Major trends in agtech for 2018

The disruption over the last decade in the retail food value chain gained momentum in 2017 with the IPO of Blue Apron, and acquisitions such as Bai Brands, Sir Kensington Condiments and Whole Foods by Amazon. This wave of disruption is being paralleled in the agricultural value chain, driven by increasing land turnover and altered land use, renewed focus on sustainability and changing consumer preference.

Non-traditional entrants will also continue to move into the sector through partnerships and as potential acquirers. Many of these are technology giants targeting core competencies — Google on data, Amazon on the food supply chain and Facebook on connecting and selling to farmers. In fact, the venture capital funds connected with these groups are already playing in the sector. They are backers of two of the most successful financings of 2017, which both raised more than $200 million: Jeff Bezos’ Expedition Fund in Plenty, and Google Ventures in Farmers Business Network.