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  • To Be Published : Nov 2023
  • Code : CMI2116
  • Pages : N/A
  • Formats :
      Excel and PDF
  • Industry : Agrochemicals

E-commerce of agricultural products are gaining significant traction recently due to easy accessibility. There are various products available on the e-commerce websites from seeds to heavy machinery. Development of information technology is helping farmers in growth of their agricultural business. Evolution of e-commerce platforms has reduced the costs of input and helps farmers to explore new products in the agriculture sector. Development of e-commerce websites has potential to boost five main sectors, which include agricultural input providers, agricultural producers, food manufacturing, agricultural and food wholesalers, food retailers and consumers.

Market Dynamics

  • Easy accessibility of raw materials and, inputs and advanced technology for to grow crops are the key factor driving growth of the global e-commerce of agricultural products market. E-commerce platform offers advantages for agricultural products such as availability of different types of seeds & tools, comparison of quality and prices, and descriptive analysis of products. The person doesn’t have to be physically present to gather the information like in traditional practices. Farmers can sell their products on these websites without having any interference of middlemen. To decrease the input or any other cost farmers and consumers prefer to directly purchase from these e-commerce websites. According to United States Department of Agriculture (USDA) in a report on Indian Mobile and E-commerce Grocery Retail, internet users in tier 2 and tier 3 cities has grown from 4.7% in 2013, to 7% in 2014.
  • Rollout of new schemes and applications by governments may increase the demand for e-commerce platforms for agricultural products, which is expected to fuel growth of the global e-commerce of agricultural products market. Government of India has launched many apps and schemes to support the farmers such as kisan suvidha, IFFCO kisan agriculture, Pusa krishi, etc.
  • However, lack of awareness and non-availability of internet in rural area are restraining growth of the market. Agriculture is the primary employer in rural areas and according to World Bank statistics 45% of world’s population lives in rural areas and only 26% of global population is employed in agriculture.    

Market Outlook

  • Among the product type, manure and fertilizer segment accounted for the highest market share in the e-commerce of agricultural products market in 2017, owing to its high adoption among farmers and agricultural companies due to low adulteration in manure, which it helps in growth of the crops and home delivery of product.
  • Among applications, harvesting segment dominated in the market in 2017. Harvesting is the period when crops are ready to cut from the agricultural land. Mostly farmers use light and heavy weight machinery to harvest the entire crop, as it saves time, energy, and money. Ploughing, irrigation, and sowing does not require heavy use of machinery and these activities can be performed with light weight machinery or manually. The segment is projected to have dominant position in the market over the forecast period.
  • North America held highest market share in the global commerce of agricultural products market in 2017. The region is projected to maintain its dominance over the forecast period, owing use of modern tools in agriculture, high literacy rate, advanced e-commerce platforms, and capital intensive harvesting. According to the US Department of Agriculture, farmers in United States use technology robots, temperature and moisture sensors, aerial images, and GPS technology, which provide precise information about the weather and environment.
  • Asia Pacific is projected to be the fastest growing region in the market over the forecast period, owing to key factors such as increased acceptance of technology by farmers, decreasing input costs, and prevalence of capital intensive agriculture. Indian government has taken out various digital and technological applications and services to help the Indian farmers. Government is also providing subsidiaries for purchasing various agricultural machinery such as Tractor, sprinkler, plant protection equipment.                           

Key players in Global E-commerce of Agricultural Products Market

  • Key players operating in the global e-commerce of agricultural products market include Alibaba Group, JD, Yihaodian, Womai, Sfbest, benlai and tootoo.

Key Developments

  • Key players are adopting new product launches, merger and acquisition in order to expands its product portfolio in the global -commerce of Agricultural Products Market. For instance, In July 2019, Bank of Baroda plans to launch an online platform to its customers which offering banking services and farm-related products online across India. With this strategies the company focuses on creating a marketplace to fulfil services relating to different segments of customers daily needs and lifestyle needs.
  • In January 2020, Perdue Farms launches its new direct-to-consumer e-commerce website in this year. The new website will offer a selection of its product portfolio of brands include meat, produce and dairy products for sale directly to consumers through With this strategy company wants to strengthen its market position in the global e-commerce of agricultural products market.

Market Taxonomy

On the basis of product type, the global e-commerce of agricultural products market is segmented into:

  • Manure and Fertilizer
  • Seeds
  • Light Tools
  • Heavy Tools

On the basis of application, the global e-commerce of agricultural products market is segmented into:

  • Harvesting
  • Ploughing
  • Irrigation
  • Sowing

On the basis of region, the global agricultural baler market is segmented into:

  • North America
    • U.S.
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Rest of South America
  • Europe
    • U.K.
    • Germany
    • Italy
    • Spain
    • France
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • South Korea
    • ASEAN
    • Australia
    • Rest of Asia Pacific
  • Middle East & Africa

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