What is agriculture and agribusiness innovation? Agriculture is one of the fastest-growing sectors of the rural economy, with a compound annual growth rate of 11% over the past five years. With this growth, farmers need to find ways to inspire people to stay in the countryside and pursue a career in agriculture. Despite the economic challenge, agriculture continues to be a highly profitable industry. What are some ways that agricultural and agribusiness innovation can impact our health and the environment?
Research and development investments in agriculture are vital to addressing agricultural and agribusiness challenges. For example, modern seed technology is vital to modern farming, but agribusinesses also share this knowledge with developing countries to ensure that it reaches smallholder farmers. Last year, private agricultural companies invested $6.4 billion in research and development, and historically they have protected their intellectual property. However, more organizations are realizing the benefits of pro-social business practices and leveraging the power of the private sector to bridge the innovation gap.
Another innovative example of agribusiness is the emergence of agro-tech companies. These companies use data and technology to optimize decision-making and help farmers increase yields. Some of these agritech companies even offer subscription models for their products, which removes the initial investment burden for farmers and makes it easier for them to adopt new technologies. One such company is an Italian agri-technology firm that uses satellite imagery to monitor crop protection and irrigation for wineries. Another company specializes in precision controls and vehicle-to-vehicle connections for farmers.