Increasing Demand for Food and Approval of New Pesticides and Fungicides to Augment Growth of Seed Treatment Fungicides Market

 

Seed Treatment Fungicides

Fungicides are biological active substances or biocides that kill specific fungal species or fungi. A fungicide restricts their proliferation. Fungi are known to cause serious economic damages in agriculture, causing financial losses, quality, and crop loss.

Market Dynamics

Increasing demand for food is expected to propel growth of the seed treatment fungicides market. For instance, according to Food and Agriculture Organization, Asia Pacific needs to increase their food production by up to 77% by 2050 to meet food demand of increasing population. Moreover, decrease in arable land is also expected to aid in growth of the market. For instance, according to the study ‘Will Limited Land, Water, and Energy Control Human Population Numbers in the Future’, published in the journal Human Ecology, the amount of arable land available per person will decrease to 1500m² by 2050 from 4000m² in 1961.

Approval of new pesticides and fungicides is expected to offer lucrative growth opportunities for players in the seed treatment fungicides market. For instance, in December 2019, The U.S. Environmental Protection Agency approved the use of 10 pesticide products on hemp in time for the 2020 growing season, which include nine Biopesticides, under the Federal Insecticide, Fungicide and Rodenticide Act. Moreover, increasing investment in R&D is also expected to offer lucrative growth opportunities for players in the market. For instance, in October 2019, Syngenta AG announced to invest US$ 2 billion in R&D activities.

Increasing population is expected to propel growth of the seed treatment fungicides market. For instance, according to projections by Population Reference Bureau (PRB) included in the 2018 World Population Data Sheet, the world population is expected to reach 9.9 billion by 2050, up 2.3 billion or 29% from an estimated 7.6 billion people in 2018.

Among regions, North America is expected to witness significant growth in the seed treatment fungicides market, owing to increasing sales of houseplants in the region. For instance, according to the National Gardening Association’s National Gardening Survey 2020 Edition, U.S. sales of houseplants increased to US$ 1.7 billion during 2018-2020.

Competitive Analysis 

Major players operating in the seed treatment fungicides market include, BASF SE, Syngenta AG, Nufarm Limited, Glencore, Cargill, Inc., Bunge Limited, Bayer Crop Science AG, and Monsanto Limited.

Major players operating in the seed treatment fungicides market are focused on approval and launch of new products to expand their product portfolio. For instance, in March 2021, BASF launched Vault IP Plus, its new soybean seed treatment, during the first day of the 2021 Commodity Classic.