The seed colorant market is expected to grow at a CAGR of 8.27%, reaching a market size of US$1,623.92 million in 2029 from US$931.237 million in 2022.
Seed colorants are dyes and pigments coated on the seed's skin to differentiate them based on application and seed treatment. To distinguish distinct brands, uses, genetic features, and technological advancements, many marketed row crop, vegetable, grass, and flower seeds are sold with colored coatings. Regulatory bodies like EPA have also made it mandatory to use certain colors to coat the seeds. A few examples of common seed coat colors include red, green, and blue pigments.
When large amounts of seeds are handled, seed colorants are used to decrease dust management and improve seed flowability. Additionally, they can increase seed-to-soil contact, seedling emergence, and seedling survival by acting as efficient, highly sticky transporters for seed treatments. Seed colorants also improve the bulk density of the seeds for fly-over applications of grass seeds from aircraft, resulting in less wind drift and more precision for cover cropping. Therefore, the growing demand for seed treatment and progress in seed technology contribute to the global market expansion. The population boom has resulted in burgeoning demand for food crops and grains, positively contributing to global market operations. In addition, the rising use of non-GMO and hybrid seeds has provided massive opportunities for key market players in this industry.
Seed Colorant Market Drivers
Significant population growth has led to a huge demand for high-yielding, nutritious food crops and grains to feed society. This has led to a growing demand for chemically treated seeds to protect them from any pest attacks as huge amounts of crops are lost due to pest attacks. FAO estimates that between 20 and 40 percent of the world's crop yield is lost yearly to pests. Plant diseases cost the world economy over US$220 billion annually, and invasive insects cost the economy about US$70 billion. Seed colorants protect the seed from dust and other microbes and are usually applied to insecticide-treated seeds.
Due to friendly government policies, farmers' awareness of seed treatment and related technologies has been increasing. For example, the Indian government introduced a nationwide program for pesticide industry organizations. These included the Agricultural Technology Management Agency, Central Integrated Pest Management Centres, Krishi Vigyan Kendra, and NGOs that will ensure 100% seed treatment for all major crops.
The market for seed coating colorants is expanding due to rising food demand. Increased food production can be achieved through seed coating, which also helps to increase crop yields through improved food quality and seed germination. Consequently, as food demand rises, so does the need for colorants used in seed coating. For example, in 2022, the consumer price index (CPI) for all food items increased by 10.4% from December 2021 to December 2022, as reported by the US Department of Agriculture, a US-based Federal government department. Food prices determine demand. So, increasing food consumption has been responsible for driving up the need for seed-coating dyes.
Pest infestation has led to an expected rise in the market for seed-coating colorants. Thus, protective agents infused with colorants for seed coating provide better crop protection, reduce dependence on external pest control methods, and enhance crop productivity. By being proactive and targeted in their approach, these colorants offer a cost-effective long-term solution to farmers. In addition, plant diseases alone cost the world economy more than $220 billion annually, and invasive insects cause losses of about $70 billion. Consequently, the market for seed-coating colorants is expected to grow due to the rise in pest infestation.
Seed Colorant Market Geographical Outlook
The United States holds the largest share of the North American market for seed colorants, followed by Canada and Mexico. The US has a significant market share because of mandatory government laws requiring treated seeds to be colored and technological developments. The Pest Management Regulatory Agency's requirement that seed colorants be used on treated seeds and the growing demand for premium seeds are the main drivers of the Canadian seed colorant market's expansion. The seed colorant market in the region is being driven by the seed treatment industry's expansion and the launch of novel products.
Seed Colorant Market Key Launches
Segmentation: