The Biostimulants Market is estimated to be valued at US$ 2,938.7 Mn in 2022 and is expected to exhibit a CAGR of 10.16% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Biostimulants are agricultural adjuvants that, when applied appropriately, promote plant health and growth through natural ways. They enhance the plant’s ability to absorb nutrients, increase tolerance to abiotic stress, and improve crop quality. With growing awareness about health and wellness, the demand for organic food is increasing which is driving the need for biostimulants in agriculture to boost organic crop productivity without the use of synthetic fertilizers.
Market key trends:
Increasing demand for organic food is one of the major trends driving the growth of the biostimulants market. According to the organic trade association, the U.S organic food sales grew over 13% in 2021 to reach $62 billion. The growth can be attributed to rising health consciousness among consumers and awareness about environmental sustainability. Biostimulants aid organic farming by facilitating nutrient uptake, improving stress tolerance and enhancing crop quality, without using conventional agrochemicals. This increasing demand for chemical-free organic products is estimated to support the market growth of biostimulants over the forecast period.
Porter’s Analysis
Threat of new entrants: Low capital requirement and availability of raw materials has led to moderate threat from new players entering the market.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes and differentiation in products.
Bargaining power of suppliers: Few large suppliers and differentiated products provide suppliers with moderate bargaining power.
Threat of new substitutes: Threat from new substitutes is low due to legal regulations and customer familiarity with existing substitutes.
SWOT Analysis
Strength: Product differentiation and new product launches. Effective R&D leading to patents has increased market share.
Weakness: High dependency on climatic conditions and seasonal crops. Input costs subject to volatility in raw material prices.
Opportunity: Rising demand for specialty crops and controlled environment agriculture (CEA). Potential in emerging markets of Asia and South America.
Threats: Stringent regulations over use of certain active ingredients. Substitutes such as conventional fertilizers.
Key Takeaways
The global Biostimulants Market Insights is expected to witness high growth, exhibiting CAGR of 10.16% over the forecast period, due to increasing demand for organic and sustainable agriculture. The market size for 2022 was estimated at US$ 2,938.7 Mn.
Europe dominates the global market currently owing to favorable government regulations and increasing adoption of advanced farming techniques among growers. Asia Pacific is expected to be the fastest growing market due to expansion of agricultural activities and rising focus on food security in countries like India and China.
Key players operating in the biostimulants market are Acadian Seaplants Limited, Biostadt India Limited, Omex Agrifluids Ltd., Italpollina Spa, Koppert B.V., Bio Atlantis Ltd., Platform Specialty Products Corporation, BASF SE, Novozymes A/S, Agrinos A/S. These companies have achieved a significant market share by focusing on new product launches and expanding their geographical reach.
