Agricultural Coatings Market Analysis

Agricultural Coatings Market Overview

Agricultural Coatings Market Size is Projected USD 6.8  Billion to grow at a CAGR of 7.87% from 2022 to 2030.

Agricultural coatings are chemicals that can be used for a wide range of purposes. They're often used to lubricate machinery, tools, and vehicles in the farming industry. Agricultural coatings are also applied to eradicate pests such as weeds, while they may come in different forms such as a liquid or wax-based coating. Agricultural coatings are not just limited to machinery, they are also used in packaging to ensure that the food is not contaminated. The coatings are also used to preserve the food by preventing moisture and oxidation.

COVID-19 Impact Analysis

The impact of COVID-19 has affected negatively the distribution and sales of different products across several industries. Many countries are under lockdown and have sealed their borders to control the spread of the virus. The impact of COVID-19 on logistics has disturbed the supply of raw materials. Owing to this, the production capacity has decreased and, thus, there is a shortage of products. These factors are expected to cause a price rise in products in the short run. However, the demand for Agricultural Coatings is expected to stay constant. As Agricultural Coatings are an essential product for the agricultural industry.

Market Dynamics

Agricultural coatings are being used increasingly as the demand for agricultural output is going up. Consumers need to use coatings to protect the crops, prevent pests and diseases from happening, making it easier to handle the crops during packaging and transportation, and help increase their quality. However, the harmful effects of agricultural coatings on the environment, crop health, and limited adoption of controlled-release technology as well as climate uncertainty might hamper the growth of the Agricultural Coating Market.

Drivers

• Growing Adoption of Seed Coated Products

There is an increasing trend of commercial application of seed technologies by specialist applicators or seed companies. High-value seeds require more complex technology, and thus, are used by commercial applicators. Commercial seed use is on the rise with new developments increasing its importance. High-value seeds are taking ever more sophisticated methods, which means that commercial applicators have a greater need for sophisticated techniques. Thus, increasing the application of commercial seed technology is projected to drive the demand for seed coating and in turn fuel the growth of the agricultural coating market.

Restraint:

• Risk related to Climate uncertainty

The agricultural coatings market is very sensitive to climatic conditions. The variations in the climatic conditions will have adverse effects on the performance of several agricultural products. There are concerns about the potential for global warming and consequently changes in precipitation patterns, the disappearance of glaciers and snowpacks, and sea-level rise. These factors would increase the price of agricultural products and hence affect the consumption rates. The relative economic costs of increasing global temperatures and the availability of alternative methods to reduce the impact of climate change on agriculture are significant factors in making decisions related to the use and application rates.

Opportunity:

• Increasing government initiatives to spread awareness about the agricultural coating will pave in growth for the market.

The global agricultural coating market is set to grow exponentially, with steady growth in the demand for these coatings and a growing government initiative to spread awareness among farmers. Several government bodies have launched campaigns and projects to educate people about the benefits of this coating. The government has also given funds for new research in this area. Currently, this is an untapped market with high demand, as most farmers are not aware of all the benefits these coatings bring. With more awareness, there will be more globally produced coatings, which will result in higher revenues for manufacturers.

Segment Overview

By Category

Based on Category, the market has been divided into Seed Coatings, Fertilizer Coatings, and Pesticide Coatings. The Seed Coating segment holds the largest market share in the global Agricultural Coatings market for the year 2021 owing to the growing technological advancements in seed technologies.

By Type

Based on Type, the market has been divided into Polymers, Colorants, and Pellets. The polymers segment holds the largest market share in the global Agricultural Coatings market for the year 2020. The Polymer Agricultural Coatings are convenient to use and offer improved shelf life and ease of handling.

By Coating Type

By Coating Type, the market has been segmented into Powder Coating and Liquid Coating. Powder Coating holds the largest market share in the global Agricultural Coatings market for the year 2020 as it is cheaper and more convenient.

By Application

By Application, the market has been segmented as Agricultural Vehicles, Agricultural Machinery, Agricultural Tools, and Others. The Agricultural machinery holds the largest market share in the global Agricultural Coatings market for the year 2020. However, The Agricultural Vehicle segment is expected to experience the highest growth in the forecasted period

By End-Use

By End-Use, the market has been segmented into Insecticides, Herbicides, Fungicides, Rodenticides, and Other Pesticide Coatings. The insecticides segment held the largest market share in the global Agricultural Coatings market for the year 2020 owing to the increasing investments in the research and development of new insecticides.

Agricultural Coatings Market Share, by region,  2022 -2032 (%)

Regional Analysis

By region, the global Agricultural Coatings market has been divided into North America, Europe, Asia-Pacific, and the Rest of the World. North America accounted for the largest market share in 2020. Asia Pacific is projected to exhibit the highest CAGR during the review period.

North America Market

North America is the largest market for agricultural coatings globally. The demand for high-yielding and disease-resistant crops in this region has increased the demand for agricultural coatings. Chemicals used to control insects, weeds, and fungi have also been increasing rapidly which has led to the rise of this market in North America. The continent is set to continue its dominance through the forecasted period, owing to the increasing adoption of genetically modified crops in the region and the emergence of new pests and diseases.

Asia Pacific Market

Asia Pacific is expected to experience the highest CAGR during the forecast period in the global Agricultural Coatings market. This is because the region consists of various emerging economies with large populations, for instance, China and India. Added to this, increased demand for premium agrochemical products in the region such as agricultural coatings and fertilizers is expected to drive market growth there.

Competitive Landscape

The market comprises tier-1, tier-2, and local players. The tier-1 and tier-2 players have reached across the globe with diverse product portfolios. Companies such as BASF SE (Germany), Bayer AG (Germany), Clariant Technologies (Germany), Croda International Plc (UK), and Sensient Technologies (US) dominate the global Agricultural Coatings market due to product differentiation, financial stability, strategic developments, and diversified regional presence. The players are focused on investing in research and development. Furthermore, they adopt strategic growth initiatives, such as expansion, product launches, joint ventures, and partnerships, to strengthen their market position and capture a large customer base.

Prominent players in the global Agricultural Coatings market include BASF SE (Germany), Bayer AG (Germany), Clariant Technologies (Germany), Croda International Plc (UK), Sensient Technologies (US), Germains Seed Technology (UK), Milliken Chemical (US), Precision Laboratories (US), Pursell Agri-tech (US), Novochem Group (Netherlands), Dorfketal (India), Deltachem (Germany), Israel Chemicals Ltd (Israel), Arkema (France), SQM (Chile), Mosaic (US), Nutrien Ltd (Canada), Aakash Chemicals, Evonik Industries (Germany) and Encapsys LLC (US)

agricultural coatings market is experiencing a surge in innovation, driven by the need for enhanced crop protection and equipment durability. Here are some recent developments shaping the industry:

• Focus on Environmentally Friendly Solutions: A growing preference for eco-friendly coatings is driving the development of formulations with reduced volatile organic compounds (VOCs) and bio-based raw materials. This caters to environmental concerns and regulations.


• High-Performance Coatings Gain Traction: Farmers are increasingly seeking coatings that offer superior protection against harsh environmental conditions, including UV radiation, moisture, and chemicals. These high-performance coatings can extend the lifespan of equipment and infrastructure, leading to cost savings and improved operational efficiency. 

Scope of the Report

Global Agricultural Coatings Market, by Category

• Seed Coatings


• Fertilizer Coatings


• Pesticide Coatings

Global Agricultural Coatings Market, by Type 

• Polymers


• Colorants


• Pellets


• Others

Global Agricultural Coatings Market, by Coating Type

• Powder Coating


• Liquid Coating

Global Agricultural Coatings Market, by Application

• Agricultural Vehicles


• Agricultural Machinery


• Agricultural Tools


• Others

Global Agricultural Coatings Market, by End-Use

• Insecticides


• Herbicides


• Fungicides


• Rodenticides


• Other Pesticide Coatings

Global Agricultural Coatings Market, by Region

• North America
  
  
  
  • The US
  
  
  • Canada
  
  
  • Mexico
  
  
  
  


• Europe
  
  
  
  • The UK
  
  
  • Germany
  
  
  • France
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • India
  
  
  • Japan
  
  
  • Australia and New Zealand
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • South America
  
  
  • The Middle East
  
  
  • Africa
  
  
  
  

Objectives of the Study

The objectives of the study are summarized in 5 stages. They are as mentioned below:

Market Size and Forecast:

To identify and estimate the market size for the global Agricultural Coatings market segmented by Category, Coatings, category, Application, and distribution channel by value (in US dollars). Also, to understand the consumption/ demand created by consumers of Agricultural Coatings from 2019 to 2030

Market Landscape and Trends:

To identify and infer, the drivers, restraints, opportunities, and challenges for the global Agricultural Coatings market

Market Influencing Factors:

To find out the factors which are affecting the sales of Agricultural Coatings among consumers

Impact of COVID-19:

To identify and understand the various factors involved in the global Agricultural Coatings market affected by the pandemic

Company Profiling:

To provide a detailed insight into the major companies operating in the market. The profiling will include the financial health of the company past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.

• There's a focus on developing new formulations that are more eco-friendly with lower VOCs (volatile organic compounds) and sustainable raw materials


• Developments in coatings for various applications are ongoing. This includes advancements in seed coatings, anti-corrosive coatings for equipment, and UV-resistant coatings to protect crops 

Intended Audience

• Agricultural Coatings Producers


• Raw Material Suppliers


• Retailers, Wholesalers, and Distributors


• Governments, Associations, and Industrial Bodies


• Investors and Trade Experts