Agriculture in the UAE is likely to register a compound annual growth rate (CAGR) of 3.5 percent between 2022 and 2027, based on the country’s commitment to growing the industry exponentially in the near future, Sharjah Research Technology and Innovation Park and Deep Knowledge Analytics said in a joint report.
The largest facets of the UAE’s agritech sector include 36 percent (indoor farming), 15.9 percent (precision agriculture), and 15 percent (agri inputs), according to the report titled ‘AgriTech in the UAE Industry Landscape Q3 2022.’
Around 65 percent of the nation’s agritech companies are micro-sized enterprises with fewer than 50 employees.
While the UAE’s food production may only represent a miniscule percentage of global agricultural production, the implications of this forward-thinking strategy extend beyond the national borders.
There are currently 66 UAE companies addressing the sustainability issue, with UAE-based companies receiving more than $50 billion in investments in 2021, or around 1.1 percent of the global capital invested in agritech.
Nearly 66 percent of these were UAE-based investors, followed by the US, the UK, Switzerland, and other GCC countries.
The global agritech market is expected to reach $22.6 billion by 2025, creating a significant opportunity for investors and companies looking to further the advances of new technologies.
Some key players in the UAE’s agritech startup sector include Pure Harvest Smart Farms, Madar Farms, Farmin, The Platform and Palmear.
The UAE is a particularly attractive option for agritech investors, given its favourable climate, infrastructure and strong government support of initiatives to enhance food security, the report said.
(Editing by Anoop Menon email@example.com)