The global seeds market from 2022 to 2027
According to a report from Technavio, the period from 2017 to 2021 witnessed consistent market growth, reflecting our increasing reliance on agriculture to feed our growing population. Forecasting forward from 2023 to 2027, an upward trajectory continues, signaling optimism in the seeds industry’s ability to meet future global food demands.
The growth of the global seeds market is attributed to various factors. A primary driver is the increasing demand for biofuels, energy sources derived from crops such as wheat, soybeans, maize, rapeseed and sugarcane. As the world seeks to lessen its dependence on fossil fuels and reduce pollution, the role of biofuels has surged, creating an uptick in the need for the seeds that produce these crops.
Innovation and affordability: The double-edged sword of advancements in seed technology
Meanwhile, cutting-edge seed technologies bring along innovative and efficient methods to meet food production demands. However, they also pose a significant challenge as the costs associated with seed breeding and the implementation of new technologies contribute to rising seed prices. This cost escalation might restrict market growth during the forecast period.
Geographical disparities and future trends
Geographically, the Asia-Pacific region (APAC) is expected to contribute 44% to the growth of the global market during the forecast period. This is mainly due to the substantial agricultural sectors in countries like China and India, where governments are making strides in improving seed quality and efficiency.
The resurgence of conventional seeds amid the organic farming boom
One notable market trend outlined in the report is the increased interest in conventional seeds over genetically modified (GM) seeds. As organic farming gains traction, nations are beginning to limit the importation of GM cereal crops, bolstering the demand for conventionally grown varieties.
The seeds market, underpinned by the crucial role it plays in global agriculture, is set to see significant growth in coming years. A combination of factors, including increasing demand for biofuels, advances in seed technology and a shift towards conventional seed use, is propelling this expansion. Rising seed prices, while posing a challenge, do not detract from the overall upward trajectory expected for the industry.
Top image credit: Technavio