The agricultural industry has undergone tremendous change in the last 50 years. Machine advancements have increased farm equipment's scale, speed, and productivity, allowing for more efficient cultivation of more land. Seed, irrigation, and fertilisers have all significantly improved, assisting farmers in increasing yields. Agriculture is currently in the early stages of a new revolution, with data and connectivity at the forefront. Artificial intelligence, analytics, linked sensors, and other emerging technologies could increase crop yields, improve water and other input efficiency, and promote crop production and animal husbandry sustainability and resilience.
Kisaan Trade has launched a blog to investigate the future of agriculture's online markets and their role in globalization:
Food demand is rising, but supply is constrained by land and farming inputs
Other agricultural challenges have been exacerbated as a result of the COVID-19 quandary, including efficiency, resilience, digitization, agility, and sustainability. Lower sales volumes have strained margins, exacerbating farmers' need to cut costs even further. Gridlocked global supply networks have highlighted the importance of having more local providers, which could boost the resilience of smaller farms. Farmers' reliance on physical labour has exacerbated mobility issues for their workforces in this global epidemic.
The Future of Agriculture: How Technology Can Produce New Growth
Agriculture must embrace a digital transformation enabled by connectivity to address these forces poised to further roil the industry. Agriculture, however, remains less digitized than many other industries around the world. Previous advancements were primarily mechanical in the form of more powerful and efficient machinery and genetic in the form of more productive seed and fertilisers. To deliver the next productivity leap, much more sophisticated digital tools are required. Some already exist to help farmers use resources more efficiently and sustainably, while others are in the works.
Food demand is increasing while the supply side is constrained by land and farming inputs
However, the industry faces two significant challenges. Some regions lack the necessary connectivity infrastructure, necessitating its development. Farms in areas with existing connectivity infrastructure have been slow to deploy digital tools because their impact has not been sufficiently proven.
The COVID-19 crisis has exacerbated other agricultural challenges in five areas: efficiency, resilience, digitization, agility, and sustainability. Lower sales volumes have put pressure on margins, exacerbating farmers' need to cut costs even further. The importance of having more local providers has been highlighted by gridlocked global supply chains, which could increase the resilience of smaller farms. In this global pandemic, there is a heavy reliance on manual labour.
Digital Marketing in Agriculture
What advantages does agricultural digital marketing offer your business?
Agriculture and agribusiness have become more complex, with sub sectors such as agricultural machinery, precision agriculture, chemicals, farm equipment, crop production, supply-chain services, and others now included.
These businesses can now choose between traditional business outreach channels and web marketing practices. However, digital marketing for agriculture and the agribusiness sector enables organisations to gain more exposure and generate more business-to-business leads than ever before.
What exactly is the Kisaan trade?
Kisaan Trade is a B2B agricultural e-commerce portal based in India where users can buy agricultural machinery, tools, and other agricultural products.
Kisaan Trade is investigating the agri-e-commerce market opportunity.
1) Agri e-commerce potential to disrupt established agricultural value chains
In traditional agricultural value chains, several intermediaries existed between farmers and customers.
Farmers typically sell their produce at the farm gate to middlemen. The product is then passed through several intermediaries before reaching the end user. As a result, because each intermediary in the value chain receives a margin, farmers only receive a small portion of the price paid by the final customer.
2) Business models must be tailored to the local market's requirements
Scalable and long-term business models are required for agri-e-commerce enterprises to capitalize on growing opportunities. The operational functions performed by the agri e-commerce business in their local market determine the business model chosen. It is also influenced by factors like product categories and corporate strategic goals. In order to foster trust and user loyalty, a sustainable company strategy balances these factors.
3) In a variety of ways, mobile operators can add value to agricultural e-commerce businesses
Mobile operators have the potential to play an important role in the rapidly growing agri-e-commerce market. Mobile carriers, at their most basic, provide the connectivity that enables online services and, increasingly, digital payments via mobile money.
Apart from connectivity and payments, mobile operators can expand their agri e-commerce footprint by leveraging other critical assets such as APIs, investment capital, and distribution channels.
4) Stakeholders must work together to realise the agri-e-commerce opportunities
Agri e-commerce is still in its early stages, particularly in developing countries.
The business potential and potential societal consequences, on the other hand, are undeniable. Governments and investors, in addition to agro e-commerce companies and mobile providers, can take advantage of this opportunity to stimulate agricultural production.
5). E-commerce has had a significant impact on nearly every industry, from consumer electronics and fashion to entertainment and personal care
There is more visibility in the global supply chain because buyers and sellers are much closer and more easily connected thanks to the internet. Today, the majority of consumer journeys in these industries begin online, through search engines, social media recommendations, online reviews, or digital marketing.
Conclusion
Agriculture, one of the oldest industries on the planet, has reached a technological tipping point. To meet rising demand and various disruptive trends, the sector will need to overcome deployment barriers for improved connectivity. This will necessitate significant infrastructure investment as well as a restructuring of traditional responsibilities. One of the world's oldest companies in terms of profitability and sustainability is a mistake. Please contact us for more information on this topic.
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