PUBLISHER: Orion Market Research | PRODUCT CODE: 1826599
PUBLISHER: Orion Market Research | PRODUCT CODE: 1826599
Agricultural Biologicals Market Size, Share & Trends Analysis Report by Product (Biopesticides, Bio stimulants, and Biofertilizers), by Application (Foliar Spray, Seed Treatment, Soil Treatment, and Post-Harvest), and by Crop Type (Cereals & Grains, Oilseeds & Pulses, Fruits & Vegetables, and Others) Forecast Period (2025-2035)
Industry Overview
Agricultural biologicals market, estimated at $17.1 billion in 2024, is projected to grow to $66.5 billion with a CAGR of 13.3% during the forecast period (2025-2035). Global agricultural biologicals market focuses on the production of products that are of organic origin, such as microorganisms, plant extracts, and other useful insects. Products such as biopesticides, biofertilizers, and biostimulants are gaining popularity as they not only enhance crop productivity and protect plants but also improve soil health. Farmers are responding to the surge in sustainable and organic farming demand by adopting environmental solutions. Growing consumer interest in organic food, along with stricter regulations on chemical pesticides and fertilizers, is driving market growth while promoting a lower environmental impact in agriculture.
Other companies with leadership positions, including Novozymes (partnering with Bayer), Syngenta Crop Protection, Corteva Agriscience, and BASF SE, are innovating and investing heavily in research and development to launch new biological solutions in the market. The government organizations and bodies, such as the Food and Agriculture Organization (FAO) and the European Union, especially in their programs such as Integrated Pest Management (IPM), are also supporting in encouraging more adoption of such products, as these further fuel the market growth.
Market Dynamics
Demand for Sustainable Agricultural Biologicals
The agricultural biologicals market is witnessing an increasing demand for sustainable and organic inputs as alternatives to chemical-based inputs. There has been a remarkable rise in innovations and collaborations within the agricultural biologicals market. Both government and industry statistics indicate that the rising consumer awareness of environmental concerns, such as soil erosion, water pollution, and biodiversity extinction, is one of the contributing factors that have led to the use of eco-friendly products such as bio pesticides and bio fertilizers. This movement is also supported by government regulations and programs from organizations such as the FAO and the European Union that promote integrated pest management and a reduction in chemical usage. In 2024, Syngenta Crop Protection reported that its biologicals portfolio had grown by over 20% compared to the previous year. Biologicals now account for more than 7% of the company's total global crop protection sales. Also, Novozymes, the global leader in biological solutions, reported that its BioAg business unit had achieved sales of DKK 2.1 billion (around $300 million) in 2023, indicating farmer acceptance of microbial and enzyme products. These data, provided by the prominent companies, accentuate the high level of market dynamics and the increasing interest in sustainable agricultural technologies.
Digital Integration and Innovation Fuel Growth in Agricultural Biologicals
The rapid integration of biological products with digital and precision agriculture tools is under exploration by companies and research organizations. They are investigating data-driven platforms to enhance the precise application of bio-pesticides, bio-fertilizers, and bio-stimulants. This approach aims to ensure that the right product is applied at the right time and in the right mode. This combination not only improves the effectiveness of the biological but also supports the farmers in making better decisions to maximize production and efficiency of the resources. According to the European Bio stimulants Industry Council (EBIC), in 2024, the demand for bio stimulants in Europe increased more than 12%, especially in the cereal and vegetable sectors. This trend is fueled by changing weather patterns and the need for strong agricultural systems, prompting leading industry players to focus on new formulations and collaborative partnerships to address these challenges. As a result, bio-stimulants are emerging as essential components of sustainable agricultural practices, offering eco-friendly alternatives to enhance productivity and improve crop quality in the face of climate change.
Market Segmentation
Cereals & Grains Dominate Agricultural Biologicals Market
The agricultural biologicals market is dominated by cereals and grains as they are produced on a large scale, and their yield needs sustainable yield practices along with stricter regulations concerning chemical formulations. For instance, in India, the use of biological products in rice fields increased by 47% in 2023-24, covering about 8.2 million hectares. In wheat fields, using microbial mixtures helped increase crop yields by 18-23%, which reduced the need for chemical fertilizers by up to 35%. Similarly, in Brazil expansion of bio-fertilizers, such as azotobacter, improved the production of cereals, whereby they are less dependent on fertilizers composed of nitrogen. Larger firms such as Novozymes (a Bayer partner company), Syngenta Crop Protection, Corteva Agriscience, and BASF SE are also majorly involved in investing in research to come up with biological solutions, especially in crop biology. Also, programs and organizations of governments, such as the FAO and regional agricultural bodies, facilitate the adoption of integrated pest management and organic farming practices. Such initiatives highlight and enhance the position of cereals and grains as primary focus areas for agricultural biologicals.
The global agricultural biologicals market is further divided by region, including North America (the US and Canada), Europe (the UK, Germany, France, Italy, Spain, Russia, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, Australia and New Zealand, ASEAN Countries, and the Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).
Asia-Pacific is Anticipated to Fastest the Growing Region
The Asia-Pacific region is expected to experience the fastest growth in the agricultural biologicals market due to a combination of government support, robust organic farming initiatives, and a rapidly expanding consumer base for sustainably grown food. Other large organizations such as Biolchim SpA, Coromandel International Ltd, Gujarat State Fertilizers & Chemicals Ltd, Indian Farmers Fertilizer Cooperative Ltd., and Koppert Biological Systems Inc. are in the process of increasing their presence in the region and developing new products. China is the market leader in the region due to its strategy of a green food system, accompanied by massive investments in research and development of biological solutions. India plays a significant role in organic farming, supported by initiatives such as Paramparagat Krishi Vikas Yojana and the All-India Network Programmed on Organic Farming, driving widespread adoption of biologicals among its 1.3 million organic producers.
The major companies operating in the global agricultural biologicals market include BASF SE, Bayer AG, Corteva Inc., Novozymes A/S, and Syngenta AG, among others. Market players are leveraging partnerships, collaborations, mergers, and acquisition strategies for business expansion and innovative product development to maintain their market positioning.
Recent Developments