South Korea Farming as a Services Market Overview,2030

The Farming-as-a-Service (FaaS) market in South Korea has evolved from traditional smallholder farming and cooperative mechanization schemes into a digitally-enabled, service-oriented ecosystem. Historically, South Korean agriculture was dominated by small- and medium-sized family farms producing rice, vegetables, fruits, and specialty crops, with advisory support primarily provided by government extension services and cooperatives. Between 2010 and 2020, rising labor shortages, aging farm populations, and the need to improve operational efficiency and sustainability drove the adoption of precision agriculture, farm management platforms, and mechanization leasing services. Automated tractors, drone monitoring, yield mapping, and IoT-enabled soil and crop sensors began to gain traction, particularly in regions such as Jeolla, Gyeonggi, and Chungcheong, where high-value horticulture and rice production are concentrated. By 2024, FaaS providers offered integrated solutions combining farm management, production assistance, and market-access services. Government initiatives, including smart farm projects, digital advisory programs, and rural innovation grants, facilitated adoption. Sustainability, food safety, and traceability standards further encouraged data-driven farm management. Looking ahead to 2030, South Korea’s FaaS market is expected to expand steadily, driven by the integration of digital advisory, operational support, and market-access services into unified platforms. Adoption will be particularly strong in high-value horticulture, rice, and specialty crops. Strategic partnerships between AgTech providers, equipment manufacturers, and cooperatives will enable end-to-end solutions, supporting operational efficiency, compliance, and profitability. The market’s growth trajectory is reinforced by government policies promoting smart agriculture, increasing digital literacy among farmers, and modernization of rural infrastructure, positioning South Korea as a technologically advanced and sustainable FaaS market.

According to the research report South Korea Farming as a Service Market Overview, 2030,"" published by Bonafide Research, the South Korea Farming as a Service market is anticipated to grow at 17.66% CAGR from 2025 to 2030. The South Korean FaaS market is shaped by regulatory, technological, and economic factors. Demand is driven by labor shortages, aging farm populations, rising input costs, and the need to improve productivity, sustainability, and operational efficiency. Medium and large-scale farms increasingly adopt precision agriculture, automated farm management platforms, AI-driven analytics, and IoT-enabled monitoring to optimize yields and reduce resource consumption. Supply-side innovations include drone scouting, autonomous machinery, sensor networks, cloud-based farm management software, and predictive analytics, enabling real-time decision-making. Pricing models often combine Pay-per-Use mechanization services and subscription-based digital advisory solutions. Regulatory and government incentives, such as smart farm initiatives, digital agriculture programs, and subsidies for mechanization and AgTech adoption, encourage uptake. Competitive dynamics feature integrated FaaS platforms provided by machinery OEMs, AgTech startups, and cooperatives, alongside niche service providers targeting specific crop types. Risks include technology interoperability challenges, cybersecurity concerns, high initial investment, and reluctance among older farmers to adopt new solutions. Financing mechanisms, including leasing, revenue-sharing contracts, and outcome-linked payments, reduce adoption barriers. From 2024 to 2030, market growth will be driven by increased digital literacy, improved rural connectivity, and integration of operational, advisory, and market-access services. End-to-end platforms offering precision agriculture, production assistance, and market linkages will define competitive advantage, ensuring operational efficiency, regulatory compliance, and profitability in South Korea’s high-value horticulture, rice, and specialty crop sectors.

Farm Management Solutions (FMS) are a key segment of South Korea’s FaaS market, providing digital platforms for crop planning, yield forecasting, nutrient management, irrigation optimization, and regulatory compliance. Platforms integrate IoT sensors, satellite imagery, weather data, and AI analytics to offer actionable insights for both operational and strategic decision-making. Adoption is strongest in high-value horticulture, rice, and specialty crop farms, where efficiency, traceability, and quality control are critical. Production Assistance services include Pay-per-Use mechanization, drone-based spraying, robotic harvesting, autonomous machinery, and precision irrigation support. These services address labor shortages, seasonal operational peaks, and capital-intensive equipment needs, enabling farms to access advanced technology without ownership. Access to Markets solutions provide digital marketplaces, contract facilitation, logistics support, and price optimization, particularly for export-oriented vegetables, fruits, and specialty crops. Revenue models differ: FMS relies on subscription fees, Production Assistance on transactional or managed contracts, and Access-to-Market on commissions or transaction-based fees. By 2030, convergence of these three service types into integrated FaaS platforms is expected, delivering end-to-end operational, advisory, and market solutions. Specialized providers will continue serving niche segments such as organic or premium horticulture, while integrated platforms will scale adoption across smallholders and commercial farms. Integration will enhance operational efficiency, sustainability compliance, and profitability, supporting South Korea’s objectives of agricultural modernization, food safety, and global competitiveness in high-value crops.

The South Korean FaaS market employs both Pay-per-Use and Subscription delivery models to provide flexibility, affordability, and sustained service engagement. Pay-per-Use models are suitable for episodic, high-cost mechanization and operational interventions, including robotic harvesting, drone spraying, autonomous tractors, and precision fertilization. This model allows small and medium farms to access advanced technology without significant capital investment, especially during seasonal or labor-intensive periods. Subscription models are widely used for continuous services such as digital farm management, predictive analytics, remote advisory, and sustainability compliance monitoring. Recurring subscriptions provide predictable costs, ongoing data collection, and personalized guidance. Hybrid models combining subscription-based advisory platforms with Pay-per-Use mechanization services are increasingly common, aligning operational flexibility with year-round support. Financing solutions such as deferred payments, leasing schemes, and outcome-linked pricing further reduce adoption barriers for smallholders and medium-sized farms. Regulatory compliance, food safety, and sustainability reporting requirements favor subscription models, ensuring continuous monitoring and verification. From 2024 to 2030, hybrid delivery models are expected to dominate, integrating IoT, AI, and predictive analytics to enable automated billing, performance-linked payments, and real-time operational optimization. Both Pay-per-Use and Subscription approaches will remain critical to foster technology adoption, operational efficiency, and compliance. Transparent pricing, localized advisory support, and measurable ROI will be essential for long-term adoption across South Korea’s diverse agricultural regions.

Farmers are the primary end-users of FaaS in South Korea, including small, medium, and commercial farms producing rice, vegetables, fruits, and specialty crops. Adoption is driven by labor efficiency, productivity improvement, sustainability, and compliance with food safety standards. Government and public-sector bodies play a critical role, providing subsidies, smart farm initiatives, digital advisory programs, and rural infrastructure development that facilitate adoption and modernization. Corporate end-users including cooperatives, agribusinesses, exporters, and processors leverage FaaS to ensure supply-chain visibility, traceability, quality compliance, and risk mitigation. Contract-farming arrangements allow corporates to scale adoption and secure consistent production for domestic and export markets. Financial institutions, including banks, leasing companies, and insurers, increasingly use farm-generated data to assess creditworthiness, structure equipment financing, and implement performance-based insurance products. Advisory bodies including cooperatives, agronomists, research institutions, and private consultants play a key role in localizing technology, providing training, and ensuring practical adoption and compliance. From 2024 to 2030, market growth will be driven by public-private partnerships, corporate-led initiatives, and finance-enabled adoption, with farmers remaining central to uptake. Transparency, measurable ROI, and localized advisory support will be essential for long-term success. Integrated FaaS platforms providing operational execution, advisory services, and market-access support will enhance technological adoption, productivity, and sustainability compliance across South Korea’s agriculture, particularly for high-value horticulture, rice, and specialty crops.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Farming as a Services Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Farm Management Solutions
• Production Assistance
• Access to Markets

By Delivery Model
• Pay per use
• Subscription

By End-use
• Farmers
• Government
• Corporate
• Financial Institutions
• Advisory Bodies Show more