South America Biostimulants Market - Growth, Trends and Forecasts (2020 - 2025)

The South American biostimulants market is expected to record a CAGR of 12.9% during the forecast period, 2020-2025. In terms of demand and growth rate, Brazil leads the South American market for plant biostimulant products and procedures. The region accounted for 56% of the market share in 2019. The increasing demand for and popularity of organic products, environmental concerns over agrochemical usage, and the rising need to increase agricultural production (to meet the requirements of the ever-growing population) are among the key factors driving the plant biostimulants market in this region.​ In terms of application, the cereal crop segment held the largest share in South America, accounting for 20% of the market in 2016. Applications of biostimulant products are expected to increase faster in the fruit and vegetable and turf and ornamental crop segments during the forecast period.​

Key Market Trends

Increased Emphasis on Sustainable Farming

Over the last two decades, a movement for sustainable agriculture has emerged, promoting practices that contribute to the reduction of social and environmental concern over agricultural practices, to feed the growing population. The increasing support and acceptance within mainstream agriculture, for sustainable agriculture techniques, have led to a safer field application of products, like plant biostimulants. Sustainable farming drives farmers toward minimizing the use of biostimulants, thereby saving costs, productivity, and the environment. ​ The use of biostimulants in sustainable agriculture not only addresses several environmental and social concerns but also offers innovative and economically viable opportunities for growers, laborers, and consumers. This is one of the major drivers for the growth of the market studied. ​Biostimulants are different from biopesticides and biofertilizers, as these products are crop enhancers. As biostimulants are a mixture of microorganisms, plant hormones, enzymes, sea woods, and trace elements, these products are used for correcting any nutrient deficiency in plants, while providing the plants with protection as well.

Brazil Dominates the Market

Mainly owing to the growing concerns of farmers over land productivity and agrochemical toxicity, applications of plant biostimulants gained traction in Brazil. As an export-oriented market, applications of biostimulant products increased with the adoption of sustainable farming practices and organic ingredients. The cost-efficient product offerings further help market expansion in the country. Demand for biosynthetic plant biostimulants is the largest in Brazil, which accounted for over 75% share of the market in 2019. ​However, the natural plant biostimulant segment is expected to witness a faster CAGR, as compared to the biosynthetic segment, during the forecast period.​

Competitive Landscape

The biostimulant market is highly fragmented, with various small and medium-sized companies and a few big players, resulting in stiff competition in the market. The development of regional markets and local players in different parts of the world is the major factor for the fragmented nature of the market. North America and Europe are the two regions showing maximum competitor activities, whereas major players like Valagro, Biostimulant, and BASF AG are the dominant players in the South American Market. Important strategies, such as product expansions and investments, have been implemented by key players in the biostimulants industry. These companies are improving their capabilities by diversifying their commercial operations across the high-growth markets, with efficient distribution systems. The major companies dominating the biostimulants market in the region are BASF SE, Biostadt India Limited, Valagro SpA, Novozymes AS, Biolchim SpA, Isagro SpA, and Koppert BV.

Reasons to Purchase this report:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support