Environmental Software, Sensors, IoT Technology Help Farmers Achieve Smart Farming Goals

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The USDA recently announced 70 projects that will be part of the first round of its Partnership for Climate-Smart Commodities program. The $2.8 billion pilot program supports the Federal Government’s continuing fight against the climate crisis. The investment aims to spur innovations in the agriculture sector to make food production more sustainable.

Historically, global investments to fight climate change have largely gone into renewable energy, which is a sensible strategy considering the primary sources of US greenhouse gas emissions are transportation (27%), electricity (25%), and industry (24%). However, scientists and farmer groups believe that environmental, social, and governance (ESG) investments should also go into agriculture. That’s because climate change impacts all aspects of life, including people’s food sources.

Based on Environmental Protection Agency (EPA) data, agriculture produces about 11% of US greenhouse gas emissions. GHG from agriculture comes from activities like rice production, livestock raising, and agricultural soil. The selected projects in the partnership program focus on smart farming approaches that could reduce GHG emissions. These include reducing methane gas from livestock, sequestering carbon, improving soil quality, and changing manure management styles.

Opportunities in Smart Farming

The USDA’s climate-focused program in agriculture is a step that could encourage farmers to mitigate carbon in their practices and achieve smart farming goals. Smart farming is a growing market that’s poised to reach $7.04 billion by 2026. It’s a data-driven and highly automated approach to raising livestock and cultivating crops.

Businesses in the agriculture sector use technology like cloud-based environmental software, sensors, and IoT technology to implement smart farming techniques. With the new financial initiative from the Federal Government, more businesses could adopt these technologies into their operations; thus vendors in farming software and IoT SaaS platforms could see increased opportunities in this niche market.

Environmental Sensors & IoT Technology

The market for environmental sensors, for instance, is already experiencing growth. Analysts from Verified Market Research expect the market to reach $1.46 billion in 2022. It will then hit $3.49 billion by 2030 at a CAGR of 10.20%.

Environmental sensors are IoT technology that farmers can use to manage fields. For instance, the sensors can collect data to monitor weather, water, soil moisture levels, and irradiation. Monitoring these values can play an important role in minimizing crop and plant diseases and damage, thereby increasing overall yield.

Moreover, sensors used together with satellite data help in livestock management. Virtual fencing, for example, allows farmers to fit collars around cattle that are programmed with exclusion zones. This makes it easier to keep track of their location.

Sensors can also provide real-time updates on livestock health so that farmers can promptly provide necessary care for the animals. By making internal processes more efficient, IoT technology like sensors lower production risks, which in turn lowers costs and enhances product quality and volume. Other examples of IoT devices used in smart farming include drones, RFID tags, wearables, and autonomous farming equipment.

Environmental Software

Environmental software is used together with IoT technologies to process data from any site, location, or source. IoT Saas platforms, for example, connect deployed sensors so that farmers or scientists can get value from collected data. These data-driven insights are extremely useful for planning and forecasting and identifying areas in production that can be improved.

In line with the climate-smart farming programs of the USDA, farmers can implement environmental software for ESG management and reporting. Environmental software can track and manage quantitative and qualitative sustainability indicators, which is vital for reporting sustainability performance across entire farming operations.

For example, using environmental software and IoT devices, companies can configure triggers based on their state regulatory thresholds. This system can automate GHG compliance tracking as well as tracking for other climate-related metrics. These include water quality, hazardous waste and pollution tracking, and soil contamination. If regulatory thresholds are breached, companies can immediately respond through inspections, audits, or operational changes. They can correct the issues before they become violations or negatively impact their production.