Seed Coating Materials Market Trends

Growth Drivers

• Increased agricultural productivity: The advancements in agricultural technology, such as genetically modified organisms, and precision farming have accelerated agricultural activities in the seed coating materials market. It assists in improving crop yield and optimizing resource usage. For instance, in August 2024, with significant enhancements to its soybean seed treatment offering, Corteva AgriscienceTM strengthened its industry-leading LumiGEN seed treatment portfolio. The insecticide and fungicide seed treatments have been added to soybean's LumiGEN seed treatment portfolio.
• Focus on crop protection: The growing safety concerns over the crops have sparked intense scrutiny in the seed coating materials market, with protecting agricultural outputs from pests and diseases. For instance, in May 2024 BASF unveiled an insecticide named Efficon. This insecticide assists farmers in tackling sucking pests and making it an efficient tool for insecticide resistivity.  Effective crop protection plays a critical role in ensuring that yield stability is maintained, and continuous development accelerates improved growth of crops under harsh climatic situations.

Challenges

• Changing consumer preference: The emerging trends in lifestyle and evolving consumer needs are the most significant barriers to entering into the seed coating materials market. As demand for sustainable and organic agriculture is on the rise, consumers are opting for food products that contain no synthetic chemicals or GMOs. For instance, a report produced by the National Retail Federation in April 2023, suggests that 78% of the consumers have extensively broadened their spending to 5% more towards products that are sourced or produced sustainably. This compels farmers to change towards agricultural practices with no synthetics.
• Short product life cycle: Products can soon become outdated with the acceleration of biotechnology and seed treatment techniques in the seed coating materials market. This results in constant investment in research and development, which complicates manufacturers to renew their products routinely. This hinders the growth of farmers to stay competitive and fulfill the fast-changing requirements for agriculture. Thus, the rapid pace of change puzzles market forecasting and inventory management as firms find it unpredictable which technologies would popularize and limit further growth.