R&D in Agriculture involves the use of technology to enhance cultivation and farming methods and improve the efficiency, scale and sustainability of yield production and distribution.
R&D in agriculture takes place largely within the Agri-Tech sector, where technological advancements help in tackling the challenges and risks that the industry faces.
The Agri-Tech revolution has seen farmers team up with scientists, technologists, and engineers to apply the use of big data and IOT, robotics and AI, drones and other technologies to appreciably enhance methods, overcome challenges and ultimately increase yields and productivity.
The below includes only a few of the activities which are often included in R&D claims however, due to the nature of Agriculture, there are many more that can be included:
The majority of a claim will comprise costs for company staff involved with R&D, however, all materials consumed/transformed for trials that directly contribute to the R&D outcome can qualify in their entirety. This can significantly increase the tax benefit, especially in large scale projects. External laboratory and sample analysis costs relating to the R&D outcome can also be included in a claim. A typical agricultural claim might be in the region of £40,000 – £50,000.
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