June 25, 2024
Biofertilizers Market

The Demand for Nutrient-enriched Crops Boosts the Biofertilizers Market

Biofertilizers enrich soil fertility naturally by fixing atmospheric nitrogen as well as solubilizing phosphorus and other nutrients in many useful forms that most crops can absorb easily. They are useful amendments that promote plant growth and productivity in sustainable agriculture. Biofertilizers are popular because they increase crop yields while minimizing ecological damage. The global biofertilizers market offers environmental and production benefits as farmers increasingly look for alternatives to chemical fertilizers. Enriched with microorganisms, biofertilizers improve soil health by adding nutrients and enhancing microbial activity in the root zone.

The global Biofertilizers Market is estimated to be valued at US$ 2.26 Bn in 2024 and is expected to exhibit a CAGR of 4.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the most significant trends in the biofertilizers industry is the shift towards sustainable farming practices. Constant depletion of soil nutrients from excessive chemical fertilizer use has led many growers to adopt biofertilizers. They help restore soil fertility naturally while protecting the environment. Another key trend spurring market expansion is the growing popularity of organic food. Demand for chemical-free crops is propelling biofertilizer demand worldwide. Strict regulations on synthetic fertilizers in many countries also supports biofertilizer adoption. Government incentives for eco-friendly agriculture encourage farmers to choose sustainable soil amendments like biofertilizers over conventional options.

Porter’s Analysis:
Threat of new entrants: The biofertilizers market size is moderately fragmented and has high capital requirements for R&D, which limits the threat of new entrants.

Bargaining power of buyers: Individual buyers have low bargaining power due to availability of substitutes, but larger buyers such as governments and distributors have moderate power.

Bargaining power of suppliers: The availability of raw materials needed for biofertilizers production provides moderate bargaining power to suppliers.

Threat of new substitutes: Substitutes like chemical fertilizers present a moderate threat as they are easily available and provide quick results.

Competitive rivalry: The market is growing and competitors are investing in expanding their production capacities through mergers and acquisitions.

Key Takeaways:
The global biofertilizers market is expected to witness high growth over the forecast period of 2023 to 2030. The market is projected to grow at a CAGR of 4.8% during this period.

Regional analysis: Asia Pacific accounted for the largest share of the global biofertilizers market in 2022 and is expected to maintain its dominance over the forecast period. China, India, and Indonesia are the major countries contributing to the growth of the market in the region. Supportive government policies and rise in organic farming are the key factors driving market growth in Asia Pacific.

Key players: Key players operating in the biofertilizers market include Sanofi SA, Reckitt Benckiser Group PLC, Pfizer Inc., Mylan NV, GlaxoSmithKline PLC, Johnson & Johnson, Bayer, Takeda Pharmaceutical, and Sun Pharmaceutical Industries Ltd., among others. These players are focused on strengthening their production capabilities and expanding to untapped markets through strategic collaborations.

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