Nematicides Market

Market Overview

The global nematicides market size was valued at USD 1.56 billion in 2021. It is projected to reach USD 2.49 billion by 2030, growing at a CAGR of 5.35% during the forecast period (2022–2030).

Nematicides are the pesticides available for controlling the nematode population and infestation. They also refer to growers' formulations and application techniques to achieve the highest possible level of nematode control and increase crop yields significantly. A reduction in fertile and arable land has, paradoxically, increased the demand for crops with high yields to satisfy global food requirements. Soil fumigation is a widely used technique for intensively treating the soil to stop the spread of root-knot nematodes in vegetable crops worldwide. Currently, halogen compounds and other fumigants are applied faster than organophosphate and carbamate. On the other hand, farmers are turning more and more to liquid nematicides that are non-fumigant in their composition. This is a response to rising concerns about fumigant nematicides' effects on the environment and human health.

Market Dynamics

Market Drivers

• Strong Demand for High-Value Crops

The demand for high-value crops (fruits, vegetables, and plantation crops) is primarily driven by increased consumer income, rapid urbanization, and growing awareness of the health benefits of fruits and vegetables. In addition, a rise in foreign direct investment (FDI) has contributed to the production of high-value crops. Most demand for nematodes is in high-value crops, such as pome fruits, grapes, cotton, tomato, maize, cotton, and other vegetable and ornamental crops because they enhance crop quality and yield.

• Providing Customized Solutions Targeted toward Specific Pests

The demand for natural biologicals is steadily increasing across regions due to the growing concerns regarding the environment and pollution and the health hazards posed by many conventional agrochemicals. Customers are reporting a high demand for new biological products such as bio nematicides to use against nematodes on standing crops. Nematodes are the cause of crop damages, which in turn reduces the overall farm yield and quality. Customers are seeing a high demand for these new biological products. The application of similar biological and alternative management products is becoming more common. Major global players' research and development teams are also working on developing target-specific innovative products.

Market Restraint

• Growing Issue of Pesticide Residue

The issue of pesticide residue is a significant market restraint for crop protection chemicals because of farmers' careless use of pesticides. In developing or underdeveloped nations, pesticide residue problems are prevalent in the crops grown. Countries such as Vietnam, Ghana, and the Philippines are notorious for pesticide-affected, low-quality crop production. Although intensive farming is unavoidable without pesticides, farmers in developing nations tend to overuse pesticides, causing crop damage. Therefore, pesticide residue issues and overuse of toxic pesticides have been caused by improper use, unauthorized import-export, and a lack of appropriate government regulations, hampered crop growth for crop protection chemicals.

Regional Analysis

The global nematicides market is segmented into five regions, namely North America, Europe, Asia-Pacific, South America, and the Middle East and Africa.

North America is the largest market, and it is anticipated to dominate the global market due to the phase-out and restrictions of hazardous and older solutions, as well as the intensive research conducted by leading market players to develop sustainable and effective nematode control. Significant players such as Bayer Crop Science AG, Marrone Bio Innovations, and The Dow Chemical Company in the United States are likely to stimulate market growth in the region. Demand for nematode control products in Asia-Pacific is anticipated to remain robust in the coming years due to the increasing cultivation of high-value crops such as vegetables and fruits. As a result, numerous prominent global market participants are expanding their regional operations.

Segmental Analysis

The global nematicides market is segmented into type, crop, and formulation.

Based on Type

The market is divided into fumigants, organophosphate, carbamate, and bio-based nematicides.

The fumigants segment held the largest share in the global nematicides market. Fumigants are broad-spectrum nematicides in which the active ingredient is released as a gas through the soil. Fumigants are more effective than organophosphate and carbamate because they are neither absorbed by plants nor bound by soil, giving them a short window of residual pesticidal activity.

Based on Crop

The market is categorized into vegetables, field crops, fruits, and others.

The vegetable segment dominates the market due to increasing incidences of nematode infestation on numerous vegetables, such as carrots, potatoes, and tomatoes. Roots infected by nematodes become harmed and misshapen, which reduces the product's quality and quantity. In addition, nematodes exacerbate the harmful effects of fungi and bacteria. Therefore, vegetable growers use nematicides to combat nematodes and prevent crop losses. The growing preference of farmers for the cultivation of organic fruits, vegetables, and grains is anticipated to increase the demand for bio-based nematicides in the coming years.

Based on Formulation

The market is categorized into liquid, granular/emulsifiable liquid, and others.

The liquid formulation segment has the largest revenue share and is projected to expand rapidly during the forecast period. Farmer's demand for liquid nematicide products is high due to the ease of application, convenience in product usage, and the desire to avoid product waste or spoilage due to contamination. However, the granular or powder formulation of the product is gaining popularity among farmers due to the product's relatively long shelf life, ease of storage, and portability.

Recent Developments

• February 2022- Bayer Received EPA Approval for Prosaro® PRO 400 SC Fungicide. Bayer introduced the next generation of Prosaro® Fungicide for cereal growers, featuring enhanced disease control, more significant DON reduction, and higher yield potential.
• March 2022- Bayer Announced New TriVolt™ Corn Herbicide Following EPA Registration. Bayer announced that the EPA had registered TriVolt™ Herbicide. As a new selective corn herbicide from Bayer, TriVolt brings built-in resistance management and consistently high levels of weed control for corn growers. This product is still pending certain state approvals.
• June 2022- FMC Corporation unveiled a new Plant Health business brand identity, 'Biologicals by FMC,' reflecting the company's commitment to biological crop protection. FMC Corporation (NYSE: FMC), a global leader in agricultural sciences, has launched a new brand identity for its Plant Health business to reflect the company's continued growth and expansion of its biological platform. Agricultural biologicals are a diverse group of crop protection and stimulant products derived from living organisms and organic compounds. Biologicals by FMC exemplifies FMC's commitment to providing farmers with biological solutions backed by science to help manage crops sustainably, protect yields and combat resistance.