Indonesia Agriculture Drones Market - Strategic Insights and Forecasts (2026-2031)

The government in Indonesia has been driving the integration of drone technology by creating appropriate measures like policies and programs to support agricultural transformation. In this regard, for example, in October 2025, the Indonesian Ministry of Industry (Kemenperin) conducted an agricultural drone innovation workshop, in collaboration with its Director General for ILMATE and Indonesia Manufacturing Center (IMC), at Purwakarta, West Java. The workshop aimed at developing agricultural drone technology from a conventional spraying method to a smart agricultural tool with sensor and AI capabilities to address agricultural productivity. Government officials, associations, and other stakeholders in Indonesia converged to demonstrate the agricultural technology using drones for enhancing agricultural productivity.

Further, Kemenperin also highlighted the importance of improving the local content (TKDN) of the production of drones to rely less on imported materials and to support those projects that could improve the local innovation and competitiveness, so that the result would help to have a modern and productive agricultural sector that is more sustainable and collaborative among stakeholders.

The growing requirement for precise farming is a major catalyst for the agricultural drones in Indonesia. These drones offer real-time data collection, improve crop management, and assist in yield estimation. This technology helps meet the rising food demand driven by Indonesia’s growing population. According to the UN World Population Prospects 2025 revision, the country's population grew from 283.488 million in 2024 to 285.721 million in 2025.

Additionally, with the growing improvement in drone technology, such as higher payload capacities, longer battery life, and integration of AI and machine learning technology to make them more versatile and reliable in agricultural applications, this will also promote market expansion. Local companies are innovating drone technology and the rise in partnership with global players such as Terra Drone to address the country’s needs, such as labor shortage or tropical weather patterns.

For instance, in September 2025, Indonesia began supplying XAG P100 Pro agriculture drones to Sang Hyang Seri (SHS), a state-owned rice producer, for improving rice production while addressing the labor shortage and food security concerns in the country. In early 2025, SHS trialled autonomous drones across their 15-hectare paddy field in support of PT Blessed Bentara Agri Indonesia. The drone utilizes advanced features like spraying and spreading solutions to enhance precision in fertilizer and pesticide spraying and seed distribution.

Market Dynamics

Market Drivers

The growing requirement for precision agriculture, coupled with enhanced productivity in the country, is a major driver for the growth in the agriculture drone market. With the rise in the country’s farming industry, significant challenges have emerged. These include climate variability, along with the requirement for boosting food production to accommodate the increasing population. As a result, drones are becoming a transformative tool for agriculture.

The country's crop demand is growing, particularly for staple crops like rice, as well as high-demand crops like palm oil and corn. With the rise in imports and consumption of these, the crop production is expected to grow. This necessitates the adoption of advanced agricultural technologies, like drones, to enhance production efficiency and crop yields. According to the U.S. Department of Agriculture (USDA), the production of rice accounted for 33,600 thousand tons in 2025/2026, while palm oil production in the country was 46,700 thousand tons in the same year, representing a 7% rise in 2025/2026. Meanwhile, corn and peanut production was 13,000 thousand tons and 810 thousand tons, respectively, along with soybean production at 320 thousand tons in 2025/2026.

For instance, in August 2025 , Terra Drone Corporation announced a sales partnership with PT Yanmar Diesel Indonesia to allocate it as Terra Drone's in-house developed agricultural drone official distributor across Indonesia. It is focused on boosting the adoption of their drones in the field crops, including paddy rice. Yanmer is increasing its local network, with a focus on collaboration to fuel the drone usage, such as crop spraying, precision seeding, among palm oil and rice cultivation. It aims to assist farmers in enhancing productivity and sustainability.

Market Segmentation

By Application: Crop Spraying

Based on application, the Indonesian agriculture drone market is divided into field mapping & surveying, crop spraying, crop scouting, and others. The integration of modern tools in farming practices is gaining traction in Indonesia, fuelled by the growing emphasis on precision farming, followed by ongoing investment to bolster overall agricultural productivity. Additionally, the growing labor shortage issue has also increased the sector transition toward a capital-intensive approach, providing a new scope to bolster drone adoption in the Indonesian agriculture sector.

With high-cost utilities offered by drones, their usage for varied agricultural applications, including crop spraying, is picking up pace. With favourable government initiatives undertaken to promote smart irrigation, the investment in drone solutions for crop spraying is expected to progress. For instance, the “SERASI” program launched by the Ministry of Agriculture aims to bolster farmers' productivity in swamp areas while also focusing on environmental conservation by shifting from traditional methods to modern practices.

Furthermore, various market players investing in the Indonesian market are emphasising providing an extensive portfolio that meets the required agricultural criteria. For instance, XAG Co., Ltd offers “P150 Max Agriculture Drone” and “P60 Agriculture Drone”, providing an effective spray width of 5-10 meters and are ideal for promoting a smart agriculture ecosystem. Recently, the company had also showcased collaboration with local farming companies. For instance, since early 2025, XAG Co., Ltd has been providing its “P100 Pro” drones to Sang Hyang Seri (SHS), which the latter has deployed to exercise autonomous spraying in its rice-paddy.

The regulatory pressure to outline investment and promote the usage of innovation in the agricultural sector has provided a major push to the overall market growth. With the growing food security, followed by efforts to minimize soil erosion and environmental damage through heavy pesticide usage, farmers’ focus towards smart irrigation is gaining traction. The well-established presence of fertilizer spraying service providers, namely Terra Drone, actively participating in adopting UAVs for crop monitoring, has further paved the way for future market expansion.