In 2021, the global seed processing market was valued at USD 9.1 billion and is foreseen to grow at a 1.6% CAGR to reach USD 16.6 billion by 2026.
Seed processing includes harvesting and processing post harvested seeds to get superior quality seeds with minimal adulteration safe for both farming and consumption purposes. Increasing demand for hybrid seeds due to the rising middle-class population will drive the seed processing market during the forecast period.
Impact of COVID-19 on Seed Processing Market
The coronavirus pandemic can affect the production, certification, distribution remarkably, and cost of seeds, which play a crucial role in developing resilient agricultural sectors and food systems in the least developed countries.
Although most spring and autumn seeds had already arrived in their final country of the target before COVID-19 travel restrictions were put in place, for both developed and emerging countries, it is uncertain whether seeds currently being sowed for the next growing seasons will arrive in time.
Lack of availability and increased cost of transport because of the reduced number of commercial flights; fewer means available for production, transportation, and documentation processes; and a contraction in the market for plants and seeds are creating problems in terms of the production of seed for international trade, as well as access to high-quality seed of modern varieties for domestic agriculture.
October 2019 – A fungicide seed treatment, ILevo, was launched by BASF to help the Australian canola farmers to reduce the spread of the blackleg disease.
September 2018 – A new USD, 200 million seed processing plant, was opened by Bayer in Ukraine, which helped the company serve in Europe's most growing crop protection market.
In February 2016, the State-owned Chinese Company China National Chemical Corporation acquired Syngenta International AG for USD 43 billion to secure a sustainable food supply for its growing population.
The rising adoption of commercialized seeds owing to the protection offered from germinating seeds and seedlings against soil and seed-borne insects is the primary factor propelling the global seed processing market. The emergence of a cost-effective crop protection solution, enhanced product quality, and improved yield of crops are other factors driving the market growth.
Growing disposable income of the people, increasing demand for high-quality crops, raising awareness among farmers about the benefits of utilizing treated seeds, increasing demand for agricultural activities may further drive the growth of the seed processing market worldwide. The surge in global population has increased the demand for food production, which is supposed to boost sales in the seed processing market in the coming years.
The introduction of government regulations to affect the market growth will likely hamper the seed processing market's development in the outlook period. The imposition of rules on crops to restrain the market growth will act as a challenge for seed processing business.
Based on type, the seed treatment fragment held the dominant portion in the global seed processing market in 2019. In the Asia Pacific nations, particularly in India, farmers are slowly turning towards the advanced seeds of various crops instead of seeds from earlier crops. The increase in demand for hybrid seeds due to the increasing middle-class population, growth in disposable income, and the expansion in the food processing sector are projected to drive the emerging countries across regions. Seed treatment products usually comprise insecticides, bactericides, and fungicides. It offers enhanced crop cultivation at a comparatively low cost compared to spraying, making it one of the preferred treatments for seeds. Therefore, seed treatment segment is estimated to record significant growth in developing economies in future.
Based on crop type, the cereals & grains segment accounted for the significant portion of the global market in 2019. Cereals & grains form the staple food products in several countries. It comprises wheat, rice, corn, sorghum, oats, and barley. Of these cereals & grains, rice is consumed as a staple food in many emerging countries. It is primarily consumed in Asia, Africa, Latin America, and the Caribbean. Corn is consumed on a larger scale in the US, with the country being the largest corn producer globally. The rising awareness of benefits of seed processing like improved seed germination and security against pathogens, is supposed to accelerate the growth of the cereals & grains segment in this market in the coming years.
Based on equipment, the seed processing market is majorly divided into cleaners, gravity separators, seed treatment, de-stoners, dryers, graders, and others (color sorter and dust equipment machines).
The Asia Pacific seed processing market is estimated to be the fastest-growing region during the forecast timeframe. Countries like China and Australia comprised the largest markets in the Asia Pacific region. China is estimated to offer lucrative opportunities for seed processing companies and is the second-largest market for planting seeds, after the US, according to the USDA. It is among the biggest producers of crops, such as soybean and wheat. Australia is backed by the prominent seed treatment company, Nufarm. Furthermore, India is projected to be another critical revenue generator due to the rise in awareness among farmers about seed treatment products. Therefore, Asia Pacific stands as a high growth market for the seed processing market.
Farmers in developed and mature markets like the US, Germany, and other European countries, primarily concentrate on the quality of seeds while making purchase decisions, which has increased demand for processed seeds. Therefore, the expansion in the import and export of seeds in developed and developing countries is projected to drive processed seeds' demand. As per the FAO, in 2017, the US observed a notable growth in the import and export of seeds. European countries, such as the Netherlands, Germany, and France, have also observed a substantial increase in seed import and export. Therefore, the growing commercial seed trade is projected to play a vital role in the seed processing market.
Some of the prominent players operating in the global seed processing market are Bayer (Germany), BASF (Germany), Cimbria (Denmark), Alvan Blanch Development Company Ltd. (UK), Nufarm (Australia), Lanxess (Germany), Clariant (Switzerland), Incotec (Netherlands), PETKUS Technologie GmbH (Germany), Corteva (US), Syngenta (Switzerland), Sensient Technologies (US), Lewis M. Carter Manufacturing, LLC (US), and WESTRUP A/S (Denmark).
1.1 Market Definition
1.2 Scope of the report
1.3 Study Assumptions
1.4 Base Currency, Base Year and Forecast Periods
2. Research Methodology
2.1 Analysis Design
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Data Modelling
2.2.4 Expert Validation
2.3 Study Timeline
3. Report Overview
3.1 Executive Summary
3.2 Key Inferencees
4. Market Dynamics
4.1 Impact Analysis
4.2 Regulatory Environment
4.3 Technology Timeline & Recent Trends
5. Competitor Benchmarking Analysis
5.1 Key Player Benchmarking
5.1.1 Market share analysis
5.1.3 Regional Presence
5.2 Mergers & Acquistion Landscape
5.3 Joint Ventures & Collaborations
6. Market Segmentation
6.1 Seed Processing Market, By Type
6.1.1 Seed Treatment
6.1.2 Seed Coating Material
6.1.3 Market Size Estimations & Forecasts (2021-2026)
6.1.4 Y-o-Y Growth Rate Analysis
6.1.5 Market Attractiveness Index
6.2 Seed Processing Market, By Crop Type
6.2.1 Cereals & Grains
6.2.2 Oilseeds & Pulses
6.2.4 Flowers & Ornamentals
6.2.5 Market Size Estimations & Forecasts (2021-2026)
6.2.6 Y-o-Y Growth Rate Analysis
6.2.7 Market Attractiveness Index
6.3 Seed Processing Market, By Equipment
6.3.2 Gravity Separators
6.3.3 Seed Treatment
6.3.7 Market Size Estimations & Forecasts (2021-2026)
6.3.8 Y-o-Y Growth Rate Analysis
6.3.9 Market Attractiveness Index
7. Geographical Landscape
7.1 Global Identity Governance and Administration Market, by Region
7.2 North America - Market Analysis (2018 - 2024)
7.2.1 By Country
7.2.2 By Type
7.2.3 By Crop Type
7.2.4 By Equipment
7.3.1 By Country
126.96.36.199 Rest of Europe
7.3.2 By Type
7.3.3 By Crop Type
7.3.4 By Equipment
7.4 Asia Pacific
7.4.1 By Country
188.8.131.52 South Korea
184.108.40.206 South East Asia
220.127.116.11 Australia & NZ
18.104.22.168 Rest of Asia-Pacific
7.4.2 By Type
7.4.3 By Crop Type
7.4.4 By Equipment
7.5 Latin America
7.5.1 By Country
22.214.171.124 Rest of Latin America
7.5.2 By Type
7.5.3 By Crop Type
7.5.4 By Equipment
7.6 Middle East and Africa
7.6.1 By Country
126.96.36.199 Middle East
7.6.2 By Type
7.6.3 By Crop Type
7.6.4 By Equipment
8. Key Player Analysis
8.1.1 Business Description
8.1.4 SWOT Analysis
8.1.5 Recent Developments
8.1.6 Analyst Overview
8.10 Sensient Technologies
9. Market Outlook & Investment Opportunities
List of Tables
List of Figures