Agricultural Inoculants Market

• shift in preference toward adoption of organic & environment-friendly farming practices to drive market growth

Beneficial microorganisms are contained in agricultural inoculants, also known as soil or microbial inoculants. These helpful microbes function as biofertilizers, plant growth promoters, and biopesticides. Inoculants are widely used in agriculture for a variety of crops around the world. Microbial agricultural inoculants aid in reducing the environmental impact of agrochemicals. Agricultural inoculants are in high demand due to the rising demand for organically grown food and growing concerns about the use of chemical pesticides and fertilizers. Organic farming is becoming more popular worldwide as people become more aware of the dangers of chemical fertilizers and pesticides.

Additionally, the area used for organic farming is expanding.

In farming, the use of inoculants to grow crops resistant to abiotic stress is increasing. Furthermore, governments in developing economies such as India assist farmers in transitioning to organic and sustainable agricultural practices. This is expected to drive the agricultural inoculants market revenue.

News :

November 2023: Lavie Bio Ltd., a subsidiary of Evogene Ltd., a prominent ag-biological company dedicated to enhancing food quality, sustainability, and agricultural productivity through microbiome-based advancements, is delighted to declare the enlargement of its microbiome-based product for spring wheat, now renamed as Yalos™ (previously known as Thrivus™), to encompass durum and barley.

This expansion significantly widens the potential market scope of the product. This expansion is a result of highly successful field testing carried out in the US in 2023 on durum and barley crops, which resulted in an average yield increase of over 7%. Yalos™ is a seed treatment that boosts agricultural output by enhancing soil nutrients, mitigating environmental stress, and maximizing yields. The objective is to enhance productivity in all types of small grains, beginning with spring wheat, durum, and barley.

The 2023 studies achieved a remarkable success rate of 86%, surpassing industry standards in comprehensive large-acre experiments. Yalos™ proved its effectiveness by achieving an average increase in production of 8.3% in Durum and 6.6% in Barley. This expansion enhances the product's potential market in the United States and Canada by approximately 40%, expanding it from 25 million acres to 35 million acres.

The Global Agricultural Inoculants Market Industry is poised for robust growth, with projections indicating a market value of 658.2 USD Billion in 2024 and an expected increase to 1479.2 USD Billion by 2035. This growth trajectory is underpinned by a compound annual growth rate (CAGR) of 7.64% from 2025 to 2035. Such figures suggest a strong market potential driven by various factors, including technological advancements, increasing awareness of sustainable practices, and the need for enhanced food security. The industry appears well-positioned to capitalize on these trends, reflecting a dynamic and evolving agricultural landscape.

The growing awareness of soil health and its critical role in sustainable agriculture is a key driver for the Global Agricultural Inoculants Market Industry. Farmers are increasingly recognizing that healthy soils lead to improved crop productivity and resilience against pests and diseases. This shift in mindset is prompting the adoption of inoculants that enhance soil microbial diversity and nutrient availability. As a result, the market is expected to witness substantial growth, with projections indicating a value of 658.2 USD Billion in 2024. This trend underscores the importance of soil health in achieving sustainable agricultural practices.

The Global Agricultural Inoculants Market Industry is experiencing a notable surge in demand driven by the increasing emphasis on sustainable agricultural practices. Farmers are increasingly adopting inoculants to enhance soil health and crop yields while minimizing chemical inputs. This shift aligns with global sustainability goals, as evidenced by the projected market value of 658.2 USD Billion in 2024. The growing awareness of environmental impacts and the need for sustainable food production systems are likely to propel the adoption of agricultural inoculants, thereby contributing to the industry's growth.

Government initiatives and supportive regulatory frameworks play a crucial role in shaping the Global Agricultural Inoculants Market Industry. Many countries are implementing policies that encourage the use of biological products in agriculture, recognizing their potential to enhance food security and environmental sustainability. For example, subsidies and grants for farmers adopting inoculants are becoming more common, facilitating broader adoption. This supportive environment is likely to foster innovation and investment in the sector, contributing to the industry's growth trajectory as it adapts to meet global agricultural challenges.

The rapid increase in global population is intensifying food security concerns, thereby driving the Global Agricultural Inoculants Market Industry. As the world population is projected to reach approximately 9.7 billion by 2050, the demand for food production is expected to rise significantly. Agricultural inoculants offer a viable solution to enhance crop yields and improve food quality, addressing these pressing challenges. The industry's growth is further supported by the anticipated market value of 1479.2 USD Billion by 2035, reflecting the critical role of inoculants in meeting future food demands.

Innovations in inoculant formulations are significantly influencing the Global Agricultural Inoculants Market Industry. Advances in biotechnology and microbial research have led to the development of more effective and targeted inoculants that enhance plant growth and resilience. For instance, the introduction of new strains of beneficial microbes has shown promising results in improving crop yields. These technological advancements not only optimize agricultural productivity but also align with the industry's projected growth, as it is expected to reach 1479.2 USD Billion by 2035, with a CAGR of 7.64% from 2025 to 2035.

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American agricultural inoculants market accounted for USD 0.37 billion in 2022 and is likely to exhibit a significant CAGR growth over the study period. Farmers are adopting new technologies to increase soil productivity and crop yield due to shrinking agricultural growth and public settlements. The US dominates the agricultural inoculants market due to its extensive arable land and cutting-edge farming techniques. Farmers prefer organic agricultural practices to maintain soil fertility and crop yield.

This has increased the demand for and consumption of agricultural inoculants in this region. The major companies with a significant presence in North America are ADM Animal Nutrition, Agri King, Cargill, Hansen Holding AS, and Corteva Agriscience.

Further, the major countries studied in the market report are the U.S., Germany, Canada, France, the UK, Spain, Italy, Japan, India, Australia, China, South Korea, and Brazil.

Figure 2: AGRICULTURAL INOCULANTS MARKET SHARE BY REGION 2022 (%)

Source: Primary Research, Secondary Research, Market Research Future Database, and Analyst Review

The European agricultural inoculants market accounts for the second-largest market share. Corn, soybean, and canola cultivation in the United Kingdom and Germany is expected to accelerate the growth of agricultural inoculants in the European region. Additionally, the quicker uptake of new technologies to boost crop productivity while reducing its detrimental environmental effects will support regional agricultural inoculants market expansion. Microbes are widely used as biofertilizers and biocontrol agents in countries such as Spain, Italy, and France.

Further, the German agricultural inoculants market held the largest market share, and the UK agricultural inoculants market was the fastest-growing market in the European region.

The Asia-Pacific Agricultural Inoculants Market is expected to grow at the fastest CAGR from 2022 to 2030. The growth of the Asia Pacific inoculants market can be attributed primarily to the large area under organic agriculture, particularly in countries such as Australia, China, and India. Factors such as the widespread adoption of advanced crop-quality-improving technologies increased organic farming implementation, and rising demand for high-quality crops drive regional market growth. In addition, the large area under rice cultivation necessitates using biofertilizers for nitrogen fixation and biocontrol microbial for fruit and vegetable cultivation.

The high utilization of agricultural inoculants for soybean production and the presence of largely agricultural land drive revenue growth in this region. Moreover, China’s agricultural inoculants market held the largest market share, and the Indian agricultural inoculants market was the fastest-growing market in the Asia-Pacific region.

The agricultural inoculants industry is fragmented, with both large and small businesses operating globally. The agricultural inoculants market major players, such as BASF, Corteva, Bayer, Rizobacter, Verdesian Life Sciences, and others, focus on new product launches and strategic expansions of their businesses to broaden their portfolios and meet demand. The major agricultural inoculants industry companies have manufacturing and service facilities in various countries worldwide, including Asia-Pacific, Europe, North America, South America, and the rest of the world.

Manufacturers of agricultural inoculants use important market development techniques like product innovation, plant capacity expansion, and acquisitions and mergers to improve their competitive positions globally and expand their customer base. One of the most important business strategies producers use in the agricultural inoculants industry to benefit customers and broaden the market is local production to reduce operating costs. Major market players actively focus on R&D activities, product portfolio expansion, geographic coverage, and aggressive acquisition strategies.

Corteva Agriscience offers agronomic services and support to farmers to increase their productivity and profitability. Corteva Agriscience is a publicly traded pure-play agriculture company offering farmers the most comprehensive portfolio of agricultural inoculants worldwide. Corteva Agriscience revealed its purchase of The Stoller Group Inc, one of the industry's largest independent biological companies, in November 2022. This acquisition would provide Corteva with rapid scale and profitability, with EBITDA margins that would benefit the company.

Also, BASF SE is a European multinational biotech company and the world's largest chemical producer. The company's headquarters are in Ludwigshafen, Germany. BASF manufactures and sells products for the chemical, automotive, construction, agriculture, oil, plastics, electrical, electronics, furniture, and paper industries and provides system solutions and services. BASF SE announced a collaboration with AMVAC Chemical Corp in March 2022 to develop Rhizo-Flo soybean agricultural inoculants for SIMPAS-applied solutions.