Algeria’s agricultural sector faces desertification and land loss, a trend highlighted in a recent Farmonaut report. The India-based agri-tech firm’s October 2025 analysis compares North African and global farming challenges, focusing on how Algeria can adapt.
According to Farmonaut, Algeria loses about 50,000 hectares of arable land annually to desertification. Rising temperatures and erratic rainfall shrink usable soil, pushing farmers toward lower-value crops. The report cites Algeria’s wheat imports rising to 5.2 million tonnes in 2024, up from 4.5 million tonnes in 2020, underscoring the strain on local production.
Farmonaut identifies satellite-based soil monitoring as a key tool to slow land degradation. High-resolution imagery tracks moisture levels and salinity, allowing farmers to adjust irrigation and reduce waste. The report notes Algeria’s 2023 launch of the National Soil Health Program, which aims to map 12 million hectares by 2027—an effort that could unlock data for 3,000 cooperatives nationwide.
For entrepreneurs, the figures present both risks and opportunities. Local agri-tech startups can develop niche software for cooperatives, targeting the 60% of Algeria’s farms under two hectares. These smallholders often lack access to financing, but Farmonaut’s data could help them secure loans by proving soil viability. In the livestock sector, feed costs rose 22% between 2023 and 2025, pressuring dairy and meat producers to adopt precision farming to cut expenses.
The diaspora’s role is critical. Remittances from Algerians abroad hit $1.5 billion in 2024, according to the Bank of Algeria, but much of this capital flows into real estate. The Farmonaut report suggests channelling even 10% of these funds into agri-tech startups or export-oriented farms could revive rural economies. Algerian-owned firms in France and Canada, such as TechAlger and AgriDiaspora, already pilot soil sensors and drone services, but scale remains limited.
Policy shifts are also urgent. Farmonaut cites Algeria’s 2024 subsidy reform, which slashed fertilizer support, leaving farmers exposed to price volatility. Entrepreneurs can lobby for targeted subsidies tied to sustainability metrics, ensuring public funds reward efficiency over tradition.
Key takeaway for entrepreneurs
Algeria’s 50,000-hectare annual land loss demands urgent, data-driven solutions. Agri-tech startups targeting smallholder cooperatives can tap the 12-million-hectare National Soil Health Program for market entry. Diaspora investors should redirect remittances toward scalable agri-tech or export farms to maximize impact.
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