Seed Market Size, Share, Growth & Industry Analysis, By Breeding Technology (Genetically Modified, Conventional), By Category (Organic, Conventional), By Crop Type (Cereals & Grains, Fruits & Vegetables, Oilseeds & Pulses, Others) and Regional Analysis, 2024-2031

Seed Market Size

The global Seed Market size was valued at USD 52.06 billion in 2023 and is projected to reach USD 83.32 billion by 2031, growing at a CAGR of 6.19% from 2024 to 2031. In the scope of work, the report includes products offered by companies such as Bayer Crop Science AG, Corteva, Syngenta AG, BASF, Limagrain, KWS SAAT SE, Sakata Seed Corporation, AgReliant Genetics, LLC, DLF Seeds A/S, Yuan Longping High-tech Agriculture Co., Ltd. and others.

The seed market is a dynamic and essential sector within global agriculture that is constantly evolving to meet the increasing demand for food production. As the world's population continues to grow, the market is projected to experience sustained growth in the coming years. The emergence of biotechnology and genetic engineering has significantly transformed the seed industry, enabling the development of crops with enhanced traits such as increased yields, resistance to diseases, and tolerance to environmental stressors.

Additionally, changing consumer preferences toward organic and non-genetically modified organisms (GMO) products have created new opportunities for seed companies to create and promote specialized seed varieties. The growing focus on sustainability in agriculture has sparked innovation in the seed market, with a rising interest in seeds that require less water and pesticides. In response, companies are investing in research and development to produce seeds tailored to specific regions that are capable of thriving in specific climates. This assists farmers in maximizing their crop yields while minimizing environmental impact.

Analyst’s Review

The seed market has experienced steady growth over the past few years, driven by increasing demand for high-quality seeds with advanced traits. This trend is expected to continue in the foreseeable future as farmers are looking for seeds that offer improved yields and resilience to environmental challenges. Additionally, the rise of precision agriculture technologies is expected to boost seed market growth, allowing for more targeted and efficient seed placement.

As technology continues to advance, there is a potential for even more specialized and customized seeds to be developed, leading to increased productivity and sustainability in agriculture. Thus, companies in the seed industry, which are focusing on research and development, are well-positioned to capitalize on these opportunities, thereby facilitating further market growth. The seed market exhibits a positive outlook, with continued expansion and advancements in the industry.

Market Definition

Seeds are the core reproductive units of plants, containing the embryo, endosperm, and seed coat. They are essential for agriculture, serving as the starting point for cultivating crops such as fruits, vegetables, grains, and flowers. Robust regulation of seeds is crucial to ensure their quality, performance, and safety, benefitting both farmers and consumers. This regulatory framework includes measures such as certification, testing, labeling, and storage to maintain integrity and traceability.

Additionally, seeds are used for the production of food crops, ornamental plants, and trees for reforestation. Moreover, they are essential for the development of new plant varieties through breeding programs. The regulatory framework surrounding seeds varies by country, with regulations governing the sale, labeling, and distribution of seeds to ensure quality and prevent the spread of invasive species.

Instances of seed-related issues include debates over genetically modified seeds, concerns about the loss of biodiversity, and efforts to conserve rare and endangered plant species through seed banks. Seeds are a fundamental component of plant life and have far-reaching implications for agriculture, the environment, and human society.

Market Dynamics

Consumers are becoming increasingly conscious of the environmental and health impacts of their food choices, which is leading to a growing demand for organic and locally-sourced products. This shift in consumer behavior is driving farmers and food producers to adopt sustainable farming methods in order to meet this rising demand. Government regulations and incentives aimed at promoting sustainable agriculture further contribute to market growth by encouraging more farmers to switch to eco-friendly practices. The collective efforts of consumers, producers, and policymakers are driving the market toward a more sustainable future. This shift benefits the environment and positively influences consumer health.

By choosing organic and locally-sourced products, consumers can reduce their exposure to harmful chemicals and pesticides commonly found in conventionally-grown foods. As awareness of these benefits continues to grow, more individuals are making conscious decisions to support sustainable agriculture practices. With continued collaboration between consumers, producers, and policymakers, the movement toward a more sustainable food system is expected to gain greater momentum.

However, the growth of the market is expected to be hampered by high research and development (R&D) costs. The substantial financial investment required for innovation and product development poses a major challenge, particularly for smaller companies with limited resources. These companies are struggling to compete with larger corporations due to their comparatively limited funding available for R&D.

Additionally, the high costs can result in increased prices for consumers, making it harder for companies to attract new customers and expand their market share. The financial burden of R&D creates barriers to entry and slows down market growth. Nonetheless, in order to overcome these challenges, smaller companies are opting for strategic partnerships or collaborations with larger firms in order to share the costs of R&D and access additional resources. By finding ways to mitigate the financial burden of innovation, companies are better positioning themselves for growth in an increasingly competitive market.

Segmentation Analysis

The global seed market is segmented based on breeding technology, category, crop type, and geography.

By Breeding Technology

Based on breeding technology, the market is bifurcated into GMO and Non-GMO. The Non-GMO segment accounted for the largest market share of 53.9% in 2023, due to its long-standing history of success in producing desirable traits in crops and livestock. Farmers have relied on this method for generations, resulting in a level of trust and familiarity that is hard to overcome.

Additionally, Non-GMO breeding allows for the selection of specific traits without the use of genetic modification, appealing to consumers who prefer natural products. The relatively low cost and accessibility of conventional breeding techniques have further solidified its position as the primary method for improving agricultural yields.

By Category

Based on category, the market is bifurcated into organic and conventional. The conventional segment dominated the seed market with a significant share of 68.54% in 2023, mainly fueled by its proven track record of high yields and consistent performance across different growing conditions. Farmers have increasingly depended on these seeds for their reliability and predictability in delivering quality crops.

Additionally, conventional seeds are often more affordable and readily available compared to other organic seeds. This accessibility has made them a popular choice among farmers looking to maximize their profits while minimizing risks. Furthermore, the familiarity and ease of use associated with conventional seeds have further solidified their position as the preferred option in the seed market.

By Crop Type

Based on crop type, the market is bifurcated into cereals & grains, fruits & vegetables, oilseeds & pulses, and others. The cereals & grains segment led the seed market with a share of 41.25% in 2023, driven by its wide range of uses and high demand from both consumers and producers. These seeds are essential for the production of staple food items such as bread, pasta, and rice, making them a crucial component of the global food supply chain. Additionally, cereals and grains are used as feed for livestock, which is increasing their market value and driving their demand. The versatility and profitability of these seeds have made them a popular choice among farmers and seed companies, leading to their dominance in the market.

Seed Market Regional Analysis

Based on region, the global seed market is classified into North America, Europe, Asia Pacific, MEA, and Latin America.

The Asia-Pacific Seed Market share stood around 35.91% in 2023 in the global market, with a valuation of USD 18.69 million, due to its vast agricultural industry, favorable climate conditions, and advanced technology in seed production. Countries such as China, India, and Japan have been leading the way in seed research and development, resulting in high-quality, high-yielding seeds that are observing high demand worldwide.

Additionally, the region's strong focus on sustainable agriculture practices and government support for the seed industry has contributed to its continuous growth in the global market. With ongoing innovations and collaborations, Asia-Pacific is expected to maintain its position as a key region in the seed industry.

Latin America is projected to register the highest CAGR over the forecast period due to its ideal climate conditions for agriculture, which allow for a longer growing season and higher crop yields. Additionally, the rich biodiversity in the region has led to the development of unique and highly sought-after seed varieties that are in high demand globally.

Furthermore, Latin American countries have made significant investments in research and development, leading to continuous innovation in seed technology, thereby strengthening their position in the industry. The combination of favorable growing conditions, biodiversity, and technological advancements has solidified Latin America's position as a powerhouse in the seed market.

Competitive Landscape

The global seed market report will provide valuable insight with an emphasis on the fragmented nature of the industry. Prominent players are focusing on several key business strategies such as partnerships, mergers and acquisitions, product innovations, and joint ventures to expand their product portfolio and increase their market shares across different regions. Manufacturers are adopting a range of strategic initiatives, including investments in R&D activities, the establishment of new manufacturing facilities, and supply chain optimization, to strengthen their market standing.

List of Key Companies in Seed Market

• Bayer Crop Science AG
• Corteva
• Syngenta AG
• BASF
• Limagrain
• KWS SAAT SE
• Sakata Seed Corporation
• AgReliant Genetics, LLC
• DLF Seeds A/S
• Yuan Longping High-tech Agriculture Co., Ltd.

Key Industry Developments

• August 2023 (Product Launch): Bayer AG launched the herbicide-tolerant biotech corn Dekalb DK95R in Banggo village, Manggalewa district, Dompu Regency, West Nusa Tenggara, Indonesia.
• July 2023(Product Launch): Syngenta launched a new hybrid winter barley with tolerance to barley yellowing virus (BYDV) and higher yield.

The Global Seed Market is Segmented as:

By Breeding Technology

• GMO
• Non-GMO

By Category

• Organic
• Conventional

By Crop Type

• Cereals &Grains
• Fruits & Vegetables
• Oilseeds & Pulses
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • France
  • UK
  • Spain
  • Germany
  • Italy
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Rest of Asia Pacific
• Middle East & Africa
  • GCC
  • North Africa
  • South Africa
  • Rest of Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America