Home > Updates > Technology in farming: A practical step forward
Originally published in The Profit, Sept-Nov 2025 issue | Written by Michelle Menzies
From GPS-guided tractors to AI-powered assistants, farming today looks very different from a generation ago. These advances aren’t just for large-scale operators—they’re increasingly within reach for everyday farming businesses. When the right tools are adopted, the results can be game-changing: more efficiency, less waste, and better decision-making, all adding up to stronger profitability.
As an agri-business advisor, I find it particularly rewarding to see clients embracing these technologies firsthand.
Recent insights from Andrew Laming, featured in an NZAB article, underline why this matters. He highlighted a striking productivity gap: New Zealand’s GDP per hour worked sits at USD $55, compared to USD $105 in Denmark and an OECD average of USD $90–$100.
Laming emphasised the importance of both financial and intellectual capital, as well as the potential for growth in high-value sectors such as agritech—supported by investment in research and development (R&D) and the adoption of new technologies.
At the recent Beef + Lamb Farm4Profit field day, hosted by Harry and Emily Gaddum up at Kereru, several technologies were on show—each with a clear link to improving productivity:
The field day conversations were refreshingly candid. Farmers shared real-world experiences, including the difficulty of juggling technology and manual work—like managing dogs, riding a 4-wheeler, and piloting a drone all at once.
Beyond the technologies demonstrated, uptake is also growing in areas such as virtual fencing, collar-based animal tech (e.g., Halter), robotics in milking and fruit packing/grading, and precision irrigation—all helping lift productivity.
New Zealand has a strong track record of applying R&D to improve agricultural output. Advances in animal and plant genetics, the widespread use of artificial insemination, and the sheer variety of apple cultivars now grown are just a few examples.
Ultimately, adopting new technology comes down to return on investment. While some innovation is industry-funded, many tools—like drones costing as little as $3,000—can be implemented at the farm level with relatively short payback periods. If each use saves just 1–2 labour hours (at $30/hour), breakeven could occur within 4–12 months. With solid commodity prices, favourable seasonal conditions, and the Government’s new Investment Boost (including a 20% upfront depreciation deduction), now is an ideal time for farming businesses to explore smart, practical technology investments that improve efficiency – and help close the productivity gap.
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