Daedong Strengthens Agricultural AX Cooperation with NongHyup, Moves to Commercialize Precision Farm Contracting Services
-. More than 40 staff responsible for farm contracting at local NongHyup cooperatives nationwide attended demonstrations of AI farm machinery, precision agriculture and a management platform.
-. Farm contracting is expanding amid rural aging and labor shortages, highlighting the need for AI and data to improve operational efficiency and work quality.
-. Precision farm contracting is being pursued as a key business model of the National Agricultural AX Platform, with a Jeollanam-do-centered operating model to be built for commercialization next year.
Daedong (Co-CEOs Kim Jun-Sik and Won Yu-Hyun), a leader in future agriculture, announced on September 7, 2026, that it had presented models for deploying AI farm machinery and precision agriculture technologies on farms to representatives of local NongHyup cooperatives nationwide as part of efforts to commercialize ‘precision farm contracting services’ in conjunction with the National Agricultural AX Platform.
On August 28, 2026, Daedong held a demonstration for about 40 managers and staff responsible for farm contracting at local NongHyup cooperatives nationwide at the Rural Development Administration’s Reclaimed Land Agriculture Research Center in Gimje, Jeonbuk State. The company introduced AI farm machinery, precision agriculture solutions and a farm contracting management platform, demonstrating how they can be used in actual farm operations. The event provided an important opportunity to share approaches to applying agricultural AX in the field and discuss ways to expand cooperation with NongHyup, whose network connects farming communities nationwide through a membership base of more than 2 million.
Farm contracting is playing a growing role as rural populations age and labor shortages increase. The number of NongHyup cooperatives running their own farm contracting programs rose from 222 in 2024 to 290 in 2025, an increase of about 31%. The area of upland cropland covered by NongHyup’s farm contracting services also grew from 161,000 hectares to 191,000 hectares over the same period, an increase of about 19%. Under these services, farmers request tasks such as tillage, seeding, fertilizer application and harvesting, and NongHyup deploys machinery and personnel to carry them out on the farmers’ behalf. As the scale of these services grows, it becomes increasingly important to allocate limited personnel and equipment efficiently to meet demand concentrated in specific farming periods, while systematically managing work schedules according to weather and farmland conditions.

Daedong’s precision farm contracting services combine existing farm workforces and field operating structures with AI farm machinery, a farm contracting management platform and precision agriculture solutions, using data to enhance work planning, execution and management. The management platform handles farmers’ work requests and farmland information, along with work plans, personnel and machinery assignments, schedules and progress. Work results and performance data also inform future work plans and operational improvements.
Precision agriculture technologies analyze soil and crop growth conditions to tailor farming tasks and agricultural input application rates to each field. For example, ‘variable-rate fertilization’ can improve input-use efficiency and work quality by applying fertilizer only where it is needed and in the amounts required, based on soil conditions. The event featured demonstrations of detailed soil analysis, variable-rate fertilization and precision seeding using a smart seeder. Daedong also showcased agricultural AX technologies applicable across farm operations, including autonomous, unmanned work by AI tractors, drone-based crop growth analysis and precision crop protection, and farm work support using transport robots.
Precision farm contracting services are one of the main business models under the ‘National Agricultural AX Platform Development and Operation Project,’ for which Daedong oversees implementation and management as the consortium’s lead company. With total project investment of KRW 254.6 billion, the initiative aims to establish an AI and data platform, AI greenhouses and precision farm work services to analyze agricultural data using AI and apply the results to actual agricultural production.

Daedong plans to use data on farms, farmland, soil, crop growth, weather and farm machinery accumulated through the National Agricultural AX Platform for work planning and precision agriculture prescriptions. It will also feed fieldwork results back into the data pool to further improve its services. The aim is to expand beyond supplying farm machinery into a service business that continuously provides AI farm machinery, data and precision agriculture solutions. In particular, the commercialization of precision farm contracting services is expected to mark a turning point for the precision agriculture technologies in which Daedong has continued to invest, taking them beyond research and demonstrations to widespread use on working farms.

