Abscisic Acid (ABA) Market - 2023-2030

Overview

Global Abscisic Acid (ABA) Market reached US$ 202.8 million in 2022 and is expected to reach US$ 341.11 million by 2030, growing with a CAGR of 6.71% during the forecast period 2023-2030.

With increasing concerns about climate change and its impact on agriculture, there is a growing demand for stress-tolerant crops. ABA, known for its role in plant stress responses, was being explored as a tool to enhance crop resilience to factors like drought, heat, and salinity. Hence, crop loss due to climate change acts as a key trend for abscisic acid market growth.

According to FiBL Survey 2021, the amount of organic farmland expanded by 1.1 million hectares, while organic retail sales kept rising. The trend towards organic and sustainable farming practices was driving interest in natural plant growth regulators like ABA. ABA's ability to promote stress tolerance and reduce the need for synthetic chemicals aligned with the principles of sustainable agriculture.

Fruits and vegetables dominate the abscisic acid (ABA) market due to their applications in extending shelf life and maintaining quality. Asia Pacific holds a significant one-third share in ABA market growth, driven by its vast agricultural sector and increasing demand for stress-tolerant crops in the region. lost 33.9 million hectares of cropland in six years (2015-21) to floods and excessive rain, and 35 million hectares to drought. This crop loss due to abiotic stress in Asia-Pacific leads to an increase in the demand for abscisic acid.

Dynamics

Climate Change and Environmental Stress

Climate change is leading to more frequent and prolonged droughts in many regions around the world. For instance, According to a journal published in MDPI, Abiotic factors include high temperatures (20%), low temperatures (7%), salinity (10%), drought (9%), and other types of stress (4%) account for nearly 50% of agricultural output losses. ABA is used to help plants cope with drought stress by regulating water uptake and transpiration. oughts become more common and temperatures rise due to climate change, the demand for ABA-based products is increasing.

Abscisic acids are essential for enhancing crop yields and improving water efficiency, while also helping plants withstand the harmful effects of heat stress, ultimately benefiting crop production. ABA can help plants manage heat stress by closing stomata and reducing water loss. As heatwaves become more common, the demand for ABA to protect crops from heat stress is likely to rise.

Focus on Organic and Sustainable Agriculture

Consumers are increasingly seeking organic and sustainably produced food products which drives organic farming. According to FIBL, survey 2021, in 187 countries, organic farming is practiced, and 3.1 billion farmers are managing 72.3 billion hectares of agricultural land organically. Organic and sustainable farming methods emphasize minimizing the use of synthetic chemicals and pesticides. ABA is a natural plant hormone that can help plants resist pests and diseases, reducing the need for chemical treatments. Farmers practicing organic and sustainable agriculture often turn to ABA as a more eco-friendly alternative.

Sustainable agriculture aims to maximize crop yields while minimizing environmental impact. ABA can be applied at specific growth stages to enhance crop yield and quality, aligning with the goals of sustainable farming. In August 2020, Researchers at IISER Bhopal studied seed germination that could have a major impact on agriculture in the long run. The study focused on the interactions between plant hormones, such as abscisic acid (ABA), that inhibit sprouting and the influence of light and darkness.

Lack of Knowledge about Abscisic Acid

ABA is a relatively specialized field within agriculture, and its applications are not as well-known or widely understood as more common agricultural inputs like fertilizers and pesticides. Many farmers may not be aware of the benefits of ABA or how to effectively use it in their agricultural practices. A lack of education and awareness can be a significant barrier to adoption.

Farmers and agricultural professionals are less likely to adopt ABA-based products or practices if they are unaware of the benefits and applications of ABA. This leads to slower market growth as potential users remain hesitant. Farmers often rely on traditional farming practices and inputs they are familiar with. Limited education about ABA may lead to resistance to change, as farmers may be unwilling to experiment with a new and unfamiliar product.

Segment Analysis

The global abscisic acid (ABA) market is segmented based on type, application and region.

Rising Demand For Abscisic acid in Fruits and Vegetable Production

ABA is often used in post-harvest applications to extend the shelf life of fruits and vegetables. Every year, mechanical, microbiological, and physiological factors result in a 16-36%post-harvest loss of fruits. By regulating ripening processes and reducing ethylene production, ABA can help delay the senescence and deterioration of produce, allowing it to remain fresh for longer periods. This is a crucial factor in reducing food waste and increasing the marketability of these perishable products.

ABA can contribute to the overall quality of fruits and vegetables. It can help maintain color, texture, and nutritional content during storage and transportation, which is especially important for premium and export markets where quality standards are stringent. ABA can be used to induce uniform ripening in harvested fruits, reducing the risk of uneven ripening, spoilage, and waste.

Source: DataM Intelligence Analysis (2023)

Geographical Penetration

Asia-Pacific's Diverse Agricultural Sector

Asia Pacific has a rapidly increasing population, which is driving increased demand for food and agricultural products. To satisfy this demand, there is a growing need for technologies and practices that can enhance crop yield and quality, where ABA can play a role. The countries in the region have vast agricultural sectors which pose a significant factor in increasing the use of advanced agricultural products including abscisic acid.

APAC is a major producer of fruits and vegetables. For instance, according to the National Bureau of Statistics of China, Over the previous ten years, the volume of fruits produced in the nation has increased. About 299.7 million metric tonnes of fruits were produced in the country in 2021. ABA has applications in post-harvest management, improving the shelf life and quality of fruits and vegetables. Given the region's significant production of these crops, there is potential for ABA adoption in this context.

Asia Pacific is susceptible to climate variability and extreme weather events, such as droughts and heat waves. According to the Indian Council of Agricultural Research, in India, abiotic stresses, cause more than 50% losses in crop productivity and are the primary issues for the food and nutritional security of an additional 0.4 billion Indians by 2050. Abscisic acids can help plants tolerate these stressors, which is increasingly relevant in the face of climate change and drives the demand in that region.

Source: DataM Intelligence Analysis (2023)

Competitive Landscape

The major global players include Merck KGaA, Alpha Chemika, SUVIDHINATH LABORATORIES, SAINTROY LIFESCIENCE, Sumitomo Chemical, BOC Sciences, Santa Cruz Biotechnology, Inc, LGC Limited, Sisco Research Laboratories Pvt. Ltd. and Spectrum Chemical.

COVID-19 Impact Analysis

COVID Impact

Like many industries, the agricultural inputs sector, including ABA production and distribution, experienced supply chain disruptions during the pandemic. This could have led to delays in the availability of ABA products and affected market growth. Economic challenges brought about by the pandemic may have influenced purchasing decisions. During the pandemic, farmers faced financial constraints, as a result, they were less likely to invest in new, potentially more expensive agricultural inputs like ABA.

Lockdowns and restrictions in various regions could have limited field operations, including planting and harvesting. This could have affected the timing of the ABA application and its overall effectiveness in certain cases. Research into ABA's applications and benefits may have been temporarily disrupted or delayed due to laboratory closures and restrictions, potentially impacting the development of new ABA-based products.

Russia- Ukraine War Impact

The ongoing conflict disrupts transportation routes or trade between Russia, Ukraine, and other countries, it could affect the supply chain for ABA production and distribution. This could lead to delays in the availability of ABA products and potential price fluctuations. The war can create economic uncertainty, which may affect investment decisions by agricultural companies and farmers. Economic instability can impact purchasing decisions and potentially reduce demand for agricultural inputs like ABA.

Supply chain disruptions and trade restrictions can lead to price volatility in the ABA market. Fluctuating prices can affect the affordability of ABA for farmers and agricultural companies, potentially influencing its adoption. International research collaborations and scientific exchanges may be disrupted by geopolitical tensions. This could affect the progress of research into ABA's applications and benefits.

By Type

• 99% and Above Purity
• No Greater Than 99% Purity

By Application

• Fruit & Vegetables
• Grains & Pulses
• Ornamentals
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Why Purchase the Report?

• To visualize the global abscisic acid (ABA) market segmentation based on type, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of abscisic acid (ABA) market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The global abscisic acid (ABA) market report would provide approximately 53 tables, 47 figures and 181 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies