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Global Pesticide Market Report

The pesticide industry refers to the manufacture and ale of substances used to repel or destroy pests. Freedonia estimates the global pesticide market to be worth more than $45 billion.

The world’s crop protection products market is forecast to reach a yearly growth rate in excess of 6% between 2011 and 2013, reports Koncept Analytics. Demand for crop protection products is being driven by the need for higher yields to provide food for a rapidly expanding global population.

The world’s limited quantity of cultivable land, pressure to respect ecological factors, and the need to maintain respect for human health all contribute to ongoing scientific research and development in the crop protection products industry.

Regulations

The pesticide industry is more affected by regulatory factors than many other chemical industry sectors. Greater awareness of environmental factors has led to changes in the pesticide industry, with some products or ingredients being substituted, reduced or banned. The US Environmental Protection Agency has declared some products to be of reduced risk, including glyphosate, reports Freedonia. Though most nations regulate the pesticide industry, countries known for particularly strict pesticide regulations include the US, Japan and Western Europe.

Key Segments

The world’s herbicide industry is forecast to record close to 5% yearly growth between 2011 and 2016 to exceed 1,350 kilo tons, reports Markets and Markets. The market is forecast to record close to 6% yearly growth in revenue generating close to $25,000 million by 2016. This growth will not be across the board, with India and a few other nations recording lower growth. This is largely due to the fact that the country’s most-commonly used pesticides are insecticides, which represent 40% of the overall market. The world insecticides market is expected to reach almost 535 kilo tons by 2016, recording in excess of 4% yearly growth for the five preceding years.

The global biopeseticides market is expected to reach almost $3.5 billion by 2017, according to research from Global Industry Analysts. Demand for biopesticides is fuelled by environmental awareness and changing regulations limiting the use of traditional products such as methyl bromide, azinphosmethyl and endosulfan. Consumers are becoming increasingly aware of the potential consequences of conventional toxic pesticides on health. This rising awareness is driving demand for alternatives such as organically or naturally grown foods.

Regional Market Share

Developed pesticide markets such as Western Europe and North America are forecast to record below-average growth moving forward, reports Freedonia. This will mainly be due to market maturity. The limited use of pesticides will also contribute to slowing market growth.

Though Japan is likely to witness a similar trend, the Asia-Pacific market is set to record strong growth. Demand in the Asia-Pacific pesticide market will be fuelled by higher agricultural output in Indonesia, Thailand and China. Growth potential in India is mainly due to gradually increasing acceptance of pesticide use.

Central and South America represent a rapidly rising region in the global agricultural landscape. Brazil is forecast to record above average growth compared with the regional average, which in turn remains above the global average. Pesticide market growth in Africa and the Middle East is expected to be strong.

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