Agricultural Drone Technology: A Market Worth $32 Billion

Signaling an imminent revolution in agriculture, drone technology may become one of the largest targets for commercial drone use. While most commonly associated with package delivery or security monitoring, drones were actually first commercially utilized in an agricultural capacity in Japan. Now, the structure of farming as we know it could be on the precipice of a significant leap forward, thanks to advancements in unmanned aerial vehicle (UAV) technology and more streamlined regulations from the U.S. Federal Aviation Administration. Recent research from [PwC](http://www.pwc.pl/pl/pdf/clarity-from-above-pwc.pdf) estimates a staggering projected worth of $32.4 billion for agricultural drones, ranking behind only infrastructure projects.

This substantial figure is not an isolated prediction. A host of institutions see the potential for drones to drastically overhaul agriculture.

1. The Bank of America Merrill Lynch forecasts that agriculture will make up nearly 80% of the future commercial drone market. This could spur an estimated $82 billion worth of economic activity within the United States between the years 2015 and 2025.

2. Goldman Sachs, meanwhile, predicts the agricultural sector will emerge as the heaviest user of drone technology in the U.S, and the second-largest worldwide within the next five years.

3. Research company Markets and Markets expects the agricultural drone market to rapidly expand, with an average growth rate of 30% over the next four years, through 2022.

With such optimistic projections, manufacturers, including AeroVironment Inc. (NASDAQ: AVAV), progressively concentrate their efforts towards agriculture. AeroVironment’s recent unveiling of the Quantix drone at the Drone World Expo in San Jose, California signals this shift. AeroVironment anticipates the user-friendly features of Quantix, such as one-touch launch making it easier to map fields, and the ability to gather instant analytics, will strongly appeal to farmers.

Moreover, renowned tech entities are placing their bets on agricultural drones too. Take for instance Raven Industries (NASDAQ: RAVN), a firm specializing in navigation and radar system solutions. Earlier this year, Raven became the exclusive distributor for AgEagle’s agricultural unmanned aerial systems (UAS). AgEagle’s advanced technology incorporates GoPro Inc. (NASDAQ: GPRO) cameras and sensors within its drones to capture real-time data for crop monitoring.

Remember, Raven is not a newcomer in agricultural technology. It boasts long-standing partnerships with leading agricultural equipment manufacturers, including Deere & Company (NYSE: DE) and AGCO Corporation (NYSE: AGCO). Given these associations, it wouldn’t be surprising to find more agricultural firms pumping money into drone technology in the near future. Indeed, several companies are already investing heavily.

For more insights and detailed developments on this subject, visit the [Fox Business site](http://www.foxbusiness.com/markets/2016/11/25/drone-usage-in-agriculture-could-be-32-billion-market.html).