The Plant growth promoters market is experiencing significant growth due to the increasing demand for food production, sustainable agriculture practices, and advanced crop management techniques. PGPs are chemicals that influence the growth and differentiation of plant tissues, effectively acting as plant hormones. They are widely used in agriculture, horticulture, and floriculture to enhance crop yield, improve quality, and optimize resource utilization.
Plant Growth Promoters Industry Analysis
The global plant growth promoters market is anticipated to grow from USD 3.3 billion in 2024 to USD 4.6 billion by 2029, reflecting a compound annual growth rate (CAGR) of 7.2% during the forecast period. This growth is driven by the rising demand for high-value crops, which is boosting the use of natural PGRs in agriculture. Additionally, the increasing focus on sustainable agricultural practices and the expansion of organic farming are key factors contributing to market growth. The shift in dietary preferences and the emphasis on sustainable farming methods are also fueling the adoption of plant growth promoters. These trends underscore the growing importance of PGRs in modern agriculture, supporting their expanding market presence.
Key Plant Growth Promoters Market Growth Drivers
- Growing Global Population and Food Demand: With the global population continuously rising, there is an increasing need for food production. PGRs help in enhancing crop productivity and ensuring food security by promoting faster growth, improving fruit size, and enhancing stress resistance.
- Shift Towards Sustainable Agriculture: Farmers and agricultural businesses are increasingly adopting sustainable practices to reduce environmental impact. PGRs, which can help reduce water use and improve nutrient uptake, align well with this shift towards sustainable farming.
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- Technological Advancements in Agriculture: The integration of PGRs with modern agricultural technologies such as precision farming and vertical farming is driving market growth. These advancements help optimize the use of PGRs, making them more effective and reducing wastage.
- Increasing Horticulture and Floriculture Practices: The growing popularity of horticulture and floriculture in both developed and developing countries is fueling the demand for PGRs. These practices require specialized growth regulators to control plant growth, flowering, and fruiting, which enhances product quality.
How does the agricultural industry in the Asia-Pacific region contribute to the growth of the plant growth promoters industry?
The plant growth promoters industry is expanding in the Asia-Pacific region due to several key factors. Firstly, the region is home to a major agricultural industry, with a significant share of the world’s agricultural output coming from Asia-Pacific countries. To meet the rising food demand driven by population growth and evolving dietary preferences, these countries are focused on boosting agricultural productivity, creating a growing demand for effective solutions like plant growth promoters. Additionally, the region is experiencing rapid technological advancements and a greater adoption of modern agricultural practices, including the use of plant growth regulators to maximize crop yields and enhance quality.
What factors are expected to propel the fruits and vegetables segment to the forefront of growth within the plant growth promoters market?
The global demand for fruits and vegetables is rising, driven by factors such as population growth, urbanization, and increasing health consciousness among consumers. To keep up with this demand, farmers are turning to advanced agricultural practices, including the use of plant growth promoters, to boost yield, improve quality, and extend the shelf life of their produce. At the same time, consumers are becoming more selective, seeking fruits and vegetables that are not only abundant but also of high quality, free of blemishes, and longer-lasting. PGPs are essential in meeting these expectations by regulating plant growth, enhancing fruit set, improving color development, and delaying the aging process. The fruits and vegetables segment includes a wide variety of crops, from fragile berries to robust root vegetables, each with unique growth requirements and challenges.
Maximizing Crop Yields: The Role of Plant Growth Promoters in Sustainable Agriculture
The expansion of crop production relies heavily on resource availability and climatic conditions. Limited arable land and resources like labor, inputs, and irrigation, compounded by unpredictable weather patterns, directly impact global production goals. According to the Organisation for Economic Cooperation and Development (OECD), there’s a projected limited increase in the area for coarse grains by 2023, but significant growth is anticipated in crop yields, especially for wheat, oilseeds, and sugarcane. Plant growth promoters offer benefits by enhancing crop health, unlike traditional fertilizers that may disrupt soil balance and cause toxicity.
An uptick in oilseed crop and sugarcane production is expected due to rising demands in food, feed, and fuel industries. The OECD-FAO Agricultural Outlook 2020-2029 forecasts a growth in global soybean oilseed production from 367 metric tons in 2021 to an estimated 406 metric tons in 2029. This expansion is fueled by increased demand for protein meals, notably in China, potentially improving farmers’ economic conditions with appropriate government support.
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BASF SE’s Global Reach: Leveraging 234 Production Sites to Serve Diverse Industries
BASF SE Group operates globally with 234 production sites, including six Verbund sites, and relies on approximately 112,000 employees worldwide. Its operations encompass diverse segments such as Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care, and Agricultural Solutions. Offering a wide array of system solutions and services, BASF SE caters to industries ranging from chemicals, automotive, and building to agriculture, oil, plastics, electrical, electronics, furniture, and paper. Within its Agricultural Solutions division, BASF SE specializes in providing plant growth regulators. These products target the hormonal system of plants, adjusting the proportions of various plant hormones to facilitate advantageous growth. With a focus on enhancing crop health and yield, BASF SE’s plant growth regulators business segment is involved in researching, developing, manufacturing, and marketing these products.
In August 2022, BASF SE launched a new production facility in Singapore, investing USD 38.04 million, aimed at providing farmers in the Asia Pacific region with cutting-edge crop protection solutions. This endeavour is expected to broaden BASF SE’s consumer base for its agricultural offerings, including plant growth promoters, thereby facilitating business expansion in the region.
