The rising popularity of biopesticides is primarily attributed to their eco-friendly nature and attractiveness to the market players in the industry. These products require limited funding and timeline to develop and launch the products which is attracting a large number of start-up companies. Fortune Business Insights in a new study, titled “Biopesticides Market: Global Market Analysis, Insights and Forecast, 2018-2025” predicts the global biopesticides market to expand at a CAGR of 14.93% during the forecast period, 2018-2025. The biopesticides market was valued at US$ 3.36 Bn in 2017 and is anticipated to reach US$ 10.19 Bn by 2025.
The global biopesticides market has seen a large number of acquisitions and product launches during 2014 and 2017. Some of the players are entering into mergers & acquisitions, partnerships, and agreements to offer better biopesticide solutions. For instance, Stockton STK specializes in the development of botanical-based pesticides, have signed several long-term distribution agreements for its innovative product Timorex Gold biofungicide with key companies in the agrochemicals industry. Other savvy players operating in the biopesticides market are Syngenta AG, Koppert, DowDupont, Marrone Bioinnovations, Bayer CropScience, BioWorks Inc., BASF, and Valent BioSciences.
Rising R&D Activities by Startups in Biopesticide Solutions to Drive Growth
“Rising demand for eco-friendly biopesticide treatments is expected to drive the biopesticides market,” said a lead analyst at FBI. “Governments in some regions are planning to implement rules and promote the adoption of eco-friendly biopesticides,” he added. Various advantages offered by implementing biopesticide solutions are improved control on pests and diseases, biodegradability, and improvements in residue level and resistance management. Spurred by these factors, the biopesticides market is projected to grow significantly throughout the forecast period.
In addition to this, the global biopesticides market is driven by the involvement of start-up companies in the R&D of biopesticide active ingredients. The time required for the R&D of biopesticide products is lesser than compared to synthetic chemical active ingredients. This, coupled with reduced investment costs, are the key factors that attract the start-up companies to involve in the development of biopesticide products.
Based on product type, biofungicides and bioinsecticides segments cumulatively accounted for nearly 92-95% of the global biopesticides market in the year 2017. Bacillus sps. is the most commonly used biopesticide globally and is effective in control of crop pests. High-value fruits & vegetable crops accounted for the highest share in the consumption of biopesticide products globally. On the other hand, the current market share of bionematicides is limited. However, this segment is expected to showcase strong growth in the biopesticides market over the forecast tenure.
Rising Awareness to Drive the Biopesticides Market in Asia Pacific
Among regions, North America accounted for a value of US$ 1.27 Bn in the year 2017 in the global biopesticides market. Recent product innovations in biopesticides are expected to create growth opportunities in this region. Additionally, government regulations regarding the implementation of biopesticide solutions will boost the market in coming years. Besides North America, Asia Pacific is anticipated to exhibit steady growth during the forecast years. Large agricultural land and raising awareness among the crop producers about the benefits of use of crop protection chemicals in Asia Pacific are the chief factors which are projected to drive the biopesticides market until 2025. Europe may also show significant growth in the biopesticides market during 2018-2025. New product launches and government regulations can help in the growth of biopesticides market in this region.