Hybrid Seeds Market Size, Share, Competitive Landscape and Trend Analysis Report by Crop, Duration, Seed Treatment and Farm Type : Global Opportunity Analysis and Industry Forecast, 2022-2031

The global hybrid seeds market size was valued at $59,555.2 million in 2020, and is estimated to reach $166,189.8 million by 2031, registering a CAGR of 9.6% from 2022 to 2031.

Hybrid seeds are derived from natural out-breeding crops. Inbred lines are produced from these crops through repeated self-pollination. Established inbred lines are then crossed to develop first-generation (F1) hybrid seeds. These seeds enhance the characteristics of resulting plants (F1), as they offer better yield, enhanced color, significant uniformity, and disease resistance. Saving of seeds developed from F1 hybrid plants is undesirable, as the generated seeds do not reliably create true copies, and thus new hybrid seeds are purchased for each planting.

Product innovation and modernization of agriculture are the major factors that drive the global hybrid seeds market growth. In addition, introduction of enhanced hybrid seed varieties, diversification of diets, and increase in use of hybrid seeds having advanced traits attached, such as seed coatings are other factors, which are expected to supplement the market growth. Asia-Pacific accounts for the highest share in hybrid seeds market, in 2020 due to surge in population, rise in disposable income, and development in the agricultural sector. The region has minimum restrictions associated with import and export of hybrid varieties. Financial and technical assistance from foreign agencies, such as the U.S. Agency for International Development (USAID), Rockefeller Foundation, World Bank, and Ford Foundation in early development of seeds to strengthen breeding, processing of seed, and quality control plays a significant role in growth and development of the market.

Variable climatic conditions and the fact that hybrid seeds cannot be reproduced as the genes in F1 hybrid get segregated in the offspring which hinder the market growth. However, increase in demand for hybrid seeds in emerging countries is expected to provide lucrative opportunities for the market growth.

The hybrid seeds market is segmented into crop, duration seed treatment, farm type and region. On the basis of crop, the market is categorized into field crops (cotton, corn, rice, millet, sunflower, and sorghum) and fruits & vegetable crops (tomato, okra, chilli, cauliflower, cabbage, gourds, watermelon, cucumber, and others). By duration, it is bifurcated into short-term, medium-term, and long-term. Depending on seed treatment, it is segregated into treated and untreated. On the basis of farm type, market is bifurcated into indoor and outdoor. Region wise, it is analyzed across North America (the U.S., Canada, and Mexico), Europe (UK, Germany, France, Spain, Italy, and rest of Europe), Asia-Pacific (China, Japan, India, Australia, South Korea, and rest of Asia-Pacific), and LAMEA (Brazil, South Africa, Saudi Arabia, Turkey, and rest of LAMEA).

According to the hybrid seeds market trends, on the basis of crop, the fruits & vegetable crops segment was the highest revenue contributor to the market, with $40,951.5 million in 2020, and is estimated to reach $118,878.4 million by 2031, at a CAGR of 10.0% during the forecast period. Fruits & vegetables crops  segment grows at highest rate, in terms of both value and volume in the market. Okra is the fastest growing segment followed by chilli. Hybrid seeds used to produce okra crop offer resistance against yellow vein mosaic virus (YVMV) and enation leaf curl virus (ELCV). Development of hybrids having heat tolerance and resistance to viruses with male sterility to aid production of seed are expected to significantly transform the okra crop landscape, as more conversions occur from open pollinated seeds to hybrids. Chilli is grown under varied range of agro-climatic conditions, such as rainfed systems, and is a broadly segmented crop due to regional preferences. Thus, above mentioned factors are likely to garner the growth of the market through fruits, and vegetables segment.

According to the duration, the medium-term segment was the significant contributor to the market, and is estimated to reach $32,470.1 million by 2031, at a CAGR of 8.6% during the forecast period. Medium term crops are those which has life term of greater than one year and less than five years. Hybrid seeds are significantly used for medium term fruits and vegetables. This provides cash flow capabilities that will allow the farmer to extend the farming operations such buying costly machinery which may be required for the farming. Thus, hybrid seed is expected to gain significant popularity in medium term crops during the forecast period.

On the basis of seed treatment, the treated segment was accounted for major share in global hybrid seeds market and is expected sustain its share throughout hybrid seeds market forecast period. Treated hybrid seeds are coated with pesticides and other chemicals in order to limit crop damage from fungus and insects. Treated segment gained major popularity in hybrid seeds market owing to various benefits associated such as lower the risk of seed damage, reduction in yield and low quality of the crops. Treated hybrid seeds can be identified through is bright color. Thus, above mentioned factor are likely to support the growth of the hybrid seeds market through treated segment. 

According to the hybrid seeds market analysis, on the basis of farm type, the indoor segment was the considerable contributor to the market, with $25,807.8 million in 2020, and is estimated to reach $74,344.9 million by 2031, at a CAGR of 9.9% during the forecast period. Hydroponics, greenhouse and poly house are some of the methods are highly popular in indoor farming. It has been gaining major popularity in farmer community owing to advantages associated such as crops can be taken in adverse conditions, high productivity, highly energy efficient and minimum usage of water. 

According to the hybrid seeds market opportunities, region wise, Asia-Pacific gained major hybrid seeds market share and is expected to sustain its share throughout hybrid seeds market forecast period. India accounted for the highest market share in Asia-Pacific hybrid seeds market in 2020, owing to increase in demand for fruit & vegetable crops. India hybrid seeds market generated revenue of $17,729.4 million in 2020, and is estimated to reach $51,780.8 million by 2031, growing at a CAGR of 10.0% during the forecast period. This high market share is majorly attributed to increasing area under the indoor farming and growing demand for organic fruits and vegetables and high valued fruits, vegetables, and flowers which, can easily and efficiently produced in the indoor farming. 

The players operating in the global hybrid seeds industry have adopted various developmental strategies to expand their market share, increase profitability, and remain competitive in the market. The key players profiled in this report include Bayer AG, Biostadt India limited, Corteva Agriscience, Crystal Crop Protection Pvt. Ltd., Emerald seed company, Kaveri seed company, KWS SAAT SE & Co., Mahyco seeds ltd., Syngenta Crop Protection AG ,and UPL Limited.

Key Benefits For Stakeholders

• The report provides a quantitative analysis of the current trends, estimations, and dynamics of the market size from 2020-2031 to identify the prevailing opportunities.
• Porter’s five forces analysis highlights the potency of buyers and suppliers to enable stakeholders to make profit-oriented business decisions and strengthen their supplier–buyer network.
• In-depth analysis and the market size and segmentation assist to determine the prevailing market opportunities.
• The major countries in each region are mapped according to their revenue contribution to the market.
• The market player positioning segment facilitates benchmarking and provides a clear understanding of the present position of the market players in the hybrid seeds market.

  Hybrid Seeds Market Report Highlights

Aspects	Details
By Crop	Field Crops Cotton Corn Rice Millet Sunflower Sorghum Fruit & Vegetable Crops Tomato Okra Chili Cauliflower Cabbage Gourds Watermelon Cucumber Others
By Duration	Short-term Medium-term Long-term
By Seed Treatment	Treated Untreated
By Farm Type	Indoor Outdoor
By Region	North America  (U.S., Canada, Mexico) Europe  (UK, Germany, France, Spain, Italy, Rest of Europe) Asia-Pacific  (China, Japan, India, Australia, South Korea, Rest of Asia-Pacific) LAMEA  (Brazil, South Africa, Saudi Arabia, Turkey, Rest of LAMEA)

Analyst Review

The hybrid seed industry is rapidly growing globally. Hybrid seeds are predominant in agriculture and is the major contributing factors to rise in overall agricultural output. Modernization of agriculture and increase in usage of hybrid seeds with advanced traits, such as pelleting & seed coating are primary factors that drive the growth of the market globally. Biological & mechanical innovation associated with farms and production of enhanced hybrid varieties are other factors, which supplement the market growth. Male sterility is utilized in crops wherever possible, as it makes seed production easier; for instance, rice hybrids are produced by utilizing cytoplasmic male sterility.

Outbreak of COVID-19 adversely affected the growth of the hybrid seeds market. Revenue in 2020 for hybrid seeds was decreased significantly owing to disruption in supply chain, limited production, certification of the seeds, and increase in cost of transportation.

R&D activities conducted by various breeding companies focus on making the crops disease resistant. Thus, these companies are devoting considerable resources to produce disease screening techniques. Abiotic resistance is a significant area for research in hybrid seed industry. Hybrids with better water use efficiency and heat tolerance are developed due to scarcity of water. Continuous increase in input costs of fertilizers have led to the development of hybrids with better nutrient use efficiency. These seeds have the potential to maintain yields under low input regimes. Onion hybrids with tolerance to diseases, uniformity, and storage qualities are expected to be major achievement in the industry. Specialty products in watermelon, cucumber, and tomato are expected to make a positive impact in the market.

Economic growth and rise in disposable income fueles the growth of the market in emerging economies, such as India and China. Special schemes to upgrade seed quality and flexibility of norms associated with export to overseas country play a significant role in growth and development of the market in emerging countries, majorly in India.

 

 

Author Name(s) : Anil Kamble | Roshan Deshmukh

Related Tags

• Seeds
• Agriculture
• Agricultural Produce
• Agriculture Processing