Farming as a Service boosts efficiency by offering on-demand equipment, analytics, and advisory solutions, helping farmers reduce costs and improve yields.

WILMINGTON, DE, UNITED STATES, November 28, 2025 /EINPresswire.com/ -- According to a new report Farming as a Service Market Size, Share, Competitive Landscape and Trend Analysis Report, by Service Type (Farm Management Solutions, Production Assistance, Access to Markets), by Delivery Model (Subscription, Pay-per-use), by End User (Farmers, Governments, Corporate, Financial Institutions, Advisory Bodies): Global Opportunity Analysis and Industry Forecast, 2021 - 2031, The global farming as a service market share was valued at USD 2.9 billion in 2021, and is projected to reach USD 12.8 billion by 2031, growing at a CAGR of 16.1% from 2022 to 2031.

The Farming as a Service (FaaS) market is transforming traditional agriculture by providing technology-driven, pay-per-use services to farmers. It bridges the gap between advanced agricultural tools and smallholder farms by offering access to mechanized equipment, precision farming solutions, and expert advisory support without the need for large capital investments. This model enables farmers to improve productivity, reduce operational costs, and enhance crop management practices.

As global food demand rises and agricultural land resources become constrained, FaaS is emerging as an essential component for sustainable and scalable farming. Rapid digitalization, increasing smartphone penetration, and government initiatives that promote agri-tech adoption are accelerating the shift toward service-based farming models. The platform-centric approach also supports better decision-making through data analytics and remote monitoring technologies.

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One of the major drivers of the FaaS market is the rising need to optimize farming operations due to labor shortages and increasing production costs. Farmers are increasingly relying on service-based models to access mechanization tools and skilled assistance during critical farming stages such as sowing, irrigation, harvesting, and crop protection.

The growing adoption of precision agriculture is also fueling market growth. FaaS providers offer remote sensing, soil analysis, field mapping, and data-driven recommendations, enabling more accurate input usage and improved crop yields. This shift helps reduce wastage and enhances farm sustainability.

Government initiatives promoting digital agriculture, subsidies for farm mechanization, and rural connectivity development further support FaaS expansion. Many programs encourage small and marginal farmers to adopt modern tools and advisory services, contributing to faster market penetration.

High mobile and internet penetration has enabled farmers to easily access on-demand platforms for service booking, equipment rental, and real-time agronomic guidance. The rise of agri-startups and technology-enabled marketplaces is creating a robust ecosystem that supports service delivery and innovation.

However, limited internet access in remote regions, lack of digital literacy among rural communities, and high initial service setup costs for providers may restrain market growth. Ensuring affordability and trust-building among smallholder farmers remains a key challenge for FaaS companies.

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The FaaS market is broadly segmented into farm management services, equipment rental, labor services, precision farming tools, analytics, and financial services. Equipment rental currently holds a major share due to high demand for pay-per-use mechanization, while precision farming and analytics services are witnessing rapid growth as farmers shift toward data-driven crop management.

The farm management solutions segment dominated the service type category in 2021, driven by growing internet penetration and increasing adoption of digital farming tools among end users, particularly farmers. Meanwhile, the access to markets segment is projected to record the fastest CAGR, supported by expanding government-led and corporate-backed market access platforms that help farmers connect directly with buyers.

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Regionally, North America generated the highest revenue in 2021 owing to strong adoption of smart farming practices and widespread integration of agriculture-as-a-service models. However, Asia-Pacific is expected to witness the fastest growth during the forecast period, fueled by supportive government policies and rising demand for enhanced food production.

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The report analyzes the profiles of key players operating in the farming as a service market such as Apollo Agriculture, Deere & Company, Trimble Inc., Mahindra & Mahindra Ltd., SGS Société Générale de Surveillance SA, Accenture, Taranis, Precision Hawk, BigHaat.com and 63Ideas Infolabs Private Limited. These players have adopted various strategies to increase their market penetration and strengthen their position in the farming as a service industry.

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• By service type, the farm management solutions segment led the farming as a service market in terms of revenue in 2021.
• By delivery model, the subscription segment accounted for the highest farming as a service market share in 2021.
• By end user, corporate segment is anticipated to register highest growth rate in farming as a service market forecast.
• By region, the North America accounted for the highest farming as a service industry share in 2021.

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