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Global Forage Seed Market is Poised to Reach US$17.50 bn by 2020

Global Forage Seed Market is Poised to Reach US$17.50 bn by 2020

Transparency Market Research (TMR) has observed that key players in the global forage seeds market are paying high attention to product portfolio diversification in order to maintain a strong foothold. Besides this, they are investing heavy funds in maintaining strong distribution channels in order to consolidate their presence in this highly competitive arena. The leading players in the market are NorthStar Seed Ltd., Allied Seed LLC, Hancock Farm and Seed Co. Inc., Germinal GB, and S&W Seed Company.

“Business expansion through extensive research and development and partnerships are some of the commonly adopted strategies by these players,” says TMR’s lead analyst. The opportunity in the global forage seeds market was pegged at US$11.68 bn in 2015 and is anticipated to rise to US$17.50 bn by 2020, progressing at an 8.4% CAGR between 2014 and 2020.

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On the basis of livestock, poultry will continue to be the most prominent segment until 2020, accounting for 31.7% of the overall market revenue. Due to the surging demand for eggs and poultry meat owing to their health benefits, the segment will register healthy growth during the forecast period.

Geographically, North America will continue to command the lion’s share in the global arena until 2020. The snowballing demand for weed-free forage seeds and growing profitability of agricultural and livestock farms. Canada and the U.S. will at the forefront of growth owing to the increasing production of premium quality forages. Asia Pacific will rise at a CAGR of 10.5% during the forecast period, owing to the rising consumption of dairy products and poultry meat.

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The rising awareness regarding the merits of consuming organic products is playing a vital role in the growth of the global forage seeds market. “People around the world are growing increasingly aware of the health risks, such as hypertension, obesity, cholesterol, and cancers, associated with genetically modified meat,” says a TMR analyst. “As a result, instead of altering properties of food products, manufacturers are focusing on the food habits of animals to meet the consumer demand”. The increasing consumption of meat and poultry products and the changing food habits are also stoking the growth of the market.

Apart from this, forage seeds are widely acknowledged by producers for their economic benefits. From the last few years, the revenue earning per acre from ryegrass production has been greater than that of other crops such as wheat and oats. Such facts and trends are likely to keep the demand for forage seeds high throughout the forecast horizon. Moreover, the introduction of high-quality forage seeds at reduced costs is stoking the growth of the market.

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The abundant availability of alternative feeds is limiting the widespread adoption of forage seeds such as ryegrass and alfalfa. In several cases, the annual production of forages is hampered or contaminated by calamities such as drought, acidic soils, frost, certain herbicides, and nutrient deficiencies. These harvested seeds can lead to fatal problems for livestock such as nitrate toxicity. These factors, collectively, are restricting the global forage seeds market from realizing its full potential. On the other hand, the soaring demand for organic products owing to the increasing health consciousness is creating ample of lucrative opportunities for the market.

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Transparency Market Research (TMR) is a market intelligence company, providing global business information reports and services. Our exclusive blend of quantitative forecasting and trends analysis provides forward-looking insight for thousands of decision makers. TMR’s experienced team of analysts, researchers, and consultants, use proprietary data sources and various tools and techniques to gather, and analyze information. Our business offerings represent the latest and the most reliable information indispensable for businesses to sustain a competitive edge.

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