Biofertilizers Market Size Reaches USD 6.75 Billion with CAGR of 10.55% by 2025-2035, Driven by the Rising Adoption of Sustainable Agricultural Practices

Biofertilizers Market Outlook

The global biofertilizers market is set for strong expansion as demand for sustainable farming inputs accelerates worldwide. The market was valued at USD 2.24 billion in 2024 and is projected to grow at a CAGR of 10.55% from 2025 to 2035, ultimately reaching USD 6.75 billion by 2035. This growth is primarily fueled by increasing environmental concerns, soil degradation caused by excessive chemical fertilizer use, and rising global demand for chemical-free agricultural output. As governments across the world implement policies supporting organic farming, the demand for bio-fertilizers continues to surge, positioning the industry as a key component of the future agricultural economy.

Bio-fertilizers are natural inputs containing living microorganisms that promote plant growth through increased supply or uptake of essential nutrients. Unlike synthetic fertilizers, they help restore soil fertility, enhance microbial activity, and increase crop yield sustainably. The increasing urgency to reduce chemical input dependency, coupled with improved awareness of ecological farming methods, has contributed significantly to adoption across global agricultural communities.

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Growth is further enhanced by rising demand for organic food products and the need for higher agricultural productivity to support expanding global populations. As chemical fertilizers continue to negatively impact soil biology and water bodies, bio-fertilizers are increasingly viewed as safer, cost-effective alternatives. Farmers are steadily transitioning toward integrated nutrient management solutions, in which bio-fertilizers play a crucial role, particularly in high-value crops like fruits, vegetables, and pulses.

Technological advancements in microbial formulation, soil biology R&D, precision farming tools, and biotechnology innovations are creating new opportunities. Additionally, companies are expanding production capabilities to meet increasing demand, particularly in developed markets such as Europe and emerging agricultural economies across Asia and Latin America.

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Key Players

The bio-fertilizers industry consists of a mix of global corporations, agricultural biotechnology firms, and regional producers. Leading companies focus on product innovation, strategic distribution expansion, and partnerships with government and agricultural programs to widen market reach. Some notable players include:

• Novozymes A/S
• Lallemand Inc.
• National Fertilizers Limited
• Rizobacter Argentina S.A.
• Mapleton Agri Biotech Pvt Ltd

These companies are driving innovation primarily in nitrogen-fixing, phosphate-solubilizing, and potassium-mobilizing bio-fertilizer formulations. Investments in microbial strain development and improved shelf-stable bio-fertilizers are expected to support market acceleration over the next decade.

Driving Factors and Market Trends

One of the most significant drivers influencing market growth is the increased adoption of sustainable agricultural practices. As environmental degradation and soil health deterioration become globally recognized issues, farmers and policymakers alike are shifting toward regenerative agriculture. Growing consumer preference for organic and residue-free food products is pushing food companies and retailers to adopt sustainable sourcing standards, which indirectly boosts bio-fertilizer demand.

Government subsidies and regulatory frameworks are strengthening the market, especially in countries where organic certification programs and agricultural sustainability initiatives are expanding. For example, programs aimed at reducing greenhouse gas emissions or restoring soil microbiome balance effectively promote the use of bio-fertilizers.

Key trends shaping the market include:

Expansion of microbial consortia-based bio-fertilizers

• Digitization of farm management and precision nutrient application
• Rising venture capital investments in agricultural biotechnology
• Integration of bio-fertilizers with bio-stimulants for enhanced yield performance

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Market Segments

The bio-fertilizers market is segmented primarily by type, crop category, application method, and region. Among product types, nitrogen-fixing bio-fertilizers remain the most widely adopted, largely due to their relevance in major staple crops like cereals and legumes. However, phosphate-solubilizing and multi-strain formulations are recording higher growth rates, especially in horticulture and greenhouse farming.

Crop segmentation highlights that:
• Cereals and grains dominate the market share
• Fruits and vegetables are the fastest-growing crop segment
• Organic certified farms demonstrate the strongest usage growth

In terms of regional development, Asia-Pacific currently leads due to agricultural dependence and increasing organic farming initiatives, while North America and Europe show strong regulatory and consumer-driven momentum.

Industry Developments

The industry is undergoing rapid development driven by technological innovation and regulatory support. Several companies are investing in research to develop liquid bio-fertilizers with higher shelf life and efficiency. Additionally, collaborations between biotechnology firms and agricultural universities are accelerating the discovery of improved microbial strains.

Recent industry developments include:

• Strategic mergers and acquisitions by leading bio-agri companies
• Expansion of manufacturing facilities to meet rising demand
• Commercialization of advanced microbial inoculants for precision agriculture
• Certification reforms supporting export of organic farming inputs

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