Precision Viticulture Market Forecasts to 2030 - Global Analysis By Component (Hardware, Software and Services), Application (Yield Monitoring, Field Mapping, Crop Scouting and Other Applications) and By Geography

According to Stratistics MRC, the Global Precision Viticulture Market is accounted for $1.66 billion in 2023 and is expected to reach $3.96 billion by 2030 growing at a CAGR of 13.2% during the forecast period. Precision viticulture is an agricultural approach that utilizes advanced technologies such as GPS, remote sensing, and data analytics to optimize grape production in vineyards. By collecting and analyzing data on various factors such as soil moisture, nutrient levels, and vine health, precision viticulture enables growers to make informed decisions tailored to the specific needs of their vineyards. By precisely managing vineyard variability, growers can mitigate risks associated with pests, diseases, and adverse weather conditions, ultimately leading to higher profitability and environmental stewardship.

According to a study by the Journal of Applied Remote Sensing, the integration of such technologies has shown a 15-20% increase in water use efficiency in vineyards.

Market Dynamics:

Driver:

Increasing demand for high-quality grapes

With consumers placing a premium on the quality and consistency of wines, vineyard owners are under pressure to produce grapes of exceptional quality. Precision viticulture enables growers to achieve this goal by employing advanced technologies such as Geographic Information Systems (GIS), Global Positioning Systems (GPS), and remote sensing to precisely manage vineyard operations. By optimizing factors like irrigation, fertilization, and pest control based on real-time data and site-specific conditions, precision viticulture ensures that grapevines receive the exact inputs they need for optimal growth and fruit development.

Restraint:

High initial investment

Training personnel to operate and interpret data from these technologies adds to the upfront costs. For smaller vineyards or those with limited financial resources, these initial expenses can be prohibitive, preventing them from adopting precision viticulture despite its potential benefits. The return on investment may not be immediate, further deterring potential adopters. Consequently, the high upfront costs act as a barrier to entry, limiting the widespread adoption of precision viticulture and slowing down the pace of innovation and technological advancement in the wine industry.

Opportunity:

Rising adoption of IoT and big data analytics

IoT devices integrated into vineyard management systems collect vast amounts of real-time data from sensors placed throughout the vineyard, monitoring crucial parameters such as soil moisture, temperature, humidity, and vine health. This data is then processed and analyzed using advanced Big Data Analytics tools to generate actionable insights for growers. By leveraging these insights, growers can make informed decisions regarding irrigation scheduling, disease management, harvesting times, and other critical aspects of vineyard operations. This approach enables growers to optimize resource utilization, minimize waste, and maximize grape quality and yield.

Threat:

Risk of overreliance on technology

While precision viticulture technologies offer numerous benefits, including enhanced efficiency and productivity, there is a potential downside to becoming excessively dependent on these systems. Overreliance on technology may lead to a diminishing emphasis on traditional farming skills and knowledge. Excessive dependence on automated decision-making processes could increase vulnerability to system failures, technical glitches, or cyber threats, disrupting vineyard operations. Moreover, the human element of farming, such as intuition and experience, may be undervalued or overlooked in favor of data-driven approaches.

Covid-19 Impact:

Initially, disruptions in the global supply chain and restrictions on movement hindered the adoption of precision viticulture technologies due to delays in equipment procurement and implementation. Economic uncertainties prompted some vineyard owners to postpone investments in advanced agricultural technologies to conserve financial resources. However, as the pandemic progressed, there was a growing recognition of the importance of technology in ensuring the resilience and sustainability of vineyard operations.

The services segment is expected to be the largest during the forecast period

Services segment commanded the largest share throughout the projection period. As precision viticulture technologies become increasingly sophisticated and diverse, there is a growing demand for specialized services to support their implementation and utilization. Service providers offer a range of offerings, including consultancy, training, maintenance, and support services tailored to the needs of vineyard owners. These services help bridge the gap between technology adoption and practical application, enabling vineyard operators to maximize the benefits of precision viticulture.

The inventory management segment is expected to have the highest CAGR during the forecast period

Inventory Management segment is poised to witness profitable growth over the estimation period. With the increasing adoption of precision viticulture technologies, vineyard owners are leveraging advanced inventory management solutions to optimize their operations. These solutions enable real-time monitoring and tracking of vineyard resources such as equipment, chemicals, fertilizers, and grape inventory. By accurately assessing inventory levels and consumption patterns, vineyard managers can optimize resource allocation, minimize waste, and reduce operational costs.

Region with largest share:

Asia Pacific region dominated the largest share of the market during the extrapolated period. As the region's middle class expands and disposable incomes rise, there is a growing demand for high-quality wines with distinct flavors and characteristics. Evolving consumer tastes towards healthier and more sustainable products have spurred interest in wines produced using environmentally friendly and socially responsible practices. Precision viticulture in the region enables vineyard owners to meet these changing consumer preferences by optimizing grape quality and enhancing sustainability through precise management of vineyard resources.

Region with highest CAGR:

North America region is projected to witness profitable growth over the forecasted period. With a focus on optimizing water usage and enhancing vineyard efficiency, precision viticulture techniques are gaining traction among vineyard operators. This data-driven approach allows for precise irrigation scheduling tailored to the specific needs of grapevines, leading to improved crop yields, higher quality grapes, and resource conservation. Moreover, the increasing adoption of precision viticulture practices aligns with the growing demand for sustainable agriculture solutions, driving further market expansion in the region.

Key players in the market

Some of the key players in Precision Viticulture market include AHA Viticulture, Ateknea Solutions, Atlas Vineyard Management, LLC, Deere & Company, Deveron UAS, Group ICV, Raven Industries, TeeJet Technologies, Topcon Positioning Systems and Trimble Inc.

Key Developments:

In July 2023, the 2023 Sustainable Ag Expo unveiled its initial roster of speakers, showcasing a lineup of viticulture specialists from renowned academic institutions such as Cornell University, California Polytechnic State University, and the University of California, Davis

In March 2023, TerraNIS signed an agreement with Airbus Defence and Space to export Farmstar, the space-based precision farming and crop monitoring service, outside of France.

In February 2023, Kubota Corporation revealed its recent investment in Chouette, a French startup. This emerging AgTech firm specializes in leveraging artificial intelligence (AI) to analyze images acquired through cameras. Its AI technology is designed to identify diseases and assess tree vigor.

In April 2022, Irritec signed a strategic and commercial agreement with Netsens for the international development of an interconnected and sustainable agriculture model.

Components Covered:

• Hardware
• Software
• Services

Applications Covered:

• Yield Monitoring
• Field Mapping
• Crop Scouting
• Farm Labor Management
• Financial Management
• Inventory Management
• Irrigation Management
• Weather Tracking & Forecasting
• Other Applications

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

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