Costa Rican startup transforming agriculture through remote monitoring technology

Agriculture is a key economic sector in Latin America and the Caribbean, accounting for almost 7% of the region’ s GDP. And the industry has great potential thanks to its rich agricultural diversity, with crops such as coffee, corn, pineapple, bananas, soybeans, cocoa and many others.

Although the agricultural technology ecosystem in Latin America is in a stage of growth and transformation, it also faces significant challenges. The adoption of advanced technologies is still uneven and feels limited, especially in rural areas, where small and medium-sized farmers predominate.

The efforts of different countries in the region to promote the environmental sustainability of the sector through policies for the adoption of sustainable practices and technologies have been fundamental for entrepreneurs to find solutions to the different problems in the agricultural technology industry.

To solve many of the obstacles in terms of technology applied to agriculture, Green Xpo Lab, a Costa Rican startup dedicated to transforming agriculture through remote monitoring technology, using drones and satellite images, was born in 2022.

The startup provides innovative solutions that enable food producers to make informed and sustainable decisions, optimizing their crops and increasing their profitability. Its main focus lies in empowering farmers with advanced tools to improve efficiency and sustainability in their production processes.

“We address several critical issues in the region through innovative solutions. First, we provide accurate information on the measurement of productive areas and the quantification of forested areas, which is fundamental to prevent deforestation and promote sustainable practices,” Carlos Saito, CEO and founder of Green Xpo Lab, told Contxto.

The Costa Rican agtech also performs plant counts to verify planting density, helping to avoid overpopulation and inefficient use of agro-inputs, thus democratizing the digital tools that farmers need to improve the profitability and sustainability of their crops.

Agricultural technology infrastructure in Latin America

For agricultural technology to be well implemented in the region, there must be adequate infrastructure that allows deployment in different areas of LatAm. According to a UN report, in order to establish a minimum rural infrastructure proposal for the development of rural areas in Latin America and the Caribbean, planning and investment prioritization tools are needed, with a broader view of family and territorial dynamics.

The particular characteristics of rural areas introduce different development conditions. They require investments in connectivity whose costs per inhabitant are high, since in general all “networked” services (electricity, water and sewage), which are valued by the scale of care, tend to have higher costs in rural areas.

“It is essential that investments be made in infrastructure, training and public policies that facilitate the adoption of these technologies. Central America has a great opportunity to take advantage of technology and improve the productivity and sustainability of its agricultural systems,” says Saito. “For this to happen, it is necessary to strengthen collaboration between the public and private sectors, ensuring that the benefits of technology reach all farmers in the region,” he adds.

Types of technology implemented by Green Xpo Lab

The startup uses remote monitoring technology to obtain detailed information from the field, focusing on RGB and multispectral images captured by drones. These images are crucial to develop tools that implement artificial intelligence models, allowing them to automate data analysis and provide accurate and reliable information to producers.

In addition to incorporating big data and deep learning tools into their systems, which further enriches their analysis; they also work with Geographic Information Systems (GIS) tools to manage spatial data. This makes it possible to visualize the results of the analyses in a clear and understandable way, thus facilitating informed decision making.

Integrating these technologies not only optimizes data collection, but also improves the accuracy and usefulness of the information they provide to farmers, helping them to manage their crops more efficiently.

Learning from global markets

North America and the European Union are among the regions leading the agricultural technology industry, improving efficiency, effectiveness, sustainability and competitiveness across the sector.

The European Commission’s policy guidelines for 2024-2029 prioritize support for the entire food value chain through investment and innovation in farms, cooperatives, agribusinesses and SMEs. These types of policies should be implemented in the LatAm region in order to strengthen the industry and provide greater opportunities for both entrepreneurs and farmers.

“In more advanced markets, one of the great successes has been the creation of collaborative ecosystems where farmers, technology startups, academic institutions, private companies and governments work together,” says Saito. “For example, in countries like the United States, there are agricultural innovation centers where all these actors come together to develop and test new technologies, sharing knowledge and resources. In LATAM, we have the opportunity to replicate this approach, creating local collaborative networks that include universities, research centers, governments and technology companies. These networks could focus on developing solutions tailored to local realities, as well as fostering platforms for sharing data and learning among all those involved.”

In Europe, public policies have been key to the mass adoption of agricultural technology. Through subsidy programs, tax incentives and credits, farmers, especially the smallest ones, have had the opportunity to access technological tools without an overwhelming financial burden.

This type of proposal could be implemented in LATAM, developing public policies that encourage the adoption of agricultural technologies, in addition to managing subsidies for the purchase of equipment, low-interest loans for farmers who are committed to innovation and programs that support small and medium-sized agricultural enterprises in their modernization, among others.

“In many international markets, agricultural technologies are being offered under ‘AGTECH as a Service’ models, where farmers do not need to make large upfront investments, but pay only for the use of the technology. This includes drone services, data analysis and monitoring software, allowing farmers to access advanced technology in an affordable way. In LATAM, we could replicate this model, offering small and medium-sized farmers the possibility of paying for specific services, thus eliminating high barriers to entry and facilitating the adoption of these tools,” concludes Saito.

Sustainability and climate change are themes that are increasingly resonating in the agricultural sector. Demand for agricultural practices that consider soil regeneration and carbon quantification is on the rise. Companies that integrate these practices into their services will be in an advantageous position, as international markets are increasingly looking for products that are environmentally friendly and responsible.

Improved technology infrastructure is critical. As digital connectivity advances in rural areas, more farmers will have the opportunity to adopt precision farming solutions. This will not only benefit individual farmers, but will also boost the region’s competitiveness in global markets, creating a brighter and more sustainable future for all.