The focus of precision farming is on the optimal use of resources, the establishment of uniform crops, and the productivity of variable-field environments. Technological interventions that use seeds are now important in aiding the realization of these goals and seed coating, and seed pelletizing have become significant in this regard. Such methods entail seed treatment with protective, nutritional, or functional materials that enhance ease of sowing, germination, and early seedling development. Seed coating provides thin coatings of active substances, including pesticides, nutrients, bio-stimulants, and beneficial microorganisms, whereas pelleting changes seed size, shape, and weight to enable precise planting. The two methods will lead to better seed management, reduced input waste, precise application of agrochemicals, and uniformity in crops. The recent developments combine polymers, bioactive compounds, microbial inoculants, and nanomaterials to enhance seed treatment with the objective of sustainability. This paper is a critical review of the concepts, materials, processes, advantages, issues and prospective of seed coating and pelletizing processes under precision agriculture.