Transgenic seeds, commonly known as genetically modified (GM) seeds, are a subset of seeds that have had their DNA altered by the insertion of certain genes. Herbicide and insect resistance are two examples of the unique traits that seeds with genetic modification can have. GMOs enhance crop yields by 22%, cut the need for pesticides by 37%, and boost profits by 68%, according to a new research.
Due to the widespread adoption of sustainable farming practices, the transgenic seed business has experienced tremendous expansion. GM seeds are the favoured option among farming communities due to the high agricultural production and associated benefits of transgenic crops over conventional crops. Unfortunately, the market cannot expand due to the strict government rules and environmental issues related to GM seeds. The use of GM seeds is also being restricted by consumers' shifting preferences for naturally grown food products.
Global population growth and rising food demand, an increase in fertilizer and pesticide prices, and simpler residue management are the market's main growth drivers. Due to a number of circumstances, including rising seed prices, the development of high-quality agricultural products, rising crop rotation rates, and increased farmer knowledge of the rising toxicity of agrochemicals, transgenic seeds have become more and more popular. Farmers are being encouraged to use transgenic seeds by the rising global effort to maximize productivity.
| ATTRIBUTE | DETAILS |
| Study period | 2020-2029 |
| Base year | 2021 |
| Estimated year | 2022 |
| Forecasted year | 2022-2029 |
| Historical period | 2018-2020 |
| Unit | Value (USD BILLION), (KILOTONS). |
| Segmentation | By Trait, By Crop, By Region. |
| By Trait
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| By Crop
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| By Region
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Before being sold commercially, transgenic seeds must have regulatory approval. It might be challenging for businesses to launch new products due to regulatory bodies in various nations have different guidelines and standards for the approval of transgenic seeds. The public is frequently worried about the safety and effects of genetically modified organisms on the environment (GMOs). Insect or weed resistance may arise as a result of the extensive usage of transgenic seeds, which may eventually make the technique less effective.
Transgenic seeds can be developed to boost crop performance, such as pest and disease resistance, tolerance to drought or very hot or very cold weather, and improved nutrient uptake. Both farmers and consumers may profit from these characteristics' ability to boost food yields and quality. This can lessen agriculture's negative effects on the environment while helping to meet the growing demand for food.
Transgenic seed availability and distribution have been impacted by the pandemic's effects on the global supply chain. In certain areas, this has resulted in crop output reductions and planting delays. The pandemic has caused interruptions in international trade as well as changes in consumer demand for agricultural products. The demand for transgenic seeds has been impacted by this, with some markets seeing an increase in demand (such as crops used for animal feed) and others seeing a drop (such as crops used in the restaurant and hospitality industries). The pandemic's long-term effects on the transgenic seed market, however, are not yet obvious and will probably rely on its duration, intensity, and the capacity of the sector to adjust to changing circumstances.
The transgenic seeds market is expected to grow at 12.2% CAGR from 2022 to 2029. It is expected to reach above USD 75.55 Billion by 2029 from USD 30.08 Billion in 2020.
North America held more than 32 % of the transgenic seeds market revenue share in 2021 and will witness expansion in the forecast period.
Global population growth and rising food demand, an increase in fertilizer and pesticide prices, and simpler residue management are the market's main growth drivers. Due to a number of circumstances, including rising seed prices, the development of high-quality agricultural products, rising crop rotation rates, and increased farmer knowledge of the rising toxicity of agrochemicals, transgenic seeds have become more and more popular.
The transgenic seeds market key players includes Suntory Holdings Ltd, DowDuPont, Vilmorin & Cie SA, Maharashtra Hybrid Seed Company, Bayer CropScience AG, Monsanto, BASF SE, Syngenta AG, R.Simplot Co., JK Agri Genetics Ltd.
By trait segment market is divided into herbicide tolerance and insecticide resistance. With varying degrees of efficiency and high cost, pesticides are frequently employed to manage insect populations. Farmers and the environment both gain from limiting the use of pesticides in agriculture. Between 2009 and 2018, the amount of chemical insecticides used worldwide decreased by 107 million kg thanks to the growing of insect-resistant crops like cotton and maize. Hence, it is anticipated that the insecticide-resistant category will increase at the fastest rate over the forecast period.
North America held more than 32% of the transgenic seeds market revenue share in 2021 and will witness expansion in the forecast period. Since more farmers in the region are using GM corn, soybeans, cotton, and alfalfa, North America is currently the market leader for transgenic seeds worldwide. Every crop season, more than 90% of the corn, soybeans, canola, and sugar beetroot grown in the US is genetically altered.
The transgenic seeds market is segmented based on trait, crop.
By trait segment market is divided into herbicide tolerance and insecticide resistance. With varying degrees of efficiency and high cost, pesticides are frequently employed to manage insect populations. Hence, it is anticipated that the insecticide-resistant category will increase at the fastest rate over the forecast period.
By crop segment market is divided into Corn Soybean Cotton Canola and others. The increased use of soybean and its derivatives can be blamed for the segment's growth. Brazil and Argentina are only a couple of the main country-level markets in South America that are helping the industry grow. Brazil is seen a rise in the area planted with transgenic soybean as a result of the high demand for transgenic soybean on both the domestic and international markets, as well as the accessibility of appropriate seed technology.
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The transgenic seeds market key players includes Suntory Holdings Ltd, DowDuPont, Vilmorin & Cie SA, Maharashtra Hybrid Seed Company, Bayer CropScience AG, Monsanto, BASF SE, Syngenta AG, R.Simplot Co., JK Agri Genetics Ltd.
28 November 2022: The Suntory Group had launched a new initiative to reduce greenhouse gas (GHG) emissions by procuring UK-grown barley produced using regenerative agriculture practices. In collaboration with UK based Malt supplier Muntons Plc (Muntons), sustainable agriculture and supply chain consultancy Future Food Solutions Ltd (FFS), and local barley farmers in the East Anglia region.
29 July 2022: In July, the Suntory Group had became the first Japanese company to join the Sustainable Agriculture Initiative Platform (SAI Platform), a global not-for-profit organization advancing sustainable agricultural practices.
The transgenic seeds market by region includes North America, Asia-Pacific (APAC), Europe, South America, and Middle East & Africa (MEA).
North America held more than 32 % of the transgenic seeds market revenue share in 2021 and will witness expansion in the forecast period. Since more farmers in the region are using GM corn, soybeans, cotton, and alfalfa, North America is currently the market leader for transgenic seeds worldwide. Every crop season, more than 90% of the corn, soybeans, canola, and sugar beetroot grown in the US is genetically altered. Ten Transgenic crops, such as maize, soybeans, cotton, canola, etc., are currently grown in the US. Reduced crop diseases, successful weed control, pest control, and the high agricultural productive potential of GM seeds are some of the factors that have fueled the expansion of transgenic seeds.
During the forecast period of 2022-2029, the Asia-Pacific area, which is now experiencing significant advances, is anticipated to have the greatest compound annual growth rate (CAGR). This is as a result of the increased demand for transgenic seeds in the area. The most widely grown transgenic crops are soybean, maize, canola, and cotton.
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