Bioherbicides Market Size Forecast to Reach Around $2 billion by 2025

Bioherbicides market size is forecast to reach around $2 billion by 2025, after growing at a CAGR of 11% during 2020-2025. Bioherbicides are phytopathogenic microorganisms such as fungi, bacteria or protozoa, useful for weed control.  Growing population coupled with decreasing landmass uplift the farmers to use bioherbicides for better crop productivity. Harmful effects of chemical based synthetic fertilizers on environment and human health is also boosting the organic methods of farming, which in turn drive the growth of bioherbicides market size. Furthermore, rising environmental concerns and government norm such as Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) which regulates and restricts the use of chemical-based pesticides also aids to the growth of bioherbicides market share.

Key Takeaways

  • In European market, the surging demand for lower pesticide residue and Government actions for restricting the use harmful chemicals augments the growth of bioherbicides market.
  • Rising health concerns and increase in demand for organic fruits & vegetables is boosting the growth of bioherbicides market.
  • With the advancements in genetic engineering, new generation bioherbicides are being developed that are more effective against weeds, subsequently aiding the growth of bioherbicides market.

Type – Segment Analysis

Microbial segment held the largest share of 35% in the bioherbicides market in 2019. Microbial bioherbicides which includes bacteria, viruses, fungi and certain insects (e.g. parasitic wasps, butterfly) attacks the defense genes of the weeds, thereby killing it. Microbial bioherbicides are host specific and will reside on the soil or weed host, while a commercial chemical herbicide would need to be reapplied to the crop.  The ability of microbial herbicides to attack the unwanted plants and weeds without harming the crop plant is augmenting the growth of bioherbicides market.

Crop Type – Segment Analysis

Based on the crop, agricultural crops dominate the bioherbicides market with a share of more than 40% in the bioherbicides market. According to the United Nations Organization (UNO), world population is projected to reach 8.5 billion in 2030, and to increase further to 9.7 billion in 2050. The growing population has increased the demand of cereals, oilseeds, and vegetables within turn boosts the use of bioherbicides for better crop yield. The Organization for Economic Co-operation and Development has forecasted that global cereal production is projected to expand by 13% by 2027, subsequently augmenting the growth of bioherbicides market. Also, according to Trade Map, value of total cereals imported worldwide increased from $ 110.16Mn in 2017 to $ 119.13 Mn in 2018.

By Application – Segment Analysis

Based on the application, foliar segment holds the largest share of more than 30% in the bioherbicides market in 2019. Foliar feeding is an effective technique of applying bioherbicides directly on the leaves. Direct contact of bioherbicides with unwanted weed plants results in faster application of bioherbicides. Once bioherbicides are sprayed onto the weed, they release phytotoxins that suppresses the growth of the weeds and kills them. Whereas. The other mode of application such as soil treatment and post-harvest takes sufficient time in eliminating weeds from the field.

Geography – Segment Analysis

Asia Pacific has dominated the bioherbicides market with a share of more than 40% in 2019 followed by North America and Europe. The growing demand of bioherbicides for weed elimination without affecting the crop across the region is driving the market growth. According to the Government of India report, food Processing Industry in India contributed approx. $3.92 billion to India’s exports in the year 2017-18 and total consumption of the food and beverage segment domestically is expected to reach $1.142 trillion by 2025. Moreover, increasing health concerns and adoption of organic method of farming has also accelerated the use of bioherbicides. For instance, According to Research Institute of Organic Agriculture, the organic area in Asia increased by 25% in 2017 and reached almost 6.1 million hectares, which was 0.4% of the total agricultural area in the region. Whereas, in India, the presence of Paramparagat Krishi Vikas Yojana (PKVY), National Mission of Sustainable Agriculture (NMSA), and National Project on Organic Farming (NPOF) also contributes to the growth of bioherbicides market.

Drivers – Bioherbicides Market

  • Growing health concern and harmful effect of chemical pesticides

Chemical herbicides decrease the fertility of soil, pollutes the underground water, and also cause adverse health effects including cancer, birth defects, and disruption of the endocrine (hormone) system. Harmful effects of chemical herbicides on human health and environment is accelerating the demand of bioherbicides. Moreover, government steps for reducing the use of chemical pesticides is also aiding the growth of the market. For instance, on 20th May 2020, Pesticide Area Network (PAN) has approved the Indian government proposal to ban 27 pesticides including 2,4-D, acephate, atrazine, benfuracarb, butachlor, and others citing its harmful effects on human health and the environment. Also, the Secretariat of Environment and Natural Resources (SEMARNAT), Mexico’s Environment Ministry, has announced that glyphosate-based herbicides will be phased out of use in the country by 2024 to protect human health and the environment. Moreover, in 2014, Sri Lanka bans Monsanto herbicide citing potential link to deadly kidney disease.

  • Increasing government initiatives to boost agriculture sector

The government of various countries are focusing and spending heavily in the field of agriculture as it is an effective way to promote agricultural productivity, while enhancing the environmental sustainability. For instance, in 2016, according to China’s Ministry of Agriculture, over 1,300 Chinese enterprises had overseas investments in agriculture, forestry, and fisheries valued at $26 billion. Additionally, in India, under Budget 2019-20, Pradhan Mantri Samman Nidhi Yojana was introduced in which a minimum fixed pension of Rs. 3000 (around US$ 42.92) is to be provided to the eligible small and marginal farmers, on attaining the age of 60 years. Thus, owing to the various initiatives by the government, agricultural production is also increasing in the various regions. Thus, with the increasing crop production the demand for bioherbicides is also increasing to increase the crop yield, which acts as a driver for the bioherbicides market.

Challenges – Bioherbicides Market 

  • Effectiveness and high cost of bioherbicides

The effectiveness of bioherbicide is the major limiting factor that hampers the growth of market. Microbial bioherbicides are affected by environmental factors such as humidity, temperature, and moisture which in turn lowers the impact of bioherbicides on weeds. Bioherbicides are host specific and provide partial control of only one weed species, even under ideal conditions. Thus, to control different types of weed, large variety of bioherbicides are required such as Colletotrichum coccoides used to control Abutilon theophassti and Phoma is used as a biological control agent of Clematis vitalba. This acts as a restraint for the growth of market. In addition to efficacy, price of bioherbicides and concerns about potential crop threats are also limiting the use of bioherbicide. For instance, Citrus canker is a citrus disease caused by the bacterium Xanthomonas. Requirement of new skills & technology to improve the efficiency of bioherbicide is major challenge for the bioherbicides market.

  • Emergence of COVID-19

The outbreak of coronavirus has impacted the growth of bioherbicides market. Industries are shuttered all around the world and people stuck in their houses due to lockdown. Disruption of supply chain led huge losses to the farmers. Late deliveries of agricultural products impacted the farmers which in turn hampered the growth of bioherbicides market. According to the Agricultural and Processed Food Products Export Development Authority (APEDA) India’s fruits and vegetables export declined by 16% and reached at $1 billion for the period between April 2019 and January 2020, from $1.19 billion for the same period the previous year. In addition, World Trade Organization forecasted that the global trade will fall by between 13% and 32% in 2020 as the COVID 19 pandemic disrupts normal economic activity and life around the world, subsequently affecting the growth of bioherbicides market.

Market Landscape

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the bioherbicides market report. In 2019, the market of bioherbicides has been consolidated by the top five players accounting for xx% of the share. Major players in the bioherbicides market are, Emery Oleochemicals Sdn Bhd, Ecopesticides International, Inc., Bioherbicides Australia Pty Ltd, Deer Creek Holdings, Verdesian Life Sciences, LLC, Marrone Bio Innovations Inc., Hindustan Bio-tech, Special Biochem Pvt. Ltd, Lallemand Inc. among others.

Acquisitions/Technology Launches

  • In April 2020, Marrone Bio Innovations Inc launched a bio-based plant health product Pacesetter™. Pacesetter acts synergistically with conventional fungicides to improve plant health and vigor.
  • In September 2019, Marrone Bio Innovations Inc. acquired all rights and assets to the Jet Ag and Jet Oxide product lines from Jet Harvest Solutions. Jet Ag and Jet Oxide are used to control of fungal and bacterial disease.