Agricultural Biotechnology Market Expected to Reach USD 28.7 Billion in 2019, according new study on ASDReports

Tuesday 20 May 2014, Amsterdam

According to a new market report, available on ASDReports,the global agricultural biotechnology market was valued at USD 15,300 million in 2012 and is expected to reach USD 28,694.1 million by 2019, growing at a CAGR of 9.5% from 2013 to 2019.

Demand for food production has increased significantly due to rise in global population. This is one of the major drivers for growth in the agricultural biotechnology market. Furthermore, growing demand for biofuels due to depleting conventional resources is further boosting the global agricultural biotechnology market. However, strong opposition of GM crops in Europe is estimated to hamper market growth.

The global agricultural biotechnology market was dominated by North America due to high cultivation of GM crops and acceptance of these crops by consumers. North America accounted for 32.5% of the market share in 2012. Europe consumes substantial amount of GM crops for animal feed, which is imported from Brazil and the U.S. However, there is hardly any production of GM crops in Europe due to stringent regulations and strong opposition from consumers. Asia Pacific market is projected to reach USD 7,810.5 million by 2019. Growth in demand for food in Asia coupled with rapid growth in industrialization is expected to boost the agricultural biotechnology market in Asia Pacific.  Large scale production of transgenic crops is expected to drive the RoW market during the forecast period.

Transgenic crops or GM crops emerged as the largest application of the agricultural biotechnology market. Rising demand for food production coupled with decrease in arable land is anticipated to drive the transgenic crops application. The global agricultural biotechnology market for transgenic crops is anticipated to grow at a CAGR of 9.6% from 2013 to 2019. Synthetic biology-enabled products and tools accounted for smaller share of the market in 2012.

Soybean and corn are the most widely consumed GM crops globally. Rising demand for animal feed due to increasing consumption of meat is expected to drive the market for these crops. The market for transgenic corn is expected to grow at a CAGR of 9.6% from 2013 to 2019. Other crops which mainly includes rapeseed, potato, alfalfa and sugar beet accounted for 10.9% revenue share in 2012.

The overall agricultural market is consolidated as top three players accounted for nearly 48% of the market in 2012. Key industry participants include Monsanto, DuPont Pioneer Hi-Bred, Syngenta, Dow AgroSciences, Vilmorin, Bayer CropScience, Certis USA, Evogene Ltd, and KWS SAAT AG among others.