The global precision irrigation market is estimated at USD 4.18 billion in 2024 and is projected to reach USD 6.29 billion by 2029, at a CAGR of 8.5% from 2024 to 2029. The global demand for precision irrigation is growing rapidly, driven by rising mechanization and the adoption of smart agricultural technologies. According to a report from FICCI in 2023, more than 95% of farming activities in the US and Canada are now mechanized. This transition boosts efficiency and productivity as farmers use advanced machinery for a variety of tasks. Moreover, technologies such as the Internet of Things (IoT) are becoming popular, allowing farmers to monitor and control irrigation systems remotely using their smartphones. This innovation facilitates precise water management and scheduling, which are crucial for sustainable farming practices. With ongoing investments in research and development, integrating sprinkler and drip irrigation systems presents promising growth opportunities in the precision irrigation market.
Precision Irrigation Market Drivers: Government initiatives to promote water conservation
Government initiatives aimed at promoting water conservation have significantly driven the growth of the precision irrigation market. Water scarcity and climate variability are among the pressing issues that governments worldwide are tackling with the implementation of policies that promote efficient use of water. These initiatives typically provide financial incentives for farmers to adopt advanced irrigation technologies, along with technical support and educational programs that showcase the advantages of precision irrigation. For instance, in June 2023, the World Bank’s Board of Executive Directors approved a loan of USD 148 million to help West Bengal, India, enhance its irrigation practices. This project aimed to improve the management of surface and groundwater in rural areas that experience erratic rainfall and high temperatures. The initiative targeted bringing 30,000 hectares under new irrigation schemes, using innovative methods like solar irrigation pumping systems, sprinkler systems, and drip irrigation.
These government-supported programs facilitate the adoption of precision irrigation technologies and promote sustainable agricultural practices. By emphasizing efficient water management, they contribute to raising agricultural yields while protecting priceless water resources, proving the value of precision irrigation in modern farming practices.
Precision Irrigation Market Opportunities: Increasing adoption of precision agriculture and sustainable practices
The increasing adoption of precision agriculture and sustainable practices has significantly boosted the precision irrigation market, creating substantial opportunities for growth. With precision irrigation, crops receive precisely the right amount of water at the right stage of growth due to the use of modern technologies like sensors, drones, and satellite imagery. This strategy improves crop yields while conserving water resources, consistent with sustainable agricultural methods. Farmers are turning towards smart irrigation systems due to growing awareness of the negative environmental effects of excessive irrigation. These systems leverage data analytics to monitor soil moisture levels, weather conditions, and crop requirements, enabling real-time adjustments to irrigation schedules. The potential of precision irrigation is enhanced by integrating Internet of Things (IoT) technology, which provides farmers with valuable insights and improves overall water management.
Based on type, the drip irrigation segment is estimated to grow at the highest CAGR during the studied period.
The increasing need for effective water management in agriculture drives the demand for drip irrigation within the precision irrigation market. This technique greatly reduces runoff and evaporation by delivering water straight to plant roots through a network of emitters and tubing. As global water scarcity worsens, farmers seek solutions that maximize water use, making drip irrigation popular. The ability of drip irrigation to deliver targeted irrigation at a 50% lower water consumption than conventional techniques makes it crucial for precision agriculture. It ensures that plants get regular nutrients and moisture, encouraging healthier growth and improving crop quality and yield. Furthermore, drip irrigation systems can be combined with other precision technologies, like soil moisture sensors and weather forecasting tools, to increase efficacy. This is because they are very flexible.
North America dominated the precision irrigation market share.
The North American region dominated the precision irrigation market in 2023. This dominance was due to modern farming techniques and significant investments in irrigation technologies. Prominent manufacturers such as Hunter Industries Inc. (US), RainBird Corporation (US), Valmont Industries Inc. (US), and The Toro Company (US) are based in this region. These manufacturers promote innovation and make precision irrigation solutions more accessible. A July 2023 article by the non-governmental organization Food and Water Watch reported that drought, exacerbated by climate change and poor water management, is having a severe impact on New Mexico, with industrial agriculture using over 80% of the state’s freshwater resources. This heavy reliance on irrigation, along with challenges like water scarcity and strict regulations, encourages farmers to adopt more efficient methods like precision irrigation.
Leading Precision Irrigation Manufacturers:
The report profiles key players such as Valmont Industries, Inc. (US), NETAFIM (Israel), Hunter Industries Inc. (US), The Toro Company (US), Rain Bird Corporation (US), Lindsay Corporation (US), Rivulis (Israel), HydroPoint (US), REINKE MANUFACTURING CO., INC. (US), AZUD (Spain), T-L Irrigation (US), and Mahindra Irrigation (India).
