Technology is a key asset for any business to be successful – and no industry is immune. Technology enables food producers to increase sales, improve quality, and gain a competitive edge on their industry. This article explores the role technology plays in the agricultural sector in Colombia.
How technology impacts the agricultural sector in Colombia
As with many other industries, the agriculture sector has recently benefited from technological advances. In particular, technology has assisted with making new agricultural products more accessible to consumers, and with lowering the costs of harvesting and transporting their products. The Colombian agricultural sector is increasingly relying on technology, including new ways of providing commodities and information to producers and consumers, and advanced means of delivering products to consumers and handling their payment. With this in mind, Colombia’s central bank estimates that increased adoption of technology will increase the sector’s gross domestic product (GDP) by 13.3% over the next decade.
What are the benefits of using technology in the Colombian agricultural sector?
Agriculture is one of Colombia’s most important industries. Despite the country’s violent past, the agricultural sector is responsible for providing a large percentage of the country’s workforce, and is key to maintaining a resilient economy. In Colombia, farms and agriculture-related businesses account for around 40% of the total GDP and more than 25% of all foreign investment in the country. The production of food accounts for more than 40% of Colombia’s export earnings. Despite Colombia’s best efforts in the last few decades to encourage farming and agriculture, the industry still struggles with a number of barriers, including lack of access to technology and the use of less efficient farming methods.
What are the challenges of using technology in the Colombian agricultural sector?
Over 90% of land is used for agricultural purposes and Colombian agriculture is the fourth largest contributor to the country’s GDP. With more than a third of the population living in rural areas, Colombian farmers account for approximately 95% of national agricultural production, representing an income of approximately $4.9 billion USD. The agricultural sector is also significantly responsible for foreign exchange earnings, exports, employment, and the capacity to provide food for the Colombian population. The agricultural sector is also a high-income activity and represents nearly half of total employment in the industry sector. In addition to agriculture, Colombia also has high activity in the pharmaceutical, automotive, mining, woodworking, and computer industry.
The role of technology in the Colombian agricultural sector is vast and ranges from simple management tools to the latest innovations, such as robotics, smart farms, and autonomous tractor systems. However, despite their benefits, technologies can also present challenges for producers and industry stakeholders. By understanding the key issues, you can take steps to ensure your business is positioned to capitalise on new opportunities and stay ahead of the competition.