Mulch Films Market Overview
Mulch Films Market is forecast to reach $5.70 billion by 2026 after growing at a CAGR of 7% during 2021-2026. Mulch films are widely used on the soil to reduce weed growth and enhance crop yield. They are also used for retaining moisture levels in the soil and protecting the soil from Ultraviolet (UV) rays. Rising demand from the agriculture sector are expected to drive the market growth.
The report: “Mulch Films Market - Forecast (2021-2026)” covers an in-depth analysis of the following segments of the mulch films Industry.
By Type: Colored Mulch, Degradable Mulch, Clear/Transparent, and Other
By Elements: Polylactic acid (PLA), Polyhydroxyalkanoate (PHA), Polypropylene, Polyvinyl Chloride, Linear low-density polyethylene (LLDPE), Low-density polyethylene (LDPE), High-density polyethylene (HDPE), Ethylene-vinyl Acetate (EVA), Polybutylene Succinate (PBS), and Others
By Products: Biodegradable Mulch Films, Non-biodegradable Mulch Films, Рlаѕtіс Мulсh Fіlmѕ
By Application: Flоwеrѕ, Сrорѕ, Fіеld Crорѕ, Fоrеѕtrу, Fruits & Vegetables, Grains, and Other
By End Use: Horticulture, Agriculture
By Geography: North America, South America, Europe, APAC, and RoW
- Asia-Pacific dominates the mulch films market owing to increasing demand from growing horticulture sector in the region.
- Increasing demand for food and growing population are the major driving factors for this market.
- Environmental hazards caused due to plastics and high labor cost incurred by manufacturers to remove plastic mulch films after harvest are the restraints in the market.
Mulch Films Market Segment Analysis - By Type
Clear/Transparent mulch films held the largest share in the mulch films market in 2020. The clear mulch film allows maximum sun radiation to penetrate through the film to increase soil ambient temperature and provide optimized environment to the cultivated plant roots stock growth. Ideally recommended for cool climates, this film is UV stabilized to withstand expected lifetime from 6/8 up to 12 months. This type of mulch films can reserve humidity and reduce irrigation costs. This factor will drive the growth of market in the forecast period. Yellow Mulch Films held the second largest share in the mulch films market.
The yellow film version, recommended for Integrated Pest Management (IPM) application works as herbistatic layer, and attract harmful insects that can attack plant leaves, such as whiteflies, thips, aphids, and others so that farmers can directly apply needed treatment without affecting the plants and crops. In the same way, farmer can apply some glue on the mulch layer. Another advantage of this mulch films is to eliminate the weed growth at limited stage under such smooth application requirement due to photo selectivity effect. It encourage root development & early harvest by increasing soil temperature in the ambient plant roots profile. This factor will drive the growth of mulch market in the forecast period.
Mulch Films Market Segment Analysis - By Elements
Linear low-density polyethylene (LLDPE) segment held the largest share in the mulch films market in 2020. LLDPE is mostly preferred as its performance is better than its conventional counterpart, and it has favorable production cost for farmers. LLDPE has more resistance and tensile strength which is better for crop production. LLDPE is a substantially linear polymer (polyethylene), with significant numbers of short branches, commonly made by copolymerization of ethylene with longer-chain of olefins. LLDPE resins offer a steadfast set of physical and processing properties. High tensile strength. High impact resistance. High puncture resistance. Excellent stretch, flexibility and elongation. Consistent melt flow and low shearing. The ability to create thinner films with tougher profiles. LLDPE can be recycled for use into many new items such plastic films for various end uses. These are the suitable factors which the segment shows, therefore it will drive the growth of the mulch films market in the forecast period.
Mulch Films Market Segment Analysis - By Products
Biodegradable mulch films segment held the largest share in the mulch films market in 2020. Biodegradable mulch films are organic mulching materials derived from plants and animals, offering benefits such as weed control, maintenance of soil structure, and prevention of crops from soil contamination. Rising concerns regarding plastic mulch residues in soil is also expected to increase the product penetration over the forecast period. Biodegradable films can provide benefits of plastic mulch and eliminate the need for removal and disposal while alleviating the negative environmental impact. Biodegradable mulch films are manufactured from these raw materials using the conventional plastics processing technology. The raw materials are converted into lactic acid by microorganisms through fermentation. On the other hand, some of these raw materials have poor mechanical properties, such as brittleness. Once the raw materials are converted into lactic acid, they are linked together into long chains called as biopolymers.
Apart from this, the implementation of favorable government regulations promoting the utilization of eco-friendly and organic products has positively influenced the demand for biodegradable mulch films. Additionally, the growing population, coupled with agricultural land shrinkage due to rapid urbanization, has propelled the farmers to boost productivity rates. This has resulted in the rapid adoption of modern farming methods, including biodegradable mulch films, for enhancing soil quality and increasing crop yields. Moreover, various technological advancements, such as the integration of natural mulch films with biopolymers for producing durable and premium products, will drive the growth of biodegradable mulch films market in the forecast period.
Mulch Films Market Segment Analysis - By Application
Fruits & vegetables segment under horticulture sector, held the largest share in the mulch films market in 2020. This can be attributed to the ease of application owing to the perennial nature of crops. Mulch films reduce fruit root by preventing contact between fruit & soil and improve the product quality. This factor will boost the horticulture industry. According to the horticulture statistics division in the department of agriculture, government of India, the area under horticulture grew by 2.6% per annum and annual production increased by 4.8%. During 2017-18. The production of horticulture crops was 311.71 million tons from an area of 25.43 million hectares. The production of vegetables has increased from 101.2 million tons to 184.40 million tons since 2004-05 to 2017-18 and production of fruits has increased from 50.9 million tons to 97.35 million tons since 2004-05 to 2017-18. The volumetric growth of horticulture crops in the decade will drive the growth of market of fruits and vegetables in the forecast period.
Mulch Films Market Segment Analysis - By End Use
Agriculture sector held the largest share in the mulch films market in 2020 growing at a CAGR of 10%. The mulch films are extensively utilized by rural farmers. They are also used in commercial agricultural practices. Demand for food items such as crops, fruits, and vegetables has been increasing due to the growth in the global population. Key regions across the globe are focusing on maximizing the agriculture output. Mulch films are used to provide desirable climate, enhance soil nutrients, and maintain the value of nutrients. Usage of mulch films increases the production rate by 20% to 35%. Since most of the global area under agriculture is under open cultivation, the use of the mulch films has become a common practice. In the case of cultivation of fruits and vegetables, the adoption of mulch films has shown maximum growth. Since fruits and vegetables are high-value crops and the expected returns over costs are much higher, mulch films has been adopted as a standard use in many countries. Furthermore, economies are shifting their focus on expanding the agriculture output. This factor will drive the growth of mulch film market in the forecast period.
The coronavirus pandemic has had far-reaching consequences beyond the spread of the disease and efforts to quarantine. Many farmers depend on farmers markets for most of their sales. With restaurant business severely cut, farmers who sell agriculture products and produce directly to restaurants are more dependent on direct-to-consumer sales. Agricultural futures, which many farmers and ranchers depend on to lock in better prices later on, are down as well. That shows a concern that consumers will buy less in the coming weeks and months, as the economy slows and unemployment worsens. It also reflects worries about whether the overseas markets will return if product can’t move and as economies around the world are reeling from the virus outbreak and restrictions to contain it. These factors will hinder the growth of agriculture market for the year, but after the situation become normal, it will grow with a steady rate in the forecast period.
Mulch Films Market Segment Analysis - Geography
APAC dominates the mulch films with a share of more than 40% followed by North America and Europe. The economy of APAC is mainly influenced by the economic dynamics of countries such as China and India, but with growing foreign direct investment for economic development of South East Asia, the current scenario is changing. Countries in South East Asia are witnessing the increasing population, especially in China and India, resulted in the increasing demand for food, which leads to an increased usage of mulch films in crop production. The government is also taking necessary steps to improve the productivity of crops. In January 2021, in China, the government’s National Development and Reform Commission stated that China wants to promote non-plastic products, including biodegradable mulch film, in the agriculture sector. Additionally, in India, the government estimated the quantity production for pulses for the coming years, which significantly raises the demand for mulch films. According to Seed Division, 3,975,165 quintal pulses are to be farmed during 2021-2021, with an increment of 308,947 quintals compared to the year 2020-2021. These factor will drive the growth of the mulch films market in the region.
Mulch Films Market Drivers
Awareness of the use of mulch films will drive the market growth in the forecast period
Mulch films are being increasingly used in agriculture and horticulture to modify soil temperature, minimize weed growth, and improve crop yield. There is increasing awareness about mulch films amongst consumers due to advantages such as less investment on weedicides, early harvest of crops, and increase in quantitative output of crops. Likewise, consumers are using biodegradable mulch films in agriculture and horticulture. Previously used biodegradable mulch films can be left on the soil and plowed, which reduces operational time during crop harvest. Governments across various countries have made regulatory provisions for the adoption of these films, which has been favoring the growth of the mulch films market.
Eco-friendly properties of mulch films will drive the growth of the market in the forecast period
Various advantages offered by mulch films, such as lower environmental impact and maintaining soil moisture levels along with eliminating plastic film disposal, and temperature levels along with eliminating plastic film disposal, are expected to drive their demand over the forecast period. Favorable government regulations regarding the usage of eco-friendly products, especially in Europe and North America regions, is anticipated to have a positive impact on the market growth in near future.
Mulch Films Market Challenges
High installation cost, along with the addition of harmful additives will hinder the growth of the market
High installation cost, along with the addition of harmful additives during the manufacturing process, challenges the growth of the market. The deficit of availability of such mulch films with high initial costs is challenging the growth. Moreover, the involvement of plasticizers in the manufacturing of biodegradable mulch film to make profits may challenge the market with growing awareness among the farmers. One of the factors affecting the mulch films market is the usage biodegradable bio-based mulch films, because these fail to meet quality standards.
Excessive use of mulch films might hamper soil quality, as both, biodegradable & non-biodegradable mulch film do not decompose 100%. Moreover, the removal of plastics is an arduous and difficult process. Also, the cost of biodegradable mulch films is twice the price of non-biodegradable films. This factor will hinder the growth of mulch films market in the forecast period.
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the mulch films market. In 2020, the market of mulch films has been consolidated by the top five players accounting for xx% of the share. Major players in the mulch films market are Dow Chemical Company, BASF SE, FKuR Kunststoff GmbH, Novamont S.p.A., Berry Global Inc., and Others.
Acquisitions/Technology Launches/Product Launch
- In April 2017, Plastiblends developed mulch films from the blend of LDPE and LLDPE with a combination of UV and thermal stabilizers. Its purpose is to conserve moisture and simultaneously improve the fertility and the health of the soil to increase yields.