The Future of Agro-Business

How AI, Tech and Innovation are Revolutionizing Agropreneurship

Published Date: April 30, 2025, Updated Date: December 2, 2025

Abstract

Technology has revolutionized the entire gamut of economic activities. Emerging technologies like artificial intelligence (AI) and the Internet of Things (IoT) are creating a shift from traditional methods to data-driven methods that are transforming agriculture and entrepreneurship in the global arena. This paper analyses how embracing the modernized data-driven methods and sustainable practices of farming enables improvised and sustainable output and how the government has put down efforts in supporting these initiatives through better infrastructure, training programs, and financial support. The study elaborates on select cases of startups that have advanced agribusinesses and revolutionized agropreneurship in order to comprehend the ways by which it can be extended to benefit regional efforts, especially in states like Assam.

Keywords: Artificial Intelligence, Innovation, Technology, Agriculture, Assam

Introduction

            The agriculture sector contributes a significant share of the World economy and in more than nine countries agronomy is the leading segment. Population is rising immensely therefore quality and quantity of food demand increases enormously. The agriculture segment provides employment prospects to a large population as well. Traditional farming practices are not competent to fulfill this enlarged demand. Technologies like Artificial Intelligence (AI) and the Internet of Things (IoT) are converting traditional farming into smart agriculture by optimizing resources, reducing human labor, monitoring crops, crop disease management, irrigation, harvesting, and supply chain management. These technologies have demonstrated their effectiveness in protecting crops from the impacts of climate change and in mitigating the overuse of fertilizers, pesticides, herbicides, and water, thereby promoting soil health and sustainability [1].

            The growth of the global population, which is projected to reach 10 billion by 2050, is placing significant pressure on the agricultural sector to increase crop production and maximize yields. To address food shortages, two potential approaches have emerged: expanding land use and adopting large-scale farming or embracing innovative practices and leveraging technological advancements to enhance productivity on existing farmland. Pushed by many obstacles to achieving desired farming productivity, limited land holdings, labor shortages, climate change, environmental issues, and diminishing soil fertility, to name a few, the modern agricultural landscape is evolving, branching out in various innovative directions. Farming has certainly come a long way since hand plows or horse-drawn machinery. Each season brings new technologies designed to improve efficiency and capitalize on the harvest. However, both individual farmers and global agribusinesses often miss out on the opportunities that artificial intelligence in agriculture can often to their farming methods.

The present study uses the diffusion of innovation theory of artificial intelligence in agriculture business which is a hypothesis outlining how new technological and other advancements spread throughout societies and cultures, from introduction to widespread adoption. This theory seeks to explain how and why new ideas and practices are adopted, including why the adoption of new ideas can be spread out over long periods. The way in which innovation are communicated to different parts of society and the subjective opinions associated with the innovations are important factors in how quickly diffusion spreading- occurs. This theory is frequently referred to when companies are developing a marketing strategy for new products and developing market share. The main players in the theory are innovators, early adopters, early majority, late majority, and laggards, and can also be used in areas such as public health to encourage populations to adopt new, healthy behaviors [2]. This paper uses this theory with the following selected case scenarios.

Case 1: CropIn, Providing smart agricultural solutions

Krishna Kumar and Kunal Prasad started this initiative in 2010, with a mission to make agriculture more predictable, traceable, and sustainable through their digital innovation by collaborating with agribusinesses and government. Their mission was to make every farm “predictable, traceable, and sustainable” by integrating satellite imagery, weather data, and agronomic science into a single unified platform [3]. Their SmartFarm (later rebranded as CropIn Grow), allowed agribusinesses and governments to geotag fields, digitize records, and monitor crop performance in real time, creating a foundation to become the world’s first agriculture industry cloud. They did the following key innovations:

(i)     CropIn Cloud:  It is the world’s first industry cloud for agriculture which was launched in 2022. CropIn Cloud is an AI-powered platform which was created to digitize and optimize the entirety of agricultural value chain. It has integrated the applications for farm digitization, machine learning models for predictive analytics, and a data hub that consolidates information from various sources such as IoT devices, drones, and satellite imagery [4].

(ii)  AI Labs: CropIn’s AI Labs acts as a predictive intelligence for global agriculture and was established in 2022. It focuses on developing AI models that analyzes data from various sources, including weather patterns, soil conditions, and farming practices to assist in forecasting crop yields, detecting pests and diseases, and optimizing resource usage to promote a sustainable and efficient farming [5].

Impact

According to a Forrester Total Economic Impact study, CropIn Cloud has led to a 90% improvement in data collection efficiency during crop stage evaluations and a reduction in profit losses through enhanced supply and demand forecasting [6]. As of 2025, the lab has computed over 1.2 billion acres of cultivable land across continents which includes North America, Europe, Asia Pacific, Latin America, and Africa, and covering around 32 crops in around 13 countries. This extensive data aggregation has enabled the development of predictive models that forecast crop yields, pest infestations, and disease outbreaks, allowing its users for proactive interventions and optimized resource utilization. The implementation of these models will a reduce food losses down to 35%, contributing to enhanced food security and sustainability in the $3 trillion food production value chain.

Case 2: Fasal, Empowering Farmers with IoT and AI

Ananda Verma and Shailendra Tiwari started this initiative in 2018, with a mission to transform precision horticulture in India through AI and IoT-based solutions that empower farmers with real-time, data-driven insights. Operating across 13 states and over 75,000 acres, Fasal aims to shift farming from intuition-based practices to smart, sustainable methods using digital innovation. Their platform integrates on-field IoT hardware with intelligent software, helping farmers make informed decisions and optimize resources. They made the following key innovations:

(i)     Fasal Kranti: Fasal’s patented IoT device, Fasal Kranti, is a solar-powered, plug-and-play solution that includes 12 advanced sensors to monitor critical parameters such as soil moisture, air and soil temperature, humidity, leaf wetness, wind speed, and solar intensity. Designed for rapid deployment, the device works seamlessly with an AI-powered backend to provide real-time, crop-specific advisories through the Fasal mobile application, enabling farmers to act swiftly and efficiently.

(ii)  μClimate: Fasal’s μClimate is an AI-based model offering hyperlocal, 14-day weather forecasts tailored to individual farms. It also includes a dynamic pest and disease prediction system built on over 50 crop-specific models, helping farmers take preventive measures and reduce unnecessary pesticide usage. Additionally, their precision irrigation management system uses real-time soil moisture and crop-stage data to optimize water usage and promote sustainable water management [7].

Impact

            In Assam, particularly in the Kamrup district’s Gosaihat village near the Maliata reserve of the Palashbari Range Forest, Fasal deployed its solar-powered IoT device, Fasal Kranti, to monitor essential agricultural parameters and provide live, actionable insights via mobile notifications [8].

Throughout India, Fasal has extended its services to over 75,000 acres, positively impacting the lives of more than 60,000 farmers. The platform has contributed to reducing water consumption by approximately 82.8 billion liters, decreasing pesticide application by up to 60%, and enhancing crop yields by up to 40% [9][10]. These advancements underline Fasal’s contribution towards sustainable agriculture and resource optimization in India’s $500 billion agriculture sector.

Case 3: Assam Agribusiness and Rural Transformation Project (APART)

The Assam Agribusiness and Rural Transformation Project (APART) was launched by the Government of Assam in 2017, with an objective to improve selected agricultural value chains, with a special focus on small farmers and agro-entrepreneurs. The project is implemented by the Assam Rural Infrastructure and Agricultural Services (ARIAS) Society in partnership with various state government departments. Initially, APART was rolled out in five key districts: Lakhimpur, Kamrup, Sibsagar, Jorhat, and Sonitpur.

The project’s strategy revolves around transforming the agricultural sector by improving production, post-harvest processes, and infrastructure to stimulate agribusiness investments. APART promotes inclusive business models that link small farmers to markets which fosters the growth of small and medium agro-enterprises by strengthening institutional frameworks to support private sector participation. Through a cluster-based approach, the project generates economies of scale, which ensures more coordinated and targeted interventions. To further drive investment, APART strengthened the Assam Bureau of Investment Promotion (ABIP) by establishing the Enterprise Development and Promotion Facility (EDPF) for the agro-processing MSME sector, and introducing an Agribusiness SME Fund to provide risk capital to emerging entrepreneurs. A key component of the project is the creation of a modern, market-oriented agricultural supply chain that incorporates advanced processing infrastructure, upgraded logistics, and climate-resilient farming practices. Initiatives like smart climate diversification, Common Service Centres (CSCs), Market Intelligence Cell, and the piloting of electronic Negotiable Warehouse Receipts (eNWRs) are providing farmers access to timely market information, post-harvest credit, and tools to reduce distress in sales, thus improving robustness and long-term sustainability [11][12].

Impact

APART’s initiatives have significantly improved the livelihoods of farmers and rural entrepreneurs in Assam. Its value chain-focused approach has strengthened against climate risks and created several business opportunities. To this date, the project has developed and supported 35 production and processing clusters which directly benefitted around 17,000 individuals, and out of these, approximately 10,000 beneficiaries are involved in the Sericulture sector, particularly focusing on indigenous silk varieties like Muga and Eri, while 7,000 are part of the Handloom sector [13]. By enhancing infrastructure, improving institutional capacity, and boosting access to finance and markets, APART continues to play a critical role in rural transformation and agribusiness development in Assam.

Government and Private initiatives in Assam

A joint effort between government agencies and private organizations is driving a major technological transformation in Assam’s agriculture. The Government of Assam, KVK Kamrup, Amtron, ICAR, and IIT-Guwahati are working together to modernize traditional farming methods through the adoption of drone-based solutions which aims at improving efficiency, reducing costs, and promoting sustainability.

In Assam, where agriculture remains central to the economy, KVK Kamrup has taken the lead by conducting over 150 drone demonstrations across more than 40 hectares, focusing on crops such as paddy, mustard, and vegetables, while also introducing nano urea spraying in double-cropped paddy fields [14][15][16][17]. With five Agribot spray drones and a DGCA license, it plans to scale up to 250 demonstrations within the year to expand farmer training and adoption.

On the private sector side, Amtron, in partnership with Edurade Drone School, has established Northeast India’s first DGCA-certified Remote Pilot Training Organization (RPTO) in Guwahati which is offering hands-on agricultural drone training. To support these efforts, IIT-Guwahati is contributing through joint research and development [18]. Institutions like ICAR and Assam Agricultural University (AAU), Jorhat, have also deployed drones equipped with multispectral sensors for precise crop health monitoring and enhanced farming strategies [19].

The impact of these initiatives is reflected in reduced fertilizer and pesticide usage which is lowering cultivation costs, and faster spraying operations. Improved winter paddy harvests and new entrepreneurial opportunities in drone services are making agriculture more attractive to Assam’s youth [16]. With proper coordination between the efforts of the public and private sectors, Assam is steadily emerging as a model for sustainable, tech-driven agriculture in India.

Findings and Discussions

The selected startups CropIn and Fasal along with state-backed initiatives like APART and drone usage across various parts in Assam, demonstrate how technological innovation is reshaping agriculture at various levels. CropIn uses AI and data analytics on a global scale to improve decision-making and reduce food losses while Fasal empowers Indian farmers with real-time insights through IoT devices and AI-driven models. These technologies have led to increases in yields, reducing input costs, and making efficient use of resources.

In Assam, APART has driven agro-based transformation by supporting small farmers, MSMEs, and value chain development across five districts (Lakhimpur, Kamrup, Sibsagar, Jorhat, Sonitpur). Adoption of drone technology in Assam has further modernized the farming practices by enabling precise spraying, crop monitoring, and youth-driven agropreneurship in Kamrup and Guwahati.

A side-by-side overview of these case studies is provided below:

 

These innovations show the growing impact of technology in making agriculture more sustainable, efficient, and inclusive. Yet, challenges such as digital knowledge, affordability of tools, and technical awareness are still needed to ensure that the benefits of these advancements reach small and marginal farmers effectively.

Conclusion

The integration of artificial intelligence, IoT, and other emerging technologies has not just modernized agriculture but it is also redefining agropreneurship. The innovations done by startups like CropIn and Fasal along with regional initiatives like APART by the Assam government and drone tech initiatives done by several institutions in Assam, are making farming more and more predictable, sustainable, and profitable. They empower both large-scale agrarian businesses and as well as individual farmers by improving their decision-making, optimizing their resources, and improving crop quality.

Assam has a unique agrarian potential as it is witnessing a gradual transformation through state-backed projects like APART and drone usage initiatives done by several public-private institutions. If scaled and supported properly, such initiatives could position Assam as a role model for tech-enabled agrarian development in India. But it is also crucial to ensure a wider diffusion of innovations by investing in infrastructure and digital literacy, along with collaborative platforms that connect farmers, technologists, and policymakers.

References

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2.      Halton, C. (2023, December 14). Diffusion of Innovations Theory: Definition and Examples. Investopedia.

3.      Dr. Jeevanandam N. (2024, December 18). India’s AI-driven agricultural growth: The future of Indian agriculture. IndiaAI.

4.      Cropin Technology Solutions. (2022, June 09). Cropin launches the world’s first purpose-built industry cloud for agriculture - Cropin Cloud [Press release].

5.      Cropin Technology Solutions. (2022, Octuber 06). Cropin launches AI Labs; to bring predictive intelligence to every acre of the world’s cultivable land [Press release].

6.      Forrester. (2024, December). The Total Economic Impact™ Of Cropin Technology Solutions.

7.      Wangchuk, R. N. (2020, December 3). Installing in 5 Mins, Bengaluru Firm’s Tech Helps Save 3 Billion Litres of Water. The Better India.

8.      Pratidin Bureau. (2024, August 30). Assam Farmers Install Solar Fence to Safeguard Crops and Coexist with Elephants. Pratidin Time.

9.      British International Investment. (2023, December 22). British International Investment supports tech-enabled solutions for horticulture farmers in India through Fasal’s INR 100 Crores Series-A funding round.

10.  Kapoor, P. (2023, December 22). Agritech Startup Fasal Raises INR 100 Crores in Series A Funding. Entrepreneur India.

11.  Assam Agribusiness and Rural Transformation Project (APART) | Directorate of Handloom & Textiles | Government of Assam, India.

12.  Development Projects : Assam Agribusiness and Rural Transformation Project - P155617. (n.d.). World Bank.

13.  ARIAS  Society. (2021, December 01). ACFIFA Operations Manual. Assam Rural Infrastructure and Agricultural Services Society, Government of Assam. 

14.  Bordoloi P. (2023, August 22). Agricultural drones in Northeast India. The Sentinel Assam.

15.  Guwahati Plus. (2023, September 05). Assam embraces Drone-Powered modern agricultural technology.

16.  Kalita, K. (2024, September 11). Youths leverage drone tech for winter paddy harvest. The Times of India.

17.  Drone News. (2024, September 15). Harnessing Drone Technology: A New Era in Agriculture for Assam’s Youth & Farmers [Online forum post]. Linkedin.

18.  Indian Institute of Technology Guwahati. (2023, January 19). IIT Guwahati signs MoU with Industry Partners to foster Drone Technology in Northeast India [Press release].

19.  Assam Agricultural University. (2024). Directorate of Research (Agriculture). Retrieved April 25, 2025, from