Three agriculture technology trends to watch in 2023
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As the world population continues to grow and the population becomes more urbanized, there is an increasing demand for food.This has led to an increased use of agricultural technology and innovations to meet and sustain demand.
Indeed, the AgTech market is booming, with no signs of slowing down.In 2021, the smart farming market was valued at $18.12 billion, and the market is expected to reach $43.37 billion by 2030, according to a report by Precedence Research.This year, I believe that investment in AgTech will continue to evolve and be used in new ways.
As the CEO of a company providing technology solutions for indoor farming, I anticipate that there will be new technologies introduced that will help farmers become more efficient with their time and resources, expand what can be grown indoors and drive interest from universities that will drive industry-changing research.
Expanding product category in controlled environment agriculture
Controlled ecological agriculture, otherwise known as “CEA” or “indoor farming,” “is an advanced and intensive form of hydroponics-based agriculture in which plants are grown within a controlled environment to optimize horticultural practices,” according to Cornell University’s College of Agriculture and Life Sciences.Today, CEA facilities primarily produce herbs, lettuce, microgreens, tomatoes, berries and flowers, according to the American Council for an Energy Efficient Economy.
CEA aims to simulate ideal conditions for growing regional plants anywhere.For example, if someone in Tennessee wanted to grow Palisade peaches, they might use an indoor farm to mimic the sunny summer days and cool nights of Colorado.In my view, modernity and reduced transportation time alone can increase the number and types of crops grown in this way.
In 2023, I expect that we will also see an expansion of the types of products that have grown in the CEA environment due to ongoing supply chain issues and associated challenges such as higher costs of goods and services.
Indonesia’s palm oil export ban in 2022 has shaken up an already strained global cooking oil supply and left many buyers without alternatives.This scenario is one example of why I expect more leaders in agriculture to take a fresh look at the category and decide what can be grown using CEA methods.
Universities are becoming more involved
In 2023, I also expect colleges and universities to put more resources into agricultural research.For example, the University of California, Davis, received a donation in 2022 from Linda and Stuart Resnick of Beverly Hills for $50 million to build an agricultural research center.“The center will work to make crops more resilient and sustainable during climate change, maximize water and energy efficiency and expand access to nutritious foods,” Los Angeles Times mentioned.
Another example from Nationwide, which has initially promised $2 million to set up an AgTech Innovation Hub at Ohio State University, which will look at how to combat the impact of climate change on crop production, American City Business Magazines He said (paywall).
The University of Idaho College of Agriculture and Life Sciences will receive a $55 million grant from the United States Department of Agriculture to help Idaho farmers tackle climate change.Harrisburg University also announced a $1 million donation to help fund a 23,000-square-foot Center for Advanced Agriculture and Sustainability focused on researching new technologies in food and agriculture.
The emergence of automated vertical farms
In 2023, I believe that vertical farms can become more automated.Technology and automation, including artificial intelligence, can help support consistent plant outcomes with predictable yields without the issues that can result from human error and the labor costs incurred with traditional farming methods.
Of course, it is important to note that this innovation will come with potential challenges and additional needs, such as higher initial equipment costs and training workers on how to use the technology.
Operations that invest in new technology will need to reskill their workforce to prepare for the future of work.
In doing so, they can better position themselves to be the leaders of their industry.
Putting the 2023 AgTech trends into action
Investors are already targeting agricultural innovations like CEA.In 2022, indoor farming attracted more than $800 million in funding in roughly the first half of the year, according to Pitchbook.With the current economic uncertainty, the investment pipeline may lag, but the good news is that agriculture is not a “nice to have” industry; It is a “need to” if we are to be able to feed the world.
Leaders in agriculture must take action and stay informed by looking for trends to see what the future might hold.Adopting an open mindset will help agriculture professionals harness the potential of upcoming trends as well.By doing these two things, we can prepare ourselves for the future of this industry.
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