Hybrid Seeds: Better, Stronger, Healthier Yields

The Hybrid Seeds Market is projected to witness a CAGR of 9.19% over the forecast period to reach a total market size of US$37.302 billion by 2028.

A hybrid seed is made by pairing two distinct lineages of the identical plant. The crossing is the initial step in the formation of fruit. The seeds of this fruit are hybrid seeds. Open-pollinated (OP) seeds are recorded as OP types, while hybrid seeds are listed as F1 varieties. To find a formula that consistently yields better results, plant breeders routinely cross types and monitor the outcomes. It could take several years of repetitive process to obtain the perfect cross strain or variant of the seed. The goal is to create a hybrid seed that combines the best genetic characteristics of the two parent plants. Hybrid seeds frequently exhibit qualities like disease resistance, superior flavor or output, early maturity, and other characteristics. Different attributes are desired for various crops and as such, different types of variants are selected for crossing depending on the requirement. Hybrid seeds often perform better than their open-pollinated counterparts as they are made to combine the finest qualities of two strains.

Hybrid seeds provide a number of benefits over heirloom seeds, including the fact that they grow more quickly and easily, adapt to stress better, and generate crops with greater fruits, better returns, pest immunity, and extended shelf lifespan. When there is limited area to cultivate or plant crops, a larger yield per plant is crucial. Reduced losses when harvesting the products are assured by enhanced resistance to specific illnesses. Hybrid seeds also have a longer shelf life, which improves their capacity for storage or shipping. This is very beneficial when a product item must be transported across great distances from the producer to the market.

The market for hybrid seeds is expected to expand throughout the forecasted period as a result of the expansion of the population and the rise in the need for a robust agricultural output.

The demand for fresh fruits, vegetables, and other commodities has increased as people’s concern for their personal health has grown. This demand is aided by the customers’ acceptance of healthy diet modifications. The volume of vegetables and seeds that farmers cultivate and produce has expanded significantly. For instance, the Indian Department of Agriculture & Farmers Welfare estimates that in 2021, India produced more than 103 million metric tons of fruits and approximately 197 million metric tons of vegetables. As a result of the rising demand for and production of fruits and vegetables, there has been an increase in the crossing of seeds in order to produce hybrid seeds with higher quality and larger profit. Due to the population growth, there is now a much greater requirement for food supplies. The increased need for food supply, rising health consciousness, and desire to produce higher yields of food supply are all contributing factors that are expected to significantly influence the hybrid seeds market, which is anticipated to rise rapidly in the upcoming years.

Climate change and difficult implementation processes impede the growth of this industry.

The rising emissions of carbon dioxide and other poisonous gases, which have seriously impacted the climate, have a negative influence on the horticulture and agriculture sectors, which in turn hinder the development of hybrid seeds and its market. The adoption of hybrid seeds has been slowed down by a variety of issues including decreased purchasing power, a dearth of novel kinds that are compatible, increased hybrid seed prices, poor infrastructure, and exorbitant research expenses.

The development of the hybrid seeds market has been aided by initiatives undertaken by key firms to invest and improve products to promote and introduce the benefits of hybrid seeds.

The Filipino company SL Agritech, which conducts research, develops, produces, and distributes hybrid rice seed and premium quality rice, strengthened its advocacy for aiding the Philippines in achieving food security in November 2022 by showcasing hybrid seed technology to farming communities both locally and internationally. In the same year, the company has consistently worked with a variety of organizations to promote high-yielding seed varieties that are meant to help the country produce enough rice to fulfill the demand of the growing population. SL Agritech was joined by 3,000 farmers from around the nation and 500 Agricultural Extension Workers (AEW) from different provinces in the Ilocos Region at the National Rice Technology Forum (NRTF). The organization highlighted the benefits of hybrid seeds through instructional demonstrations and technology forum meetings, allowing farmers to assess the potential of these types and obtain a thorough understanding of the seeds’ actual field performance. The event’s aim was to increase the farmers’ current inbred seeds’ production by at least 2 metric tons (MT).

In October 2022, KKR agreed to invest $300 million in Advanta Enterprises Limited, a global seed company based in Dubai, United Arab Emirates. KKR purchased a 13.33% part in the company that joined UPL Limited, a provider of global agricultural solutions. After the transaction was completed, Advanta started operating as a standalone platform. KKR aims to collaborate closely with the firm to help it grow regionally and internationally, through bolt-on acquisitions and utilizing its wealth of knowledge and experience in strategic carve-outs, the agriculture sector, and enhanced practices in environmental, social, and governance. Advanta is dedicated to sustainable agriculture and provides growers with high-performing hybrid seeds that have been developed using cutting-edge technologies in conventional plant breeding. These seeds have been suited to the local environment.

In January 2023, Royal Queen Seeds, one of the top cannabis seed banks in Europe, revealed its plans to launch and provide real F1 cannabis hybrids with the consistency, stability, and yield quality required by the nascent legal cannabis market. RQS F1 seeds, which are cultivated from only inbred lines, intend to transform the cannabis industry by providing a steady crop and a consistent final product. The unique auto-flowering F1 hybrids are nearly indistinguishable from photo-dependent cannabis plants because of their sturdy construction, pleasing uniformity, and stunning inflorescence structure.

The regions of North America and Europe are projected to account for a sizeable portion of the hybrid seeds market over the forecast period.

The North American region dominates hybrid seed sales, and it is anticipated that it will continue to occupy a substantial portion of the market in the years to come. The Asia Pacific and Latin America areas are predicted to experience considerable growth in the hybrid seed market over the projected period. The Asia Pacific region is one of the key markets for the hybrid seed industry as it is the continent with the highest population as well as the continent with the largest area for cultivation. Some of the world’s most populous countries are located in Asia Pacific, which are expected to result in a rise in the region’s food demand. Other factors, such as the climate and the fertile terrain, have also contributed to the high level of farming output in this region. China and India are the two nations that produce the most significant crops, such as grains and cereals. These factors have caused the region hold substantial shares of hybrid seed industry, and are expected to increase its share during the projected period.