Egypt & Tunisia Biopesticides, Biostimulants, and Biofertilizers Market size was valued at USD 66.61 million in 2017 and is expected to witness a growth of more than 5% from 2018 to 2024.
Egypt Biopesticide Market, By Product, 2013 – 2024 (USD Million)
The upsurge in crop loss due to several crop-related diseases, change in farming practices, and insects will support the growth of biopesticides market. Rising demand for high-quality crop yield owing to the growing population, surging organic food demand along with consumer awareness will enhance the product penetration. Ongoing technology and innovations related to biopesticides and an increase in their scope of applications will further augment the product demand.
Rapid expansion of organic food industry, extensive research and development, easy regulatory structure, and increasing necessity to improve crop production driving biostimulants market size. Further, changing climatic conditions and production shortfall are driving the product penetration. Rising global warming has resulted in variability in the yield of many foods and cash crops. This has led to an increasing preference towards the utilization of these products by farmers.
Increasing demand for organic food owing to health & safety benefits, production systems & innovation, and environmental concerns will positively impact the biofertilizers market development in coming years. Favourable government policies related to the biofertilizers application in fruits, vegetables, cereals, and whole grain products to meet food requirement with surging population level, especially in developing economies will propel the industry growth.
Product utilization has significantly increased over the past years as its efficiency has advanced through widespread and systematic research. Numerous research facilities across the globe have started investing extensively developing advancing techniques to enhance product efficiency and control synthetic products applications.
The major industry players in Egypt and Tunisia include Bioworks, Koppert, BASF, Chema Industries, Corpfert Group, Certis, Futureco Bioscience and Seipasa. Multinational companies including BASF and Koppert Biological Systems are forward integrated. Global market players dominating the industry are mostly based in North America.
Biofungicides are the fastest growing segment in the biopesticides market with a growth rate over 6% up to 2024. Strong applications scope in pest free agricultural practices along with supportive government models to promote sustainable agriculture in Egypt fuelling biopesticides market development. Government offers an exclusive and ground-breaking approach to supervise weeds production using specialized microbial agents acting as an active component.
Rising pest attacks level on crop owing to frequent climatic changes and increase in demand for organic pest control result in the biopesticides market development. A decrease in arable land, rising population and growing need for enhanced crop yields is also fuelling biopesticides market growth.
Biostimulants derived from acid-based active ingredients dominate the overall market owing to the easy availability of raw materials. Farm manure, humic substances, and vermin compost are basic waste materials utilized by farmers from their own farming resources. Due to the growing awareness regarding its usage as humic acid and fluvic acid will add to industry market growth.
Egypt biostimulants market size from acid based was valued at approximately USD 8 million in 2017 and with expected gains at over 10%. Foliar treatment is gaining a significant momentum in the market owing to ease-of-application. This technique is most preferred for the supply chain network as it offers ingredients in a much straighter manner over other applications. Rising population and surge in the applications of organic farming products are anticipated to propel the growth of foliar treatment applications segments during the forecast period.
Africa, led by Egypt and Tunisia, are expected to increase the usage of foliar feeding technique over the forecast period. Growing demand for food products with a surge in livelihood encourages producers to use bio-stimulants to improve crop yield efficiencies. The surge in the arable land will further supplement market growth in the region. In addition, loss of irrigation space coupled with soil degradation is expected to upsurge the soil treatment in the market.
Innovation in agricultural products will effectively increase the production of biostimulants during the forecast period. Rising ecological concerns and emergence of precision agriculture for soil management are expected to increase the overall biostimulants market. Seed treatment segment is also expected to witness significant gains owing to the presence of essential trace elements, which supplement seed for sprouting.
Fruits and vegetables are the fastest growing source in biopesticides market with a growth of over 5% up to 2024 in Egypt while Tunisia’s grains & oilseeds production reached 1.3 million metric tons (MT) in 2017.
Grains & oilseeds and fruits & vegetables are the major crops using biopesticides in Egypt and Tunisia. Egypt fruits & vegetables account for more than 50% of the biopesticides consumption in 2016. Escalating global demand for the fruits & vegetables coupled with increasing awareness regarding healthy diet are the driving factors of the biopesticides market growth.
Biopesticides are generally used on all types of non-crop production including plantation, turf, cotton, sugar crops, and ornamental crops. As a vital eco-friendly alternative, biopesticides usage is rising agricultural productivity across the world. They are quite popular in the farming sector owing to their unique features including target specificity, safety ease of application and absence of toxic residues
Tunisia Biostimulants from dry form dominated the market and is expected to register over 800 tons by 2024, with growth at approximately 10%. Agricultural biostimulants are composed of various microorganisms, different ingredient formulations, and compounds that are applied directly to plants or soils. Microbes, enzymes, trace elements, and plant hormones are combined in definite proportions to manufacture biostimulants.
Biostimulants support crop development by different mechanisms compared to biofertilizers. Therefore, it cannot be considered as biofertilizers and biopesticides that are used to offer nutrients to plants that have nutritional deficiencies and kill pests. They act only on the plant’s vigour and not against pests. They increase metabolism, nutrient availability, and boost the chlorophyll and antioxidant production. Their products are available in two forms, which include dry and liquid.
Biopesticides market is at a nascent development stage. The industry is in a growing stage, which is apparent from several mergers and acquisitions by the industry giants. Key participants in this industry include Bioworks, Koppert, BASF and Arysta Lifescience.
Biostimulants market is fragmented owing to the presence of many local manufacturers in Egypt and Tunisia. Some of the major market players include Mahafeed Specialty Fertilizers Pvt. Ltd., Cairochem, Artal Agronutrients, Evergrow, Tradecorp Nutri Performance and Valagro, Seipasa SA. Recently, there have been many product launches, acquisitions, and mergers by the companies to capture the emerging biostimulants market.
Biofertilizers market is fragmented with the presence of many local manufacturers in Egypt and Tunisia. Some of the large companies face competition from the regional producers as they sell biofertilizers at low cost compared to these large firms. The key manufacturers of biofertilizers in the region include Gizatec, Cairochem, Chema Industries and Kimitech.
Egypt and Tunisia hold a vital position in the agricultural industry of Africa. Availability of increased farming education focus on exports, and limited fertile land are key factors driving growth in this region. Most of the companies in these industries have been exploring new markets through collaborations, new product launches, and acquisitions to avail, a completive market advantage thought well connected and combined strategies. Patents, government regulations, and local firms take advantage of economies of scale posing moderate entry barriers for new entrants. Continuous innovation in the organic farming technologies is a major strategy adopted by industry participants to gain significant market share.
Currently, with the increased usage of e-commerce platform by users, many companies are selling the products online which reduces the cost of the product for end users and thus increases the profit margin of companies. Some of the major potential customers include Greenup, EGY organic, Alemad Herbs, Egyptian Biodynamic Association, Modern Agriculture company, Association for the Protection of Environment and Farm Fries. The associations provide education and training to the farmers for proper usage of biobased products in the farms to increase crop yield quality.