Agricultural Microbials Market by Microorganism Type (Bacteria, Fungi, Virus), Product Functionality (Soil Amendments, Crop Protection), Formulation, Mode of Application (Foliar Spray, Soil Treatment, Seed Treatment), Crop Type - Global Forecast to 2031

The Agricultural Microbials Market was valued at $10.31 billion in 2023. This market is expected to reach $27.08 billion by 2031, from an estimated $11.49 billion in 2024, at a CAGR of 13% during the forecast period 2024-2031.

Agricultural Microbials Market SIze & Forecast

The growth of this market is driven by the growing awareness regarding the utilization of synthetic chemicals, rising organic farming and demand for organic food, increasing focus on sustainable agriculture practices, and growing concerns regarding environmental safety. However, the lack of education and awareness among farmers and the high cost of agricultural microbials production restrain the growth of this market. Moreover, the growing adoption of agricultural microbials in emerging economies is expected to generate significant growth opportunities for the stakeholders in the agricultural microbials market. On the other hand, the shorter shelf life of agricultural microbial and lengthy product registration and approval processes are major challenges impacting market growth.

Agricultural Microbials Market: Key Players

The report offers a competitive analysis based on an extensive assessment of the leading players’ product portfolios, geographic presence, and key growth strategies adopted in the last 3–4 years. Some of the key players operating in the agricultural microbials market are Syngenta AG (A Part of China National Chemical Corporation/Chemchina) (Switzerland), BASF SE (Germany), Bayer AG (Germany), Corteva, Inc. (U.S.), UPL Limited (India), FMC Corporation (U.S.), Novozymes A/S (Denmark), Nufarm Limited (Australia), Sumitomo Chemical Co., Ltd. (Japan), Koppert B.V. (Netherlands), Pro Farm Group Inc. (U.S.), Isagro S.p.A. (Italy), BioWorks, Inc. (U.S.), Certis USA L.L.C. (U.S.), and Biobest Group NV (Belgium).

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Rising Organic Farming and Demand for Organic Food Driving Market Growth

Organic farming involves growing crops without using synthetic crop protection chemicals or pesticides. In organic cultivation, agricultural microbials such as biofertilizers, biostimulants, and bioinsecticides are used to enhance crop production. Biofertilizers are renewable, biodegradable, sustainable, and eco-friendly. They improve soil structure, increase the soil’s water-holding capacity, and prevent plant diseases & groundwater contamination.

The global population is expected to reach 9.7 billion by 2050, a 24% increase over 2021 (Source: Population Reference Bureau). As the global population grows, the demand for food is also expected to increase, meaning that agriculture will become much more important in the future. Therefore, various modern agricultural practices and crop protection products are expected to be used to fulfill the growing population’s food requirements.

Synthetic crop protection chemicals are used on a large scale to enhance agricultural production. However, chemical residues in food can be harmful and may lead to diseases. As food safety has become a major concern, consumers increasingly prefer chemical residue-free produce. Organic food is grown using natural chemicals such as agricultural microbials. Consuming organic food may reduce the risk of cancer, heart disease, stroke, allergies, obesity, and many more conditions.

Furthermore, several organizations are raising awareness about the negative effects of chemicals in food and promoting organic farming worldwide. In addition, various governments are undertaking initiatives to promote organic foods and organic cultivation across the globe. Therefore, there has been a drastic increase in the global consumption of organic food and the global area of land under organic cultivation.

Global organic food and drink sales reached USD 147.9 billion in 2021 from USD 97 billion in 2017 (Source: FiBL‐IFOAM‐SOEL‐Surveys (2023). Such an increase in the demand for organic food and drink is attributed to consumers’ increasing health & environmental awareness.

Agricultural microbials play an important role in organic farming. In addition, agricultural microbials are essential components of organic farming practices because combining naturally occurring microorganisms with organically derived, nutrient-rich fertilizers provides plants with a healthy growing environment and makes the soil sustainable for future growing seasons. Agricultural microbials also enhance plants’ resistance against pests and abiotic stressors such as drought, excess water, and extreme temperature changes. Providing plants with natural protection against external threats and restrictive conditions is necessary for optimal plant growth & development and reduces the need for traditional, inorganic fertilizers and pesticides. Thus, the demand for agricultural microbials in organic farming is expected to grow significantly in the coming years.

Key Findings in the Agricultural Microbials Market Study:

The Bacteria Segment Expected to Dominate the Agricultural Microbials Market in 2024

Based on microorganism type, the agricultural microbials market is segmented into bacteria, fungi, virus, and other types. In 2024, the bacteria segment is expected to account for the largest share of the agricultural microbials market. The segment’s large market share is mainly attributed to the rising number of applications of bacteria in the formulation of biofertilizers, biopesticides, and biostimulants. Bacteria are commonly known for performing several growth-enhancing functions in plants and protecting plants from various root-fungus diseases, influencing the segment market growth. In addition, bacteria play a crucial role in maintaining soil health by promoting nutrient cycling, improving soil structure, and suppressing soil-borne diseases. These factors contribute to the segment’s large share.

The Soil Amendments Segment to Witness Highest Demand During the Forecast Period

Based on product functionality, the agricultural microbials market is segmented into soil amendments and crop protection. In 2024, the crop protection segment is expected to account for the larger share of the agricultural microbials market. The segment’s large market share is mainly attributed to the growing need to increase crop yield and quality, growing awareness about environmental safety, increasing adoption of advanced agricultural practices and technologies, growing organic farming and the rising demand for organic food, and rapidly decreasing agricultural land.

However, the soil amendments segment is projected to witness significant growth during the forecast period of 2024–2031. The higher growth of this segment is mainly driven by the growing widespread use of agricultural microbes for enhancing soil properties and fertility.

The Liquid Segment Expected to Dominate the Agricultural Microbials Market in 2024

Based on formulation, the agricultural microbials market is segmented into liquid and dry. In 2024, the liquid segment is expected to account for the larger share of the agricultural microbials market. The segment’s large share is attributed to the liquid formulation’s better performance and higher effective duration (up to 6 months) than that of dry formulation (up to 3 months). Moreover, it does not require any previous procedures, such as mixing, which helps avoid spoilage.

The Foliar Spray Segment Expected to Dominate the Agricultural Microbials Market in 2024

Based on mode of application, the agricultural microbials market is segmented into foliar spray, soil treatment, seed treatment, and other modes of application. In 2024, the foliar spray segment is expected to account for the largest share of the agricultural microbials market. The segment’s large share is mainly attributed to its high efficiency in the application, uniform distribution of chemicals, and minimum to no wastage of agricultural microbials in the foliar spray mode of application. Additionally, the uptake of nutrients is much faster in foliar spray as it quickly absorbs the nutrients, and this technique is comparatively easier to apply and acts as a prompt correction treatment for several diseases and deficiencies in plants; these factors contribute to the segment’s large share.

The Cereals & Grains Segment Expected to Dominate the Agricultural Microbials Market in 2024

Based on crop type, the agricultural microbials market is segmented into cereals & grains, oilseeds & pulses, fruits & vegetables, and other crops. In 2024, the cereals & grains segment is expected to account for the largest share of the agricultural microbials market. The segment’s large share is mainly attributed to the growing need to increase cereal & grain production, minimize cereal & grain loss due to pests and diseases, and the increasing use of these crops in animal feed, biofuel, and starch & ethanol production. Additionally, in many countries, governments actively support cereals & grains production due to their importance in food security. This often includes policies and subsidies that incentivize the use of modern agricultural practices, including the use of agricultural microbials..

North America Expected to Dominate the Agricultural Microbials Market in 2024

Based on geography, the agricultural microbials market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In 2024, North America is expected to account for the largest share of the agricultural microbials market. The large share of this regional market is mainly attributed to the farmers’ rising awareness about the environmental benefits of such microbials and the adoption of organic farming practices. In addition, various government organizations and agencies, such as the National Science Foundation and the U.S. Department of Agriculture, are highly focused on developing agricultural microbials and encouraging farmers to opt for these solutions to enhance crop production and quality.

However, Asia-Pacific is projected to record the highest CAGR during the forecast period due to the rapid growth in population, increase in crop diseases, farmers' shift towards organic farming and implementation of environmental protection laws, and the rising need for high productivity and yield.

Agricultural Microbials Market Report Summary:

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