Tropical forage seeds market - 2023-2030

Overview

Global Tropical Forage Seeds Market reached US$ 1.6 billion in 2022 and is expected to reach US$ 2.96 billion by 2030, growing with a CAGR of 7.6% during the forecast period 2023-2030.

As the global population continues to grow, so does the demand for meat and dairy products. According to OECD -FAO Outlook 2020-2029, over the projection period, global milk production is expected to expand at a rate of 1.6% per year, exceeding that of most other major agricultural commodities and reaching 997 Mt by 2029. This drives the need for high-quality forage to feed livestock, leading to increased demand for tropical forage seeds.

There is a growing awareness of the importance of proper nutrition for livestock health and productivity. High-quality forage plays a crucial role in meeting the nutritional needs of livestock, providing essential vitamins, minerals, and protein. As a result, farmers are increasingly turning to high-quality forage crops to meet the nutritional needs of their animals, boosting demand for tropical forage seeds

Brachiaria held a significant share of the tropical forage seeds market due to their high nutritional value. Similarly, Asia-Pacific held a significant share of the tropical forage seeds market due to growing livestock production. According to the Animal Husbandry and Veterinary Department, Government of India, with 2.3% of the world's land area, India is home to about 20% of all livestock, with cattle making up 16% of the population, buffalo making up 55%, goats making up 20%, and sheep making up 5%.

Dynamics

Increasing Demand for Meat and Milk

The growing market for global meat and milk production is a major factor boosting the global tropical forage seeds market. As the global population grows, so does the demand for meat and milk products. According to Our World in Data, beef production globally stood at 76.77 million tons in 2021. Forage seeds provide essential protein, fiber, and energy to the livestock, which results in increased yield and also helps save costs incurred on adding additional protein and supplement additives.

Tropical forage seeds provide multi-nutritional values to cattle which ensure the healthy breeding of cattle. Forage plays a crucial role in providing essential nutrients to livestock, including proteins, carbohydrates, vitamins, and minerals. This helps farmers improve meat and milk productivity and raise incomes. The increasing cattle stocks across the globe are a primary factor attributing to the growth of the global tropical forage seeds market.

Government Initiatives

Governments allocate funds for research and development initiatives aimed at improving forage seed varieties. This includes breeding programs to develop new cultivars with desirable traits such as higher yield, better nutritional content, disease resistance, and tolerance to environmental stresses. By supporting research efforts, governments contribute to the continuous improvement of forage seed quality and performance.

In January 2024, Saskatchewan Agriculture Minister David Marit announced funding of $6.8 million for research on beef and forage. This funding represents a 14% increase over the 2023 program. This type of government funding encourages farmers to adopt improved forage management practices. This is further boosting the demand for tropical forage seeds.

Climate Vulnerability

Tropical regions are often prone to extreme weather events such as droughts, floods, and cyclones, which can negatively impact forage crop production. Climate variability and unpredictability pose challenges for farmers in selecting suitable forage species and managing crop yields. Erratic weather patterns can lead to crop failures, reduced forage quality, and increased production costs, thereby limiting market growth.

Similarly, excessive rainfall and flooding can cause soil erosion, waterlogging, and plant damage, further impacting forage productivity. These unpredictable weather events increase the vulnerability of tropical forage production systems, posing challenges for farmers and hindering market growth. Hence, Climate vulnerability acts as a significant restraint for the growth of the tropical forage seeds market

Segment Analysis

The global tropical forage seeds market is segmented based on forage collection type, crop type, application and region.

Brachiaria's High Nutritional Value

Brachiaria is the single most important genus of forage grass for pasture in the tropics. Brachiaria cultivators can grow in infertile and acidic soils. Brachiaria grasses have several desirable traits that include adaptation to marginal soils, water stresses, and shade tolerance, high biomass production potential, ability to sequester carbon, increased nitrogen use efficiency through biological nitrification inhibition (BNI), and subsequently the ability to reduce greenhouse gas emissions and groundwater pollutions.

Tropical Seeds, LLC provides Mulato II grass seed is a premium forage non-GMO hybrid of the brachiaria family. According to the company, milk output increased by 11% during the dry season and by 23% during the wet season thanks to Mulato II. Brachiaria, being a highly palatable and nutritious forage, increases livestock productivity. Hence, the high nutritional and palatable property makes brachiaria have the highest market value.

Geographical Penetration

Asia-Pacific's Growing Livestock Consumption

The Asia-Pacific region is home to a significant portion of the global livestock population, including cattle, sheep, goats, and buffaloes. The rapid expansion of the livestock farming sector in countries like China, India, Indonesia, and Vietnam has created a significant market for tropical forage seeds. The demand for high-quality forage seeds to feed these animals is substantial, driving the growth of the tropical forage seed market in the region.

With economic development and urbanization, there has been a steady increase in meat and dairy consumption in Asia-Pacific countries. According to the USDA's projections, China will produce a record-breaking 7.7 million tonnes of beef in 2024, an increase of 2.7%. This trend has spurred the demand for improved forage varieties to enhance livestock productivity and meet the growing protein needs of the population.

COVID-19 Impact Analysis

The pandemic disrupted global supply chains, including the seed industry. Restrictions on movement, lockdowns, and logistical challenges hampered the transportation of tropical forage seeds, leading to delays in deliveries and distribution. Tropical forage seed production activities require manual labor for tasks such as planting, harvesting, and processing.

During the pandemic, labor shortages due to illness, quarantine measures, and movement restrictions impeded production activities, leading to reduced output and delays. The uncertainty surrounding the duration and severity of the pandemic created hesitancy among farmers and agribusinesses, leading to reduced investment. Market volatility and fluctuating prices further contributed to uncertainty in the tropical forage seed market.

Russia-Ukraine War Impact Analysis

The conflict in the region disrupted supply chains for agricultural inputs, including tropical forage seeds. Instability in the region led to price volatility in global agricultural markets, including the market for tropical forage seeds. The war directly impacted agricultural production in both countries. Disruptions to farming activities, such as planting, harvesting, and distribution, affected crop yields, including forage crops used for seed production.

By Forage Collection Type

• Grasses
• Legumes
• Others

By Crop Type

• Brachiaria
• Faboidea
• Mimosoideae
• Caeselpinioideae
• Others

By Application

• Family Ranch
• Commercial Ranch

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In June 2023, Advanta and nurture.farm collaborated to launch the Nutrifeed Germination Scheme. his innovative program attempts to shield dairy farmers against forage crop germination failure.
• In September 2023, DLF Seed, a provider of forage and turf seed acquired the Corteva Agriscience alfalfa breeding program. The purchase agreement between Corteva and DLF included the West Salem, Wisconsin, plant breeding and forage research center.
• In November 2022, To continue providing forage seeds to more than 160 farmers and livestock breeders, the Food and Agriculture Organisation of the United Nations (FAO) in Iraq organized a ceremony in the Bashiqa district of Nineveh.
• In March 2022, DLF declared that it acquired the assets of Oregon-based OreGro Seeds, a forage, cover crop, and turfgrass breeding company. With this acquisition, OreGro's exclusive cool-season types of forage grass, forage legume, turfgrass, cover crops, and small grains are available only through DLF and its international distribution partners.

Competitive Landscape

The major global players in the market include Ubon Forage Seeds Co., TROPICAL SEEDS, LLC, Selected Seeds, DLF Seeds, Advantage Crops Limited (ACL), S&W Seed Company Pty Ltd, North Queensland Tropical Seeds, Nature's Seed, Barenbrug, Advanta Seeds

Why Purchase the Report?

• To visualize the global tropical forage seeds market segmentation based on forage collection type, crop type, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of tropical forage seeds market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global tropical forage seeds market report would provide approximately62 tables, 53 figures and 186 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies