May 23, 2024
Agricultural Biological Market

The Global Agricultural Biological Market Driven by Need for Sustainable Agricultural Practices

The Agricultural Biological Market includes biological or organic products that are used as an alternative to chemical fertilizers and pesticides in agriculture. These biological products help improve soil health and quality of crops. They contain microorganisms like bacteria, fungi, and algae that help increase nutrient uptake in plants and suppress diseases. Some common agricultural biological products are biofertilizers containing nitrogen fixing bacteria, phosphate solubilizing bacteria, and fungi. They also include biopesticides containing Bacillus thuringiensis (Bt), Beauveria bassiana, Metarhizium anisopliae, and Trichoderma viride that help control pests and diseases affecting crops. The growing awareness about ill-effects of excessive chemical usage and need for sustainable agricultural practices is driving the demand for agricultural biologicals globally.

The global Agricultural Biological Market is estimated to be valued at US$ 14245.71 million in 2024 and is expected to exhibit a CAGR of 4.1% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the major trends in the Agricultural Biologicals Market Size is the growing adoption of biopesticides. Farmers are increasingly using biopesticides instead of chemical pesticides due to risks of pest resistance, pest resurgence, and negative impacts on human health and environment from chemical usage. Biopesticides derived from biocontrol agents are considered eco-friendly and help achieve integrated pest management in crops. According to estimates, the global biopesticides market is expected to reach $10.3 billion by 2028, registering a CAGR of 14.6% over the forecast period. This fast adoption of biopesticides for crop protection will boost the growth of the overall agricultural biologicals market in the coming years.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is moderate as the Agricultural Biological Market requires significant initial investments in R&D. However, government regulations are supportive of new biological technologies.

Bargaining power of buyers: The bargaining power of buyers is high given the fragmented nature of the market with multiple options. Buyers can negotiate on price and quality

Bargaining power of suppliers: The bargaining power of suppliers is moderate as few large companies dominate the supply of biopesticides and biofertilizers. However, small companies are entering the supply chain.

Threat of new substitutes: The threat of substitutes is low as biological products do not have close substitutes and are considered more sustainable than conventional agrochemicals.

Competitive rivalry: The competition is high among existing players to gain market share and introduce new products. Players compete on product quality, pricing and innovation.

Key Takeaways

The global Agricultural Biological Market is expected to witness high growth over the forecast period. The global Agricultural Biological Market is estimated to be valued at US$ 14245.71 million in 2024 and is expected to exhibit a CAGR of 4.1% over the forecast period 2024 to 2031.

The North American region currently dominates the market owing to supportive regulations and increasing adoption of organic and natural farming practices in the US and Canada. Asia Pacific is expected to grow at the fastest pace during the forecast period. Rising population and government initiatives to decrease agricultural chemical usage are driving growth in the region countries like India and China.

Key players- Key players operating in the Agricultural Biological Market are Amezeus (HFS Group), Ather Energy, Bikeep, cycle works, EV Motors India Pvt. Ltd, Robert Bosch GmbH, RTL Group, Spelsberg, swiftmile, and Zoov. Players are focusing on partnerships and development of new biocontrol solutions to strengthen their positions in the market.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it