The Global Biostimulant Market is Valued at USD 2.638 Billion in 2020, With a CAGR of 11.71% During 2021-2026

In 2020, the global biostimulants market was valued at USD 2.638 billion. With a CAGR of 11.71% during 2021-2026, it is expected to reach USD 5.04 billion by 2026. The growing demand for organic, sustainable, safe and eco-friendly agricultural products has driven the rapid development of biostimulants. The government's move to support the agricultural industry by providing subsidies to develop organic and biological agriculture has also made the industry more promising. 

Europe dominates the global market for biostimulants, which are widely used in grains, fruits and vegetables. The CAGR in 2020 is 12.3%, and the region will create more business opportunities in the future. The strict regulation of pesticides in Europe has made biostimulants more demand drivers than chemical pesticides, and the growing demand for organic food in the EU has also increased the demand for biostimulants. Germany is the European market leader for biostimulants, followed by France and Italy. The biostimulant market in North America is driven by the demand from the lawn and ornamental segment. Favorable regulations and emphasis on organic farming in North America will boost the product demand and the North American biostimulants market is forecast to exceed USD 1.2 billion. In the Asia-Pacific region, the biostimulant market is also expected to grow in agriculture-oriented countries such as China, India, and Australia. Countries in the Asia-Pacific region are very different in terms of income levels, purchasing power, food consumption habits, etc. The agricultural development in this region has grown steadily and is highly dependent on agriculture, thus providing profit growth opportunities for the development of the biostimulant market. 

According to the active ingredient, biostimulants market is segmented into seaweed extracts, protein hydrolyzates, humic acid, fulvic acid, and amino acids. Acid and extract biostimulants account for a major 90% market share.

According to the application, biostimulants market is segmented into foliar treatment, soil treatment and seed treatment. The global market is dominated by foliar spray technology, while seed treatment is expected to exhibit the highest revenue CAGR of 12.3%. Furthermore, the global biostimulants market size for soil treatment applications is likely to exceed USD 550 million by 2026 owing to increasing agricultural planting activities and requirements for improved soil fertility.

According to the crop, biostimulants market is segmented into drill crops, turf and ornamental plants, fruits and vegetables. Drill crops and grains dominate the overall biostimulant market, including corn, soybeans, barley, oats, millet, and cotton. These crops are widely grown in large areas around the world, presenting lucrative growth opportunities for the industry. Additionally, the fruit and vegetable biostimulant market is forecast to exceed $1.5 billion.

Biostimulants are neither pesticides nor traditional fertilizers. Their target is the crops themselves. It can improve the utilization rate of fertilizers or enhance the efficacy of pesticides, improve the physiological and biochemical status of crops, improve stress resistance, and improve crop quality and yield. In order to achieve sustainable agricultural development, biostimulants are favored because of their ease of application, specific targeting, little harm to the environment and human health, and the ability to reduce the use of harmful chemicals. Therefore, biostimulants have formed a hot concept and product type in the world in just a few years, attracting the attention of major companies around the world, and containing booming business opportunities.