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DIGITAL TECHNOLOGY
Digital Transformation in Agriculture: Making Farming Efficient, Precise & Productive
By Dr Imran Ali
Amid the rising uncertainty and volatility in agriculture, there probably is no better way for farming systems to survive and thrive than digital transformation – all important data at the farmer’s fingertips 24/7.
tion compared to others that do not. We find that the per- formance and profitability sig- nificantly outweigh the costs incurred by digital transform- ation. Digital transformation substantially reduces labour dependency, input waste and the cost of doing business. The digitally connected farmers can receive real-time informa- tion on food demand, market dynamics and changing con- sumer preferences, lowering information asymmetries and transaction costs. The digital transformation thus revolu- tionises the farming systems in ways not previously seen. The following section sheds some light on the most popu- lar digital technologies, and how they work to boost the efficiency, productivity, trans- parency, and profitability of farming systems.
shelves were seen in some supermarkets while, at the same time, surplus produce had to be dumped on farms. The country’s state govern- ments’ health measures ex- acerbated the issues of labour shortage and excessive delays in farm operations. In the wake of these chal- lenges, digital transforma- tion – integration of digital technologies in business operations – was catapulted to the top of discussion to re- invigorate the current farm- ing systems to prepare them for similar unforeseen events. Our research at CQUniversity examines the impact of digital transformation on agricultural operations. The analysis un- covers a significant difference in operational efficiency and productivity among the firms that adopt digital transforma-
The global population is esti- mated to reach 9.7 billion by 2050, implying that agrifood demand will continue to rise worldwide in the coming dec- ades. Specifically, a surge in the middle-class population among our neighbours in Asia bolsters the prospects for con- siderable growth in Australian food export. Meanwhile, our farmers continue confronting formidable challenges, such as increasing cost of labour, unavailability of skilled work- force, reduction in water availability, more frequent ex- treme weather events due to changing climate conditions, and fragmented value chains with asymmetric patterns of information sharing between trading partners. The COVID- 19 pandemic has witnessed the weakness of traditional farming systems where empty
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