High Tech's Vital Role In The Fertility Of Agribusiness

With approximately 915 million acres of farmable land in the U.S., alone, agriculture remains a booming business both in North America and around the world. Like any major industry, agribusiness relies heavily on innovation and technological solutions to not only meet the growing demand for products, but also maintain healthy profit margins to keep the industry flourishing.

Innovation has been crucial to the industry since the agricultural revolution; however, the advancements made in just the past decade have completely revamped agribusiness, with tech becoming an integral part of "Old MacDonald’s" toolbox. The current, cutting-edge technology, and the software solutions that support them, are bringing on the next phase of the agricultural revolution in which broadband internet, cloud technology and artificial intelligence (AI) will be as necessary as irrigation, fertilizer and livestock feed.

This article will examine the current state of affairs of the agtech field, focusing on the newer technologies being leveraged. It will conclude with a discussion of emerging innovations that continue to shape the landscape of modern agriculture and improve the solvency of the industry.

Technology’s Function In Farm Management

The agricultural field is becoming completely dominated by technology. Many industrial farms rely on internet of things (IoT) devices connected to software that determines how to manage crops and livestock efficiently.

For example, drone technology plays a significant role in modern agriculture. Using AI, these drones hover above crop fields and livestock herds. They help keep track of inventory and can alert farmers when there's a potential issue to investigate. These cost-effective devices can save farms from catastrophes that would have been unavoidable just a few decades ago.

There truly is an app for everything, and modern apps allow farmers to monitor the status of their farms via mobile devices. Populated with data generated by livestock and breeding software, drones and other devices, these apps often allow the full management of farms remotely. Climate trackers are also common, and data is gathered and kept to be later interpreted by AI to predict when to harvest for maximum profits. Together, these solutions form the foundation of what is known as precision agriculture.

Of course, the industry isn't without obstacles. While these new technologies have fixed many issues, new challenges have surfaced that need to be tackled. For example, remote management software often relies on a stable, high-speed internet connection that can be harder to come by in rural areas that lack the infrastructure. While broadband services and connectivity continue to improve across the nation, the slower rate at which smaller businesses are adopting this tech is the core reason some key solutions are not yet being leveraged to their full potential.

All in all, when implemented properly, these technologies can drastically increase profit margins and efficiency. I anticipate that higher overall yields and AI-powered decisions will continue to drive immense production increases.

Higher-Level Tracking's Function In Agribusiness

Farm-to-table has become a household term in recent years, and with good reason. The ability to accurately track agriculture products isn’t just a social preference, but a highly essential and in-demand solution for agribusiness. Consider, for example, food recalls that may stem from potential bacterial contamination. Prior to any reliable tracking technology, stores and restaurants may have had to discard their entire stock of the product in question, as opposed to a specific lot number from a supplier. Now producers and sellers can know with pinpoint accuracy which products need to be recalled and which ones can remain on the shelves. This is not only a benefit to public safety, but it also helps protect margins because growers can quickly assess the situation and work to meet the demand via other channels.

Keeping in line with public safety, new legislation is constantly being considered and introduced to make actionable product tracking a requirement for many industries. Dairy and meat are two such industries in which tracking compliance is the norm, while the hemp and cannabis industries are steadily increasing and implementing tracking and compliance policies. Known as seed-to-sale solutions, this technology allows growers to comply with state and local legislation, tracking the product from its planting to its purchase while providing farmers insights on how to increase yields and overall returns.

A Fertile Future

As technology continues to advance, so do the innovation and capabilities of the agricultural industry. Advancements in the genetic engineering of crops, for example, will allow growers to create more resilient produce and more bountiful yields on less land, maximizing the efficiency and value of their resources.

Blockchain technologies are also being developed and introduced that will provide more transparent and effective tracking. As discussed, this will be vital for both public health preservation and also for the continuous reevaluation of supply chains to ensure the quality of products prior to purchase.

AI and predictive analytics are also on the rise and constantly becoming smarter. This combination will eventually be able to predict when demand for specific meats, produce and other raw materials go up on a cyclical basis to assist farmers in planning each season and avoiding the waste of precious resources and capital.

Of course, IoT is also evolving. We can expect to see devices that track more specific factors that will seamlessly connect with other farm management software. Eventually, the IoT explosion will lead to a seemingly infinite supply of data that can be mined and analyzed for maximum output. Between full crop and livestock traceability and complete optimization, farms will be capable of producing yields never seen before.

While many small, family-style outfits still exist in the farming industry, it is clear to see that the image of the quaint farmer is long gone. Now, in an environment with ever-increasing demands for produce and livestock, emerging technologies will continue to help the industry maximize its resources and achieve higher returns while having a more predictable and sustainable business model.