The market's maturity and a bigger pool of investors, with generalist and specialized investors placing large bets in Agtech, fueled the region's exponential expansion.
Fremont, CA: The most promising areas for growth potential are biotechnology and precision agriculture. Both are excellent alternatives for farmers of all sizes to boost crop yields without deploying arable land by controlling diseases and improving efficiency. The prospect for yield gains in the region is substantial. North America leads in Agtech investments, followed by Europe, and the sums are increasing. Early mover investors would benefit because the number of appealing acquisitions and more established firms is now limited.
Investors know that Agtech has already taken off in developed economies, such as North America and Europe, of total capital held by VCs and are now turning towards other promising regions with great potential. VCs are eager to invest in the region, and the most promising startups will be awarded to those who jump in early.
Food Demand is Increasing
The Caribbean and Latin America will become the world's major agricultural exporting regions of global agricultural and fisheries exports by 2028. It represents the increase in cereals, increases in animals, and increases in fisheries.
Consolidation and professionalization of agriculture
Government initiatives have resulted in cooperatives and the advent of new, more accessible technologies.
Latin America is under pressure to optimize inputs and outputs in a sustainable manner
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agriculture business continues to expand despite environmental costs. At the same time, consumers demand food traceability and security. International institutions tighten their stance on the region, putting pressure on them to adopt new agricultural technologies that can optimize both inputs and outputs sustainably.
Middle-class growth
This increases in demand for sophisticated and healthful food items represents a significant growth in the opportunity for consumer-focused food companies to do better business in the region.
Much room for improvement in crop yields
Improving the crop yields, which are currently less than half of US yields per hectare, is one approach to increasing food supply without harming the environment.