June 18, 2024
Biofertilizers Market

The Global Biofertilizers Market is Estimated to Witness High Growth Owing to Microbial Improvement

Market Overview:

Biofertilizers are enriched soil inoculants that help fix atmospheric nitrogen or release plant nutrients from native soil. They contain living microorganisms which help in increasing the nutrient quantity of the soil. Such microorganisms include Azotobacter, Rhizobium, Azospirillum, etc. Biofertilizers play a major role in improving soil fertility as they help increase soil nutrients and help plants derive nutrition from the environment in a sustainable manner. The growing trend for organic and natural farming practices has boosted the demand for biofertilizers across the globe.

The Global Biofertilizers Market is estimated to be valued at US$ 2.61 Mn in 2024 and is expected to exhibit a CAGR of 4.8% over the forecast period 2024 to 2030.

Key Takeaways

Key players operating in the biofertilizers are Sanofi SA, Reckitt Benckiser Group PLC, Pfizer Inc., Mylan NV, GlaxoSmithKline PLC, Johnson & Johnson, Bayer, Takeda Pharmaceutical, and Sun Pharmaceutical Industries Ltd., among others. The growing awareness about ecological imbalance caused due to chemical fertilizers and government initiatives to promote organic farming are expected to offer significant growth opportunities for players in the coming years. Technological advancements including genomic-based selection of efficient microbial strains with high nitrogen fixation or phosphorus solubilizing abilities will further aid the market growth over the forecast period.

Market drivers

Increased advocacy for organic farming is a major driver for the Biofertilizers Market Size. Several countries and international institutions are promoting the use of organic inputs such as biofertilizers for sustainable agriculture. The harmful effects of chemical fertilizers on soil health and environment have further boosted the replacement of such chemicals with biofertilizers. Stringent regulations on the use of chemicals and policy support for organic agriculture will continue to drivehigher adoption of biofertilizers in the coming years.

Current Challenges in Biofertilizers Market

The biofertilizers market is currently facing many challenges. With rising environmental concerns and push for sustainable agriculture practices, chemical fertilizers are being replaced by organic options. However, lack of awareness among small farmers is one of the major challenges. Most small farmers in developing countries are still dependent on chemical fertilizers due to lack of knowledge about benefits of biofertilizers. High initial costs of setting up biofertilizer production units is another challenge, limiting expansion of manufacturing capacities. Stringent regulations regarding quality standards also increases compliance costs for manufacturers. Marketing and distribution of biofertilizers also remains a challenge due to their perishable nature and cold chain requirements. Overall, greater awareness campaigns and initiatives are needed to popularize biofertilizers among farmers globally.

SWOT Analysis

Strength: Biofertilizers are environment friendly and help improve soil health. They reduce dependence on chemical fertilizers.

Weakness: High production costs and lack of widespread availability are weaknesses. Storage and transportation also require strict temperature control.

Opportunity: Growing organic farming trend and push for sustainable agriculture presents huge market potential. Government support through subsidies can boost adoption rates.

Threats: Competition from cheap chemical fertilizers poses a threat. Climate change effects can impact certain biofertilizer productions.

Geographical Regions

Asia Pacific currently dominates the global biofertilizers market in terms of value, with India and China being the major markets. This is attributed to large area under organic cultivation and government support programs for biofertilizers in these countries. North America is another major region driven by increasing preference for organic foods in the US and Canada.

Fastest Growing Region

Latin America is expected to be the fastest growing regional market during the forecast period. This can be ascribed to factors like favorable climatic conditions for production of certain biofertilizers coupled with expanding cultivable land area in countries like Brazil and Argentina. The region is also witnessing a rising trend of sustainable agricultural practices and organic farming.

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