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Market Research Report
Global Biopesticides Market - 2020-2027 |
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Published by | DataM Intelligence | Product code | 982625 | ||||
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Global Biopesticides Market - 2020-2027 | ||
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Biopesticide is the natural category of plant protection chemicals that protects field crops from insects, herbs, rodents and various other pests. These are derived from natural sources such as bacteria, plants and animals. Biopesticides evolved as a sustainable alternative to conventional chemical pesticides owing to their natural and environment-friendly operation on pests. The global biopesticides market valued USD 3.8 billion in 2019 and is estimated to reach USD XX million by 2027, growing at a CAGR of 11%
Market Dynamics: Growing interest towards organic food is driving the market
Biopesticides market has been growing faster over their synthetic chemical counterparts owing to their penetration in organic farming. The enormous demand for farm produce owing to rising population led to extensive use of agrochemicals that increase yield. However, wide spread use of these chemicals resulted an adverse impact on environment and living species. Thus, the need for all-natural agricultural inputs poised globally, leading to the growth of biopesticides. Biopesticides evolved as an integral part of sustainable agriculture by ensuring organic claim of their produce. Rapidly growing farming trends such as organic farming, indoor farming and precision farming will support the growth of biopesticides. Furthermore, the increasing crop resistance to synthetic pesticides is motivating farming communities towards novel biopesticide formulations
However, the high cost of biopesticides over conventional pesticides is the primary factor hindering the growth of the global biopesticides market. Also, limited scientific evidence towards efficacy of biopesticides over certain pests, crop categories and climatic condition is also restricting the adoption of biopesticides
Market Segmentation: Bioinsecticides is leading in the global biopesticides market
The global biopesticides market is segmented on the basis of product type in to bioinsecticides, bioherbicides, biofungicides, bionematicides and others. Bioinsecticides evolved as the largest segment owing to large-scale demand for insecticides in agriculture. Insects has been the most widely affecting pest category globally and resulting in huge economic damages. Regulatory restrictions on several synthetic insecticide groups will propel the growth of bioinsecticides market. The sales revenue of bioinsecticides amounted to USD XX million in 2019 which is nearly XX% of the global biopesticides market. Microbial insecticides derived from single-cell organisms such as bacteria, viruses, fungi and protozoa are the largest category by origin in bioinsecticides market.
Geographical Penetration: United States is dominating the global bioinsecticides market
North America is the largest market for biopesticides accounting for over 45% of the global sales revenue in 2019. The early adoption of biopesticides in the U.S. and large scale utilization across farms in the U.S. and Canada led to the market growth in the region. The demand for organic food products has been rapidly growing the region with consumer awareness towards adverse health effects of synthetic agrochemicals. This has motivated the farm producers towards use of biological inputs. Also, the stringent regulatory environment surrounding the pesticides industry led to the growth of biopesticides. Asia Pacific region surpassed Europe as the second largest regional market with a revenue share of over 25% in 2019. With significant potential for penetration in Indian and Chinese farms, the biopesticides market is witnessing significant growth potential in this region
Competitive Landscape: Consolidated biopesticides industry is offering high growth potential
The global biopesticides market is consolidated with few companies holding significant share in the market. The market competition is intense owing to stringent regulatory environment in the agrochemicals industry. Most of the leading crop-protection companies including BASF SE, The Dow Chemical Company, Koppert B.V., Certis USA and Kemin Industries have entered in to biopesticde sector to cater the increasing market demand. Other major players in the industry are Marrone Bio Innovations, FMC Corporation, AEF Global Inc. and BioTEPP Inc.
COVID-19 Impact: Pandemic had a negative impact on global biopesticides market
While the global trade came to halt during the lockdowns imposed to control the spread of novel coronavirus, the agrochemical industry has been impacted by severe freight challenges. Most of the agrochemical categories including biopesticides witnessed decline in sales volume due to supply chain disruptions. Though agriculture has been exempted from lockdown restrictions under essential industries, the close of food service industry and uncertain demand for fruits and vegetables, farming activities are halted over months in early 2020, this leading to declined sales of biopesticides.