Agtech is a reduction from agritech, a direction of technology in agriculture, horticulture, and aquaculture, which is aimed primarily at increasing the efficiency of agribusiness.
Agtech is defining new opportunities for technologies and products that will help to feed the predicted 10 billion inhabitants of the Earth by 2050. That is, over three decades, it is necessary to increase world food production by 70%. To meet global food demand, there is a need for sustainable and effective agricultural solutions.
For this reason, agricultural technologies are currently one of the most interesting sectors and are attractive to many international venture capitalists.
Agtech is simplifying agriculture around the world, from accurate farming to unmanned and self-manned equipment.
In general, all technological solutions from the field to the plate of the final consumer are in this direction. Here, both the increase in yield, the logistics of production, and the economic component, such as profitability of business processes, etc.
The most common areas of technology used to create quantum improvements, and thus the vast opportunities for agribusiness, are:
software for automation of processes and increase of efficiency of agribusiness activity;
use of sensors and iot;
robotics and automation;
In the heads of most people, agriculture is manual work in rural areas with very low pay, but today thanks to modern technologies more and more young people are involved in this field.
The market for digital agricultural instruments will grow from $5,6 billion in 2020 to $6,2 billion next year. This conclusion was reached by the analytical agency Marketsandmarkets in a published 85-page report. The main reason for growth will be the consequences of COVID-19.
Today Ukraine is a rather significant player in the world Agri market, therefore the tasks from business are similar to the world.
Globally, two areas of venture investment can be identified, respectively, as two areas of maximum development of AgTech.
First of all – automation of business processes of production.
The main task is to reduce the dependence of the industry as a whole, on seasonal workers and to divide the whole production chain, reducing the human factor as much as possible. Increasing the population of the planet leads to an increase in demand for products, but at the same time closing the borders of the states and forcing social distance has led to a lack of seasonal workers.
Our company has developed a single portal on agribusiness management, which has a multi-module structure. Flexible automated business processes are at the heart of all our products. For example, the product of our company AgriChain, which covers the tasks of this direction – is AgriChain Farm. This module provides management of operational business processes of plant growing and qualitative interaction of management and production subdivisions.
Another direction of AgTech is satellite monitoring. Main task: Monitoring of crops 24/7.
Such monitoring allows agrarians to collect information on crop conditions, significantly reducing the number of trips to the field and the possibility to make timely decisions on sowing, growing, making the PPT, and harvesting.
This direction, for example in us, closes it-solutions AgriChain Scout – information system on management of the crops monitoring with convenient tack-management and flexible business processes.
At the same time, Ukraine is not a typical agrarian state of the world. The main resource of agriculture is land, and in the absence of an open land market in Ukraine, the main direction of AgTech in Ukraine became – the management of the land bank. Analyzing the trends concerning the opening of the land market and future overrides in this issue – effective management of the land bank: There was, is, and will be one of the most urgent.
Our team was in the first stage to work on the creation of this system. It-solutions AgriChain Land is the only point of communication of all specialists in land bank management of the company.
The system gives answers to the main questions in the management of the land bank:
What do we rent and process?
Who are our shareholders?
How do we manage contractual work?
What is the state of land lease settlements?
What is our budget for land use costs?
Global warming and depletion of natural resources create obstacles to meeting a demand for quality, ecological food. The cost of energy, labor, fertilizers, seeds, and herbicides is constantly increasing. All this is an ideal environment for Agtech’s growth.