Global Agriculture Biotechnology Market Outlook, 2029

Global Agriculture Biotechnology Market Outlook, 2029

Agricultural biotechnology is a field that has revolutionized the farming industry. By incorporating advanced techniques from genetic engineering and molecular biology, agricultural biotechnology aims to improve the quality, productivity, and sustainability of agricultural practices. This cutting-edge approach has brought significant advancements in crop and livestock production, pest and disease management, and food security. Agricultural biotechnology refers to the use of scientific techniques, such as genetic engineering and molecular markers, to modify and improve agricultural products. It encompasses a wide range of applications, including the development of genetically modified (GM) crops and animals, the creation of biofertilizers and biopesticides, and the breeding of improved plant and animal varieties. Agricultural biotechnology, also known as agritech, is a dynamic field within agricultural science that leverages scientific tools and techniques like genetic engineering, molecular markers, and tissue culture to modify living organisms such as plants, animals, and microorganisms. This innovative approach has revolutionized crop production by introducing desirable traits from one species to another, resulting in crops with enhanced characteristics like flavor, color, growth rate, size, and resistance to diseases and pests. Throughout history, farmers have employed selective breeding to enhance plant and animal traits. However, the 20th century witnessed a significant surge in agricultural biotechnology, leading to the development of traits like pest resistance, drought tolerance, and herbicide resistance. The commercialization of biotech crops began in 1990, with millions of farmers worldwide adopting these crops by 2003, particularly in developing countries. Agricultural biotechnology encompasses various crop modification techniques, including traditional breeding and mutagenesis. Traditional crossbreeding involves mating two compatible species to create new varieties with desired traits, while mutagenesis induces random mutations in plants to generate genetic diversity. Notably, genetically modified crops like Bt cotton and non-browning apples have demonstrated significant benefits, such as reduced insecticide use and enhanced product quality. The safety of genetically modified organisms (GMOs) is a subject of global debate. In the United States, agricultural biotechnology is regulated by the Department of Agriculture (USDA), the Environmental Protection Agency (EPA), and the Food and Drug Administration (FDA). The approval process for GMOs is rigorous, involving years of research and evaluation to ensure consumer safety and environmental protection.

According to the research report, “Global Agricultural Biotechnology Market Outlook, 2029” published by Bonafide Research, the market is anticipated to cross USD 80 Billion by 2029, increasing from USD 53 Billion in 2023. The market is expected to grow with 8.14% CAGR by 2024-29. The world’s population is expected to reach approximately 9.7 billion by 2050. As populations increase, so does the demand for food. Agricultural biotechnology offers ways to increase crop and livestock productivity to meet the growing demand for food. Many regions around the world face food security challenges due to factors such as climate change, limited arable land, and water scarcity. Agricultural biotechnology helps increase crop yields and develops plants that are more resilient to adverse conditions, supporting food security. Climate change presents a major threat to agricultural productivity, causing more extreme weather events and altering growing seasons. Biotechnology can help create crops that are more tolerant of drought, heat, and other environmental stresses. Sustainable farming practices are increasingly important as the world seeks to reduce the environmental impact of agriculture. Biotechnology contributes by enabling crops that require fewer chemical inputs and by facilitating precision agriculture. Continuous progress in biotechnological methods, such as gene editing tools like CRISPR/Cas9, opens new opportunities for the development of crops and livestock with desirable traits. These advancements have made agricultural biotechnology more accessible and effective. Consumers are becoming more conscious of the nutritional value of their food. Agricultural biotechnology can enhance the nutritional content of crops, offering a direct benefit to consumers. Governments around the world recognize the potential of agricultural biotechnology to improve food security and economic growth. This has led to increased funding and support for research and development in the field. Major companies in the agricultural and biotechnology sectors are investing heavily in research and development, creating innovative products and solutions that are driving the market's growth. The expansion of international trade and access to global markets has increased the demand for biotech products. Companies can now export innovative products worldwide, leading to growth in the market.

Market Drivers

• Climate Change Adaptation: One of the primary drivers for agricultural biotechnology is the need to adapt to climate change. As the global climate continues to change, it presents challenges such as extreme weather events, unpredictable growing seasons, and shifts in pest and disease patterns. Biotechnology offers solutions such as developing crops that are more tolerant of drought, heat, and salinity, helping farmers maintain productivity despite these environmental challenges.
• Food Security and Nutrition: As the global population continues to grow, ensuring food security becomes increasingly important. Agricultural biotechnology enables the development of high-yielding, disease-resistant crops and livestock, which can help meet the rising demand for food. Additionally, biotechnology can enhance the nutritional content of crops, offering improved health benefits to consumers and addressing malnutrition.

Market Challenges

• Regulatory and Safety Concerns: Ensuring the safety of genetically modified (GM) crops and animals for human consumption and environmental impact is a major challenge. Different countries have varying regulatory frameworks and approval processes, which can create barriers to market entry for biotech products. Overcoming these regulatory hurdles while maintaining stringent safety standards is essential for the continued growth of the industry.
• Public Perception and Acceptance: Despite the potential benefits, public perception of agricultural biotechnology can be a barrier to its adoption. Some consumers are wary of GM foods due to concerns about their safety and long-term effects. Addressing these concerns through transparent communication, education, and labeling can help build trust and acceptance among consumers.

Market Trends

• Precision Agriculture: Precision agriculture is a trend that combines agricultural biotechnology with data analytics, sensors, and GPS technology to optimize farming practices. By using precise data on soil conditions, weather, and crop health, farmers can tailor their interventions, such as water and fertilizer application, to specific areas of their fields. This approach enhances productivity and sustainability.
• Gene Editing and CRISPR Technology: Gene editing tools such as CRISPR/Cas9 are becoming increasingly important in agricultural biotechnology. These techniques allow for precise modifications to plant and animal genes, enabling the development of new varieties with specific traits such as disease resistance or improved nutritional content. Gene editing offers a more targeted and efficient approach compared to traditional breeding methods.

Hybrid seeds are leading in the agricultural biotechnology industry because they offer farmers and the global agricultural sector the opportunity to achieve significantly higher yields, uniform quality, and resilience against environmental stressors, directly contributing to food security and economic profitability.

Hybrid seeds are developed by crossing two genetically distinct parent plants to produce offspring with superior traits. This process, known as hybridization, capitalizes on heterosis or hybrid vigor, a phenomenon where the resulting hybrid offspring exhibit greater strength and productivity than either parent. The advantages of hybrid seeds make them a central focus in the agricultural biotechnology industry, benefiting farmers, consumers, and the environment alike. Hybrids often exhibit greater biomass production, higher grain yield, and improved resistance to various environmental stressors. This boost in productivity is crucial for meeting the rising demand for food driven by population growth and changing dietary patterns worldwide. By utilizing hybrid seeds, farmers can achieve more efficient use of land and resources while maintaining a steady supply of crops. Hybrid seeds produce crops with uniform characteristics, such as consistent size, shape, and maturity. This uniformity is essential for efficient harvesting, processing, and distribution of crops. For farmers, uniformity simplifies management practices and improves the predictability of harvests. For consumers and food processors, consistent quality ensures a reliable supply of products that meet specific standards. Hybrids are bred for specific traits such as resistance to pests, diseases, and environmental stresses like drought or salinity. This resilience enhances crop survivability and reduces the reliance on chemical inputs such as pesticides and fertilizers. As a result, hybrid seeds contribute to more sustainable agricultural practices and help protect natural ecosystems. The use of hybrid seeds can lead to economic gains for farmers through increased yields and reduced losses due to pests or unfavorable growing conditions. Additionally, the uniformity and quality of hybrid crops make them more attractive to buyers, potentially fetching higher market prices. This economic stability is crucial for the livelihoods of farmers, especially in developing regions. The development of hybrid seeds is a continuous process that drives innovation in the agricultural biotechnology industry. Researchers work to identify desirable traits and improve existing hybrids, resulting in more efficient, resilient, and high-quality crops. This ongoing research fosters collaboration between the private sector, academia, and government institutions, driving the industry forward.

Genetic engineering is leading in the agricultural biotechnology industry because it allows for precise manipulation of plant and animal genomes to introduce desirable traits such as disease resistance, enhanced nutritional content, and climate adaptability, which directly addresses global challenges in food security and sustainability.

Genetic engineering revolutionizes agriculture by providing precise and targeted methods to modify the genetic makeup of plants and animals. This level of control allows scientists to introduce specific, beneficial traits without altering other characteristics. For example, crops can be engineered to resist specific pests or diseases, reducing the need for chemical pesticides and minimizing environmental impact. This targeted resistance also ensures more reliable and consistent crop yields, which is crucial for meeting the demands of a growing global population. By modifying specific genes, scientists can increase the levels of essential vitamins and minerals in staple foods, contributing to improved health outcomes, particularly in regions where malnutrition is a concern. Examples include Golden Rice, which is engineered to produce beta-carotene (a precursor of vitamin A), and high-iron beans, which address iron deficiency. Genetic engineering also plays a pivotal role in developing crops that can withstand the effects of climate change. By introducing traits such as drought tolerance, heat resistance, and salinity tolerance, genetically engineered crops can thrive in challenging environments, supporting agricultural productivity even in areas affected by changing weather patterns. In addition to direct agricultural benefits, genetic engineering opens up opportunities for innovative solutions such as biofuels and biodegradable plastics derived from genetically modified organisms (GMOs). These advancements contribute to broader goals of sustainability and environmental stewardship. However, the leading role of genetic engineering in the agricultural biotechnology industry also presents challenges, including regulatory hurdles, ethical considerations, and public perception concerns. Strict regulatory frameworks ensure the safety and efficacy of genetically engineered products, while ongoing public engagement and transparency are essential for building trust and acceptance.

Transgenic crops and animals are leading in the agricultural biotechnology industry because they enable the introduction of novel traits from different species to enhance resistance to pests and diseases, improve nutritional content, and increase adaptability to environmental challenges, resulting in higher productivity and more sustainable farming practices.

Transgenic technology, which involves inserting genes from one species into another, allows for the creation of crops and animals with specific desirable traits that may not be possible to achieve through traditional breeding methods. This precision gives transgenic organisms an edge in terms of performance, efficiency, and adaptability in agricultural settings. For crops, transgenic technology can enhance resistance to pests, diseases, and environmental stresses such as drought or salinity. This leads to more robust plants that can thrive in challenging conditions while reducing the need for chemical inputs like pesticides and fertilizers. Examples of transgenic crops include Bt cotton and Bt corn, which produce a protein toxic to certain pests, effectively protecting the crops and reducing crop loss. Transgenic crops can also be engineered to have improved nutritional profiles, which is especially important for addressing malnutrition in developing regions. For instance, Golden Rice is a transgenic rice variety that contains beta-carotene, a precursor of vitamin A, which can help combat vitamin A deficiency in many parts of the world. In the case of transgenic animals, genetic engineering can be used to introduce traits that improve productivity, disease resistance, and the nutritional quality of animal products. For example, transgenic salmon have been engineered to grow faster, reducing the time to market and improving efficiency in aquaculture. Transgenic animals can also produce pharmaceuticals or other valuable substances in their milk or blood, expanding the potential applications of agricultural biotechnology. The introduction of transgenic crops and animals has significant economic benefits, as it allows farmers to increase yields and productivity while reducing losses. This can lead to greater profitability and stability for agricultural operations. Additionally, transgenic organisms can play a crucial role in ensuring food security by providing more resilient and high-quality sources of food. However, the use of transgenic technology also raises concerns regarding ethical considerations, regulatory approvals, and potential long-term impacts on the environment and human health. Public perception and acceptance are important factors that influence the adoption of transgenic products, highlighting the need for transparent communication and responsible practices.

Soybean is leading in the agricultural biotechnology industry because it is a versatile and highly valuable crop with significant global demand that benefits from biotechnology-enhanced traits such as herbicide tolerance and pest resistance, enabling increased productivity, efficiency, and sustainability in agricultural practices.

Soybean is one of the most important crops in the world due to its high protein and oil content, making it a key source of nutrition for humans and livestock and a major component of the global food and feed supply. In addition, soybean is widely used in the production of biofuels and various industrial products. The adoption of agricultural biotechnology, particularly genetic engineering, has greatly enhanced the potential of soybean cultivation. One of the most notable biotechnology advancements in soybean is the development of herbicide-tolerant varieties. These transgenic soybeans allow farmers to apply herbicides to control weeds without harming the crop. This has revolutionized soybean farming by enabling more efficient and cost-effective weed management, reducing the competition for nutrients, water, and sunlight, and ultimately boosting yields. Another significant innovation is the introduction of pest-resistant soybean varieties, which contain genes that confer resistance to specific insects such as soybean aphid or nematodes. These biotech traits reduce the reliance on chemical pesticides, lowering input costs and minimizing the environmental impact of farming. Biotechnology has also facilitated the development of soybeans with improved nutritional profiles, such as higher levels of healthy fats or essential amino acids. These innovations not only benefit consumers but also add value to soybean-based products and open up new markets. Soybean's adaptability to diverse climates and soil types further enhances its appeal, allowing it to be cultivated in many regions around the world. With biotechnology, soybeans can be developed to better tolerate abiotic stresses such as drought, making them more resilient to climate change. The economic benefits of biotech soybeans are substantial for farmers, including higher yields, reduced costs, and improved marketability. This, in turn, supports the global supply chain for soy-based products and contributes to economic growth in agricultural regions.

North America is leading in the agricultural biotechnology industry due to its advanced research and development infrastructure, supportive regulatory environment, strong agricultural sector, and early adoption of biotechnology innovations, which drive continued progress and leadership in the industry.

North America, particularly the United States and Canada, has established itself as a global leader in agricultural biotechnology for several key reasons. The region boasts a strong foundation in research and development (R&D) through leading academic institutions, research centers, and private sector companies focused on biotechnology. This robust R&D infrastructure fosters innovation, allowing for the creation of groundbreaking products and technologies in the agricultural sector. The supportive regulatory environment in North America plays a crucial role in the industry's success. Regulatory agencies such as the U.S. Department of Agriculture (USDA), the Food and Drug Administration (FDA), and the Environmental Protection Agency (EPA) provide clear guidelines and pathways for the approval and commercialization of biotechnology products. This framework ensures the safety and efficacy of biotech products while promoting innovation and market access. North America's strong and diverse agricultural sector serves as a significant driving force in the region's leadership in agricultural biotechnology. The continent is home to vast agricultural land and a wide range of climates that support the cultivation of various crops, from corn and soybeans to fruits and vegetables. The region's farmers are early adopters of new technologies, including genetically modified (GM) crops and precision agriculture practices, which enhance productivity and sustainability. Moreover, the early adoption of biotechnology innovations in North America has paved the way for advancements in crop and livestock production. For instance, GM crops such as herbicide-resistant soybeans and pest-resistant corn have been widely embraced by North American farmers, leading to increased yields and reduced input costs. Similarly, the development of biotech livestock has improved animal health and productivity. North America also has a strong presence of biotechnology companies that drive industry growth and global leadership. These companies invest heavily in research and development to create cutting-edge products and solutions, often in collaboration with academic institutions and government agencies. This ecosystem supports the commercialization of biotech products and the dissemination of knowledge and expertise worldwide.

Recent Developments

• In March 2024, IPL Biologicals, a company focused on biopesticides, launched a new brand identity and unveiled their cutting-edge “Microbot"" technology. Microbots are described as a new class of natural pesticides that target specific insect pests.
• In December 2023, at the Global Bio-India event, 14 new biotech-based products were launched across various sectors, including agriculture. These products were developed by startups and entrepreneurs and may be some of the first to hit the market.
• Pairwise Plants, a startup company, has been using CRISPR gene-editing technology to develop new varieties of fruits and vegetables. In 2021, they launched their first product, a variety of leafy greens with enhanced nutritional profiles and improved shelf life.
• In 2020, Bayer Crop Science launched its short-stature corn, a product of extensive biotechnological research. This new variety of corn is designed to be shorter and sturdier, enabling it to withstand harsh weather conditions better, such as strong winds and heavy rain. The short-stature corn also allows for higher planting density, leading to increased yield per acre.
• Corteva Agriscience introduced Qrome technology; a new generation of corn hybrids that combines the benefits of transgenic and native traits. Qrome technology offers improved resistance to insects, diseases, and environmental stress, leading to higher yield potential and improved grain quality.
• Syngenta's Enogen corn is a biotech corn hybrid that features an in-seed innovation, the alpha-amylase enzyme, which converts starch into sugar during ethanol production. This innovation allows for more efficient ethanol production, reducing energy consumption and greenhouse gas emissions.
• BASF, in collaboration with Cibus, launched a new herbicide-tolerant canola in 2020. This non-GMO canola variety is resistant to sulfonylurea herbicides, providing farmers with an additional tool for weed management and crop rotation.
• Indigo Agriculture introduced microbial seed treatments that enhance crop health and yield. These treatments use naturally occurring microbes to improve the plant's resistance to stress, increase nutrient uptake, and promote overall plant health.

Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Agriculture Biotechnology market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Hybrid Seeds
• Transgenic Crops
• Bio-pesticides
• Bio-fertilizers

By Technology
• Genetic Engineering
• Tissue Culture
• Embryo Rescue
• Somatic Hybridization
• Molecular Diagnostics
• Vaccine
• Others

By Application
• Transgenic Crops & Animals
• Antibiotic Development
• Biofuels
• Vaccine Development
• Nutritional Supplements
• Flower Culturing
•
By Crop Type
• Soybean
• Maize
• Cotton
• Others (Canola, alfalfa, sugar beets, potatoes, papaya, squash, apples)

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Agriculture Biotechnology industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.

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