Market Trends of Latin America Small Uav Industry
This section covers the major market trends shaping the Latin America Small UAV Market according to our research experts:
Civil and Commercial Sector Projected to Register the Highest CAGR during the Forecast Period
The use of small UAVs in Latin America is constantly increasing in the civil and commercial sectors. Small UAVs are being widely adopted for monitoring applications, like mining, agriculture, engineering, and construction, in various regions. Small UAVs have a bright future in Latin America with other potential applications, including shipping, transportation, and security. Also, with a large forest base and uninhabited lands in the region, it becomes imperative for the forest officials and government authorities to possess the capability to survey the vast lands. This led to an increase in demand from the respective organizations for small UAVs to be used for these applications. Furthermore, the immense size of the amazon rainforest that covers much of northwestern Brazil and extends into Colombia, Peru, and other Latin American countries, together with its damp nature, makes it difficult for any human intervention. As a result, the forest is being surveyed and looked after by private companies. Since 2020, drones have been used by indigenous tribes to detect and fight illegal deforestation in their territory, thereby protecting the Amazon rainforest. Farming has been another application that is witnessing an increased adoption of UAVs. Small UAVs are working together with local business owners to introduce farming UAVs for aerial seeding. For instance, in Dec 2021, government and agricultural research institutes began utilizing drones to drop seeds in Chile's Highland Farms for agricultural purposes. Such developments are expected to drive the segment's growth during the forecast period.
Brazil, the Largest Market for Drones in 2021
Brazil has been the largest user of drones in farming and agricultural activities. The country also has established developers of unmanned aerial vehicles used for agriculture, forest, and urban center mapping. A Brazilian drone manufacturer Xmobots, in December 2021, announced that the company aims to become a global pioneer in the use of drones in the sugarcane and cotton industry. Starting in 2022, the company aims to increase exports that now reach multiple countries. Furthermore, the increasing government operations against narcotics in the region have increased the demand for surveillance drones. As a result, there has been a constant rise in the number of UAVs or small drones being utilized for various purposes in the country. For instance, the number of officially registered drones in Brazil was valued at about 30 thousand units in 2017. This increased to more than 90 thousand units as of February 2022. The use of small UAVs is also increasing in the military, as the country is slowly trying to enhance its autonomous capabilities. In March 2022, the Brazilian army received the Nauru 1000C UAVs. These UAVs were ordered for intelligence, surveillance, target acquisition, and reconnaissance (ISTAR) missions. These new drones are expected to improve the army's effectiveness significantly. Thus, the ongoing developments in UAV technologies are expected to help the country dominate the Latin American small UAV market in the years to come.
