The global crop micronutrients market size was valued at USD 5.51 billion in 2021 and is expected to reach USD 10.32 billion in 2030 expanding at a compound annual growth rate (CAGR) of 7.23% from 2022 to 2028.
Essential nutrients, often known as crop micronutrients, are nutrients that are required by plants for growth as well as other metabolic functions. They have a significant impact on the improvement of characteristics like colour, flavour, the effectiveness of fertiliser usage, water consumption, disease resistance, and others. In addition to this, they assist the plant to establish large and robust roots, contribute to the production of full proteins and chemicals, and enhance the plant's resistance to disease.
The global crop micronutrients market share is being driven by a number of factors, including the efficiency of micronutrients in increasing crop yield and productivity, the growing awareness of the benefits of micronutrients among growers, and the decreasing availability of land suitable for agricultural production. However, the mining of micronutrient reserves, the availability of inexpensive alternatives and counterfeit goods, and a lack of understanding among farmers regarding the right dosage and administration of micronutrients are the reasons that are constraining the crop micronutrients market.
Increased soil micronutrient deficiencies
Micronutrients are only accessible to the plant in trace amounts, yet a deficiency in these nutrients can cause illnesses to develop in crops. The primary contributors to micronutrient imbalances and deficiencies in soils across the world are changes in humidity, temperature, and pH levels. This issue affects soils of all types and types of climates. In an effort to alleviate the shortages, both governmental and non-governmental groups are placing greater emphasis on mineral fertilisation procedures. According to the FAO, nations like China, the United States of America, and India are responsible for consuming almost 50% of the mineral nutrients found in fertiliser. The usage of these nitrogen fertilisers is anticipated to increase to 199 million tonnes (219.3 million tonnes) by the year 2030, according to the same source that provided the previous forecast. In today's world, many nations have achieved self-sufficiency in terms of food production; nonetheless, there is still a demand to provide people with food that is high in nutrients through improving agricultural techniques. The nations are moving in the direction of employing something called "Integrated Nutrient Practices."
Global Decline in Arable Land to Support Growth
The expansion of the global market is being driven by the diminishing amount of land that is suitable for agriculture in the key agricultural producing nations as well as the growing amount of soil pollution. In addition, prominent market players' growing investments in research and development toward the creation of micronutrient fertilisers that are both inexpensive and effective will positively influence the market over the course of the forthcoming years. For example, AgXplore, a leading firm in the agricultural speciality industry, just introduced Microcoat, which is a combination of five different vita micro and secondary nutrients. The new product is an effective nutrient delivery fertiliser since it contains a composite of magnesium, sulphur, manganese, and molybdenum, in addition to zinc, and it is packaged as a dry fertiliser. In addition to this, Gunther Kreps, director of sales for AgXplore, was quoted as saying in a statement, "Because it gives dealers the flexibility to combine it with any phosphorus and potassium fertiliser combination, Microcoat is a real one-of-a-kind product. It gives dealers the opportunity to differentiate themselves from competitors in the market by providing additional value and profit."
The industry of organic fertilisers is booming
The trend of food consumption in industrialised nations is mostly seen changing toward better meals originating from healthy and safe sources, according to the "Megatrends in the Agri-Food Sector" report by the European Parliament. Due to this more people are becoming aware of the commercialization of agriculture and the widespread use of artificial and chemical fertilisers, both of which have a negative impact on human health. Therefore, individuals have a tendency to focus on the quality of their meals in nations where food production outpaces demand. Organic farming is used in around 181 nations. According to the 2017 "World Organic Agriculture- Statistics and Emerging Trends" study, organic farming is practised on 69.8 million hectares of farmland, with Australia, Argentina, and China has the largest amounts at 35.6 million, 3.4 million, and 1.4 million, respectively (3 million hectares). This industry employs over 2.9 million farmers, mostly in India, Uganda, and Mexico.
The organic market is expanding rapidly, and that too in developed nations. The US, Germany, and France are among the key markets, with an estimated market value of USD 97 billion in 2017. As a result, more organic food would be produced as the organic market grew. The need for organic agriculture inputs like organic fertilisers derived from plant and animal sources would rise as organic food production increased. Organic fertiliser is becoming more and more in demand, making it a possible market rival for companies that produce micronutrients.
Construction of biodegradable chelates
In response to the numerous dangers associated with the use of non-biodegradable chelating agents, there has been an increased focus in recent years on the manufacturing of biodegradable chelates in various markets. NTA, EDDS, and ITS are the agents that have been created and adopted the most recently and are now being marketed extensively in the markets as an alternative to non-biodegradable agents. The removal of metals that are detrimental to the health of plants and soil, as well as the prevention of the precipitation of hazardous metals into the ground, are the primary reasons why these are utilised.
Farmers in the region are gradually transitioning away from the use of commodity fertiliser products and toward the use of specialised fertilisers, such as coated and encapsulated fertilisers, chelated fertilisers, and slow-release fertilisers. These fertilisers have a modest impact on the amount of water needed for crop development while yet providing a high growth potential. Fertilizer manufacturers are creating agricultural chelates, which are seen to rise in rising economies such as China and India. With the help of government regulations and subsidies, fertiliser manufacturers are generating agricultural chelates.
The market for Crop micronutrients is segmented into the following categories: Form, Type and Region.
In 2021, the chelated form segment was responsible for contributing more than 70% of the total revenue generated by the worldwide market. Chelated micronutrients have found widespread application in agricultural settings and are also supported in part by makers of fertilisers. They are inorganic nutrients that are encased in a molecule of organic material. In addition to this, the non-chelated counterparts of these micronutrients are not as stable as the chelated versions. Because of these qualities, they have gained popularity in the farming industry, which will increase this sector over the future years. In addition, as a result of the rising demand, the non-chelated category is expected to record the second fastest growth rate throughout the course of the projected year. Additionally, in chelated forms, they are beneficial to plants because they supply them with boron, zinc, copper, and other elements. As a result, this sector will similarly see significant growth during the time under consideration.
Based on type the market is divided into the following: Zinc, Boron, Iron, Manganese, Molybdenum and Copper. As a result of growing demand, the copper sector of the agricultural micronutrients market contributed around 20% of the total revenue in 2021. Micronutrients of the copper type are necessary for the effective production of proteins in plants because they activate enzymes that accelerate chemical processes. They also assist plants to overcome obstacles in the synthesis of vitamin A, which is one of the factors that are likely to fuel the expansion of this market sector.
The zinc variety is the market segment that is expected to have significant expansion over the course of the analysis period. It is anticipated that the market will grow at a compound annual growth rate of 7.9% from the year 2022 until the year 2028, which will result in an increase in demand for the sector during the duration of the forecast period.
Because the vast bulk of agricultural production takes place across the Asia Pacific area, that region now controls the largest portion of the sector. The expansion of the crop micronutrients market share is being driven primarily by the expanding prevalence of modern agricultural methods as well as the rising demand for high-quality goods. The direct application of micronutrients as a therapy for plant deficiencies will lend even more support to the need within the sector.
The (MEA) area is projected to grow at a compound annual growth rate (CAGR) of 9.8% between the years 2022 and 2028. This is supported by increased food demand as well as a rise in the proportion of land in this region that is being used for agricultural cultivation. In addition to that, there has been a considerable rise in the amount of fertiliser used in this region.
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