Agricultural biologicals refer to products made from natural materials like animals, plants, bacteria, and certain minerals. They are used to farm more efficiently and improve soil and plant health while reducing environmental pollution. Agricultural biologicals include bio-pesticides, bio-fertilizers and other types of products used in organic and conventional farming. They help increase crop yield, prevent pests and diseases, and enhance soil fertility through means such as nitrogen fixation, phosphorus solubilization and stimulating plant growth through the secretion of phytohormones.

The global agricultural biological market is estimated to be valued at US$ 14245.71 Mn  in 2024 and is expected to exhibit a CAGR of 4.1%  over the forecast period 2025 to 2032, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:
The global agricultural biological market growth is majorly driven by the rising preference of farmers and consumers towards organic farming techniques owing to rising environmental concerns and adverse effects of chemical pesticides and fertilizers. Agricultural biologicals provide a sustainable solution for crop protection and soil nutrition with minimum adverse impact on the environment. Furthermore, supportive government policies and regulations in various countries aimed at promoting sustainable and organic agricultural practices are also contributing to the market growth. For instance, the Indian government's Paramparagat Krishi Vikas Yojana (PKVY) scheme launched in 2015 promotes organic farming techniques by providing financial assistance to farmers. Additionally, increasing consumer demand for chemical-residue free food items is further fueling the adoption of agricultural biologicals in farming.

SWOT Analysis

Strength: Agricultural biological products are considered more environmentally friendly and sustainable than traditional agrochemicals. The decreased impact on the environment and concern over health issues related to agrochemical residues are leading to increased preference for biological products. Additionally, increasing farmers' incomes and awareness about biological products is positively influencing the market growth. Furthermore, support from regulatory bodies to promote the use of biopesticides and biofertilizers is also driving the demand.

Weakness: High initial investment is required for R&D, production, and marketing of biological products. Furthermore, uncertainty in performance and high sensitivity to storage and field conditions hamper widespread adoption. Significant expertise and knowledge are required to produce effective products using living organisms.

Opportunity: Rising global population and reducing cultivable land are increasing the need for sustainable agricultural practices. Adoption of biological products can help improve yields while decreasing dependence on synthetic agrochemicals. Additionally, implementation of integrated pest management programs worldwide presents an opportunity to incorporate biological products. Growing organic farming will also drive the demand.

Threats: Alternative practices like improved irrigation systems and use of drones for spraying agrochemicals pose a threat. Subsidies and policies supporting chemical farming in developing nations create an added advantage for agrochemical companies. Vulnerability to climate change affecting microbial activity and inconsistent quality of locally produced biological products also limit widespread applicability.

Key Takeaways

The global Agricultural Biological Market Size is expected to witness high growth over the forecast period given the rising preference for sustainable farming practices and increased health and environmental concerns associated with agrochemical use. The market size is projected to reach US$ 14245.71 Mn  by 2024 at a CAGR of 4.1%  between 2024-2031.

Regional analysis: Asia Pacific currently dominates the market and is expected to maintain its lead throughout the forecast period due to large cultivable areas and growing population demanding food security in major economies like India and China. Government initiatives and schemes to promote organic and sustainable agriculture will further propel regional market growth.

Key players: Key players operating in the agricultural biological market are Amezeus (HFS Group), Robert Bosch GmbH, and Zoov. Amezeus (HFS Group) is a major Germany based company involved in production and distribution of bionematicides and biofungicides. Robert Bosch GmbH provides precision farming technologies and services including biological Seed and Crop Testing Kits. Zoov specializes in development and commercialization of bioherbicides, bionematicides and biofungicides made from microbial components.

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