Agriculture Biologicals Market size was over USD 16.23 billion in 2024 and is poised to exceed USD 90.16 billion by 2037, witnessing over 14.1% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of agricultural biologicals is evaluated at USD 18.06 billion.
The reason behind the growth is the rising demand for maintainable and organic substitutes of chemical-depended pesticides while production on a farm. For instance, The Food and Agriculture Organization of the United Nations (FAO) and the European Union (EU) assist in integrated pest management (IPM), which incorporates implementing mixed cropping and natural predators and biopesticides and rotation when it's possible. Many nations, most notably Indonesia, have tried to replace the usage of pesticides with substitute techniques like integrated pest management (IPM).
Growth Drivers
Challenges
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
14.1% |
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Base Year Market Size (2024) |
USD 16.23 billion |
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Forecast Year Market Size (2037) |
USD 90.16 billion |
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Regional Scope |
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Crop (Cereals & Grains, Oilseeds & Pulses, Fruits & Vegetables)
Cereals & grains segment is estimated to dominate agriculture biologicals market share of over 37.4% by 2037. The rising production of cereals and grains globally will help this segment to have a massive revenue share by the end of 2037.
According to the Food and Agricultural Organization of United States (FAO) forecast in 2023, worldwide grain output from 2023 to 2024 will reach 2847 million tonnes, a new high and an increase of 1.2% above 2022 production. With an expected 2836 million tonnes, 2023-24 grain usage is likewise predicted to be 1.6% higher than 2022-2023 levels. A fractional decrease in rice use is mostly ascribed to the abundance of supply and cheaper costs compared to the previous season, which led to a larger utilization of wheat and coarse grains, particularly for feed purposes.
Product (Biopesticides, Biostimulants, Biofertilizers)
In agriculture biologicals market, biopesticides segment is anticipated to hold revenue share of over 57% by the end of 2037. This expansion will be noticed due to the increasing consumption of biopesticides by the farmers to protect their crops from damage.
The FAO projects that during the next 20 years, the global population will increase by 39%, reaching 9.1 billion people by 2050. It will be essential to raise global food production by 60% in order to fulfill all of this demand. This scenario is developed in a short and medium-term setting that is heavily impacted by the adverse impacts of climate change and how it affects agriculture, among other things, by increasing warmth or lack of water.
Our in-depth analysis of the global market includes the following segments:
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North American Market Statistics
North America industry is expected to account for largest revenue share of 37% by 2037. Moreover, the agriculture biologicals sector has reached around 5.22 billion in 2023.
This growth will be noticed mainly due to rising awareness about organic product consumption in this region. According to USDA ERS, growing customer demand for foods produced organically has given producers new market options and is changing the organic food sector.
The market for agriculture biologicals has expanded in the U.S. as a result of the rising government initiatives to empower the production of organic food. The U.S. Department of Agriculture (USDA) is strengthening the market for domestically farmed organic commodities and supporting producers pursuing organic certification, according to a statement made on 10th May 2023 by Agriculture Secretary Tom Vilsack.
The Canadian agriculture biological sector will grow mainly due to the rising investment in organic food and organic flavors. A new analysis from Export Development Canada estimated that in 2020, Canadians spent almost USD 7 billion on organic food.
APAC Market Analysis
The Asia Pacific agriculture biologicals market will have a significant expansion through 2037. The presence of the traditional agriculture industry in the APAC region will drive the market of agriculture biologicals in this region. According to the Asia-Pacific Association of Agricultural Research Institute (APAARI) published in the year 2023, APAC produced and consumed more than 90% of the world's rice, 70% of vegetables, 60% of seed cotton, and 45-50% of cereals, oil seeds, and pulses. It is a key provider of most essential food and agricultural commodities.
Agriculture biologicals are especially in actual demand in China, driven by the increasing population in this country and the requirement for grain in this region. Even while China will no longer hold the title of the most populated nation in the world, the UN projects that in 2022, its population will reach 1.426 billion.
In Japan, agriculture biologicals will encounter massive growth because of the quick advancement in biotechnology. Moreover, its growth is mostly attributable to Japan's capacity for quick adaptability and profitably utilizing newly acquired knowledge and talents.
The agriculture biologicals sector will also be huge in India due to the increasing number of organic farmers in this country. The Economic Survey 2022-23 estimates that there are 4.43 million organic farmers in India at the moment. Over the following three years, 10 million farmers are to be assisted in switching to natural farming under the Union Budget 2023-2024.
Due to the constant innovation by major companies in the agriculture biologicals area to meet the changing demands of contemporary agriculture, the agriculture biologicals market is expanding significantly. Among the major companies in the market are:
Author Credits: Nilanjana Ray
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