STUDY: FOOD TECH INDUSTRY INVESTMENTS
Latest global developments of investments in startups in the wider Food Tech Sector
The overall interest of corporations and investors in AgTech has increased significantly which is evident from the specialized online investment market AgFunder and its AgTech investing reports. Based on these reports, the investments in this sector have tripled within the last year. The following study focuses on the advancement of startups in the food-tech sector which brings forth startling innovations and smart tech in this growing ecosystem.
The overall investment in startups in the wider Food Tech sector increased y‑o‑y: volume +65%, number of financing deals +58%.
67% of the 2015 startup financings went to digital solutions for farmers in the form of AgTech and Digital Farming solutions (2014: 44%).
The number of funding rounds increased particularly strongly in AgTech +58% with the highest avg. volumes of 10,3 mUSD. 44%).
AgTech´s +266% in investment was mainly driven by larger investments in Irrigation & Water Tech startups. Furthermore Drones & Robotics received a third of 2015 investment in this area.
In Digital Farming a major deal drove the increase in investment while the number of deals and average volume also increased. Decision support systems that harvest big data attracted 128% more funding than in 2014.
In Food Processing investments in Food Tech and Food Safety startups drove the overall increase in investment. The number of funding rounds increased by 150%.
Investment volume in Crop Science decreased due to lower overall and smaller individual investments in Crop & Soil Tech whilst investments in Biotech & Biomaterials increased, attracting higher individual funding.