The global Seed Treatment Market is estimated to be valued at US$ 6.83 Bn in 2023 and is expected to exhibit a CAGR of 9.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Seed treatment involves applying plant protection and other products to seeds using various application methods. This helps protect seed and seedlings from diseases, insects and other threats that limit germination. Seed treatment not only helps improve plant health but also maximizes yield by enhancing germination rate. Products used in seed treatment include insecticides, fungicides and other treatments. These preserve stored seeds and seedlings from losing viability before sowing. This translates to higher yields and reduced production costs for farmers.
Market key trends:
One of the major trends in the seed treatment market is the development of biological or eco-friendly seed treatments. With growing demand for organic and sustainable agricultural practices, biological seed treatment featuring natural products is gaining popularity. These include microbial and botanical seed treatments and aim to control diseases without using synthetic chemicals. Another significant trend is the increasing adoption of seed pelleting technology. In this process, seeds are coated with active ingredients using various materials like polymers. This results in more uniform application of treatments and also improves seed flow and handling.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as it requires high capital and large distribution network to enter this market. However, global players are looking to expand their operations across different geographies.
Bargaining power of buyers: The bargaining power of buyers is moderate to high as there are many established brands in the market and buyers can easily switch to substitute products. Buyers prefer value added solutions at competitive prices.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as the suppliers of raw materials including fungicides, insecticides, and other chemicals are fragmented. However, key buyers source materials directly from large multinational suppliers.
Threat of new substitutes: The threat of new substitutes is low as seed treatment helps improve yields significantly. However, other methods like soil treatment can be used as substitutes.
Competitive rivalry: Intense as major players compete on basis of new product development, pricing, and integrated solutions.
Key Takeaways
The Global Seed Treatment Market Size is expected to witness high growth, exhibiting CAGR of 9.2% over the forecast period, due to increasing focus onyield optimization and protection from pests and diseases. The market size for 2023 is estimated to be US$ 6.83 Bn.
Regional analysis: Asia Pacific region is expected to dominate the global seed treatment market during the forecast period. The growth in the region can be attributed to increasing awareness about benefits of seed treatment and expansion of cultivation areas. China, India and other Southeast Asian countries are expected to drive the demand.
Key players operating in the seed treatment market are Syngenta, Bayer CropScience AG, Monsanto, BASF, Advanta India Ltd, Dow Agro Sciences, DuPont, Nufarm Ltd., Chemtura Agro Solutions, and Sumitomo Chemical Co. Ltd. Key players are focusing on expansion in high growth markets through mergers and acquisitions. They are also investing in research and development of new molecule based seed treatment products.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
