How IoT Can Impact Agribusiness
Beyond performance, boosting agribusiness production capacity is a necessity for the planet. IoT in agribusiness and the smart use of resources help with that. After all, the planet should have almost 10 billion people by 2050
Moreover, the market for the Internet of Things in agriculture was estimated at US$ 12.5 billion in 2021. It should reach US$ 28.5 billion by 2030, according to Precedence Research. Therefore, the revolution of precision techniques in the field is already under way. IoT in agribusiness drives those techniques and the productivity gains that follow.
In practice, this is not just about the sector’s intention to be more productive and earn more. It is a real need of society. In the coming decades, there will be a huge demand for food due to population growth. By 2050, the global population is estimated to reach 9.7 billion people. As a result, the world will need far more calories available for consumption.
Therefore, as is well known, natural resources such as water and the land itself are not infinite. The point comes from a report by consulting firm McKinsey. It says: “Without solid connectivity and infrastructure for agriculture, this [meeting global food demands] will not be possible”. Consequently, IT also becomes strategic for farm businesses.
As a result, IoT in agribusiness positively impacts property results. McKinsey’s outlook depends on the segment succeeding in its connectivity strategies. In that case, it could add between US$ 2 trillion and US$ 3 trillion to global GDP by the end of the decade. Moreover, this means direct gains for farmers and ranchers.
IoT in agribusiness
First of all, let’s start from the beginning: what is the Internet of Things?
In essence, it is a technology that connects different pieces of equipment and collects data between them. Therefore, the data can later be analyzed using Big Data techniques.
In short, if we think of a factory, IoT allows different devices to “talk” to each other. Consequently, this yields a wealth of information about the production process. For example, there are insights on improvements and any points slowing down manufacturing. For agribusiness, the logic is similar.
For example, adding sensors to tractors and machines makes customized planting possible. This works especially well combined with precise information about the property (GPS). In addition, drones provide data through aerial images. Then, all of this becomes more effective with data transmission through the cloud.
After all, think of a highly evolved technology scenario. It is as if the concept of self-driving cars were extended to tractors in the field. In a publication on the subject, Embrapa had already anticipated that movement in the country’s rural properties. “Other IoT devices will take longer to be adopted, including, for example, automatic tractors,” the report states.
“Farmers will be able to plant an entire field with tractors without any manual steering, suggesting fully automated machines. Autonomous tractors may even be developed and adopted at a faster pace than self-driving cars. After all, farms are a confined and controlled environment, unlike public roads,” it highlights.
What other IoT applications exist in agribusiness?
In practice, beyond autonomous tractors, the applications are varied. After all, the collected data set brings insights and possibilities. As a result, they transform a property’s productivity and operation. Furthermore, automation and remote access change the way farms and livestock fields run.
– Telemetry
To begin with, sensors provide data about tractors and other equipment used on the property. You can track temperature, location, operating alerts and fuel consumption. Moreover, this monitoring runs remotely, which optimizes the decision-making process.
– Weather monitoring
Certain types of sensors can detect ultraviolet radiation levels, for example. This provides information about the weather in the field. As a result, it increases intelligence to control the use of inputs. Examples include irrigation and even other nutrients.
Similarly, extreme events include frost and hail. In those cases, you can anticipate them and adopt preventive measures to protect production.
Livestock farming
As a result, sensors installed on cattle provide reliable data on the animals’ health status. They are usually a kind of ear tag. For example, the data covers weight gain, water intake, medication and vaccine management. In poultry farming, for example, you can control lighting levels and the amount of feed offered. Moreover, other points work in an automated way.
Aerial images and smart video monitoring
Meanwhile, drones are used to obtain aerial images of the land. This provides more information about the planting area and soil quality. In addition, it enables adjustments to increase productivity and measure vegetation density. For example, you can plan irrigation and identify pests. Moreover, computer vision models now classify those images automatically.
Support for the team in the field
In short, part of the work is automated. However, another part still requires “hands in the soil”. In this sense, the data obtained through IoT in agribusiness provides precise information. Therefore, people can act to solve the problems found. In other words, more productivity and better use of the team’s time.
A long road ahead
A survey conducted by Sebrae and Embrapa in 2020 indicated that there is still a long way to go. Only then can the Internet of Things truly transform Brazilian agribusiness. In that study, 84% of Brazilian farmers reported using digital technologies in production. However, most of that use was limited to internet connection and to marketing apps.
After all, fewer than a quarter of them had more advanced solutions. Examples include specific management programs and GPS. In addition, there are data or images provided by remote sensors and by field sensors. Finally, there are machines or equipment with embedded technology. The survey heard from 870 landowners and service providers.
Moreover, despite the opportunities, farmers know that technology directly impacts their performance. The 5 main reasons for adopting solutions are:
– Obtaining information and planning the property;
– Rural property management;
– Buying and selling inputs, products, and production output;
– Land use mapping and planning;
– Climate risk forecasting.
In practice, the main barrier is still the investment cost. In addition, the lack of connectivity on certain properties slows this evolution. However, the picture has changed since then. The expansion of 5G and of low-orbit satellite networks already reduces that bottleneck in the field.
So, find out how to build an IT inventory for your agribusiness!