Published by TMR Research Insights
Posted on October 5, 2021
5 min readLast updated: January 31, 2026
The agricultural e-commerce market is set for exponential growth by 2030, driven by smallholder adoption and regional dynamics in Asia Pacific.
The need for e-commerce has increased extensively, with the increasing penetration of e-commerce and digitization mode of businesses. Agricultural e-commerce offers an important opportunity for cost reduction and demand enhancement of products. In recent years, more and more smallholders in developing countries such as China have begun to sell agri products directly to consumers via online shops from a third party trade platform.It is increasingly clear that e-commerce has become a new and effective way of helping smallholders gain access to the market. E-commerce has empowered smallholders to sell most of their products at a higher price than before because of the elimination of the price squeeze from intermediaries and the marketing constraints of information asymmetry. The adoption by small holders is driving the growth of the agricultural e-commerce market.
Global Agricultural E-commerce Market – Dynamics
Cost Competition
Competition among players operating in the agricultural sector has increased strongly in the past few years. Offline sales have increased the pressure of cost, supply chain, and intermediaries within the whole ecosystem. E-commerce is an efficient tool for micro and medium size businesses. This has helped sellers to reduce the transportation cost and also enabled access to untapped markets.
Unawareness and Poor System Infrastructure
South America and Asia Pacific which are fastest growing regions face strong technological and digital gaps within the agricultural industry. The level of awareness among farmers or small sellers and the network infrastructure to smoothly run agricultural e-commerce at remote locations is not very effective. Unawareness about agricultural e-commerce and poor network infrastructure is hampering the growth of the market.
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Asia Pacific to Dominate the Global Agricultural E-commerce Market
In terms of region, the global agricultural e-commerce market can be divided into North America, Europe, Asia Pacific, South America, and Middle East & Africa. Asia Pacific is expected to dominate the agricultural e-commerce market during the forecast period due to its strong dominance in the agricultural industry and increasing adoption of e-commerce platforms for selling agricultural products.
COVID-19 Impact on the Global Agricultural E-commerce Market
The COVID-19 pandemic is expected to moderately impact the global agricultural e-commerce market for a short-term period. The gap within the supply chain and transportation has been affected adversely due to the lockdown in almost every region. Sudden stoppage of transportation service have led to huge losses to e-commerce platforms. It is expected that COVID-9 will impact this market till the 2020 year end.
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Global Agricultural E-commerce Market – Competition Landscape
AgriBegri Trade Link Pvt Ltd
Established in 2016, MIE Soluti AgriBegri Trade Link Pvt. Ltd provides seeds, fertilizers, pesticides, plant growth regulators, and irrigation and farming tools and equipment that are required in agriculture through an e-commerce platform.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
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The article discusses the growth of the agricultural e-commerce market by 2030.
E-commerce allows smallholders to sell directly to consumers, reducing costs and increasing product demand.
Asia Pacific is expected to dominate the agricultural e-commerce market.
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