expansions to sustain their position in the dynamic market. For instance, in 2020, Ceres Imaging, introduced the addition of plant level insights to their mobile app. The feature rises irrigation strategies in fruit and nut tree management by offering powerful metrics to assist customers take tree level data and turn it into an actionable plan to increase the performance across the entire operation.

The report segments the North America Agritech Market follows:

North America Agritech Market – By Type

• Biotechnology and Biochemicals
• Big Data & Analytics
• Sensors and Connected Devices
• Mobility
• Other Types

North America Agritech Market – By Application

• Irrigation
• Production and Maintenance
• Supply Chain
• Marketplace

North America Agritech Market – By Country

• US
• Canada
• Mexico