Why the Agricultural Biologicals Market is set to explode? Top Companies: BASF SE, Syngenta AG, Bayer CropScience, UPL and more
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Agricultural biologicals refer to a group of products derived using natural sources such as plant extracts, selected insects, and microorganisms such as fungi and bacteria. The most commonly used biologicals in agriculture include bio-fertilizers, bio-stimulants, and bio-pesticides.
Key companies covered in the report
o BASF SE
o Syngenta AG
o Bayer CropScience
o Marrone Bio Innovations
o Valent Biosciences
o Koppert Biological Systems
o Isagro S.p.A
o Valagro S.p.A
o Novozymes A/S
o Other key players
Rising Demand for Better Quality Farm Yields to Drive the Market
The global Agricultural Biologicals Market growth is set for a major upsurge owing to the climbing demand for naturally-extracted productivity-enhancing products. These biologicals entail a host of economic benefits. For example, a study conducted by the Food and Agriculture Organization in Lesotho showed that conservation agriculture, wherein biologicals are a key component, has greater efficiency as high output levels are achieved with lower inputs. There was also a marked increase in agricultural yields where biologicals were employed. Thus, economic feasibility of biologicals will boost the global Agricultural Biologicals Market revenue.
Increasing Environmental Concerns to Spur the Adoption Rates of Biologicals
According to the FAO, agricultural biologicals possess a variety of agronomic and environmental advantages. For example, regular infusion of crop residue increases the organic content of the soil, improves soil quality and structure, and aids water conservation. The cumulative effect is enhanced productivity in quantitative and qualitative terms, which bodes well for the global Agricultural Biologicals Market. Quality yields have taken high priority as chemical fertilizers and pesticides are known to diminish the nutritional value of foodstuffs. Environmental benefits, closely linked to the economics of biologicals, are manifold. For example, sustainable agricultural practices can increase biodiversity in soils, enhance carbon sequestration capabilities of soil, improve air quality, and prevent unnatural soil erosion.
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Considerable Disadvantages to Mar the Market
The global Agricultural Biologicals Market is expected to encounter roadblocks as organic farming suffers from certain cons. For example, in the long-term, soil fertility starts declining as it loses its capacity to convert organic matter into energy. In the end, the farmer has to rely on chemical fertilizers to maintain soil fertility. This can be a major hindrance for the global Agricultural Biologicals Market during the forecast period.
Innovations and Acquisitions to Intensify Competition
Investing in innovation and acquiring companies to expand presence in the global Agricultural Biologicals Market are emerging as the key strategies being adopted by the participants. For example, in July 2019, the Dutch company, Koppert Biological Systems, acquired Argentina-based Nitrasoil to mark its entry into South America and diversify its portfolio by including inoculants in its product range. In 2018, Bayer developed Serenade ASO, a biological crop protection product that can fight bacterial and fungal crop diseases.
Fortune Business Insights identifies major players that hold a significant portion in the global Agricultural Biologicals Market share. These include Valent Biosciences, DowDuPont, Bayer, Arysta Lifescience, Syngenta, Marrone Bio Innovations, Monsanto BioAg, Koppert, and others.
Legislative Support to Boost the Market in North America
Passing of laws such as the recent Pesticide Registration Improvement Extension Act of 2018 (PRIA 4) is expected to swell the global Agricultural Biologicals Market size in North America. Similar efforts at effective regulation of biological products in the agricultural landscape is expected in Europe, which will put it close at heels with North America in terms of market share and revenue. Together, the two regions currently hold 60% of the global Agricultural Biologicals Market share.
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