Global Herb Seeds Market - 2024-2031

Overview

Global Herb Seeds Market reached US$ 894.33 million in 2023 and is expected to reach US$ 1338.13 million by 2031, growing with a CAGR of 5.10% during the forecast period 2024-2031.

The global herb seeds market has experienced significant growth in recent years, driven by increasing consumer interest in health and wellness, organic food trends, and the rising popularity of home and urban gardening. Herbs such as basil, parsley, cilantro, thyme, and mint are in high demand due to their culinary uses and health benefits.

The market is also being propelled by technological advancements in agriculture, such as hydroponics and vertical farming, which enable efficient herb cultivation in limited spaces. Small and medium enterprises (SMEs) in the sector are particularly vulnerable to these challenges, often lacking the resources to absorb increased costs and delays. Addressing these issues requires improved supply chain management, investment in resilient logistics infrastructure, and streamlined regulatory processes to ensure the continued growth and stability of the global herb seeds market.

The culinary herb segment in global herb seeds market accounts over 43.84% share. Similarly, North America dominates the herb seeds market, capturing the largest market share of over 1/3rd. Consumers in North America have a strong preference for fresh, organic herbs over dried or processed alternatives. Home-grown herbs offer superior flavor, quality, and nutritional value compared to store-bought options.

Dynamics

Growing Popularity of Home Gardening

The growing popularity of home gardening has become a significant driver of the herb seeds market, propelled by various social, economic, and environmental factors. Gardening emerged as a popular choice, offering both a therapeutic activity and a means to secure fresh produce. According to the National Gardening Association's 2021 survey, approximately 18.3 million new gardeners emerged in the U.S. in 2020, with a significant number continuing their gardening activities into 2021.

Consumers' growing focus on health and wellness has further fueled the home gardening trend. Fresh herbs are highly valued for their culinary uses and health benefits, including rich nutritional profiles and potential medicinal properties. The preference for organic and home-grown produce has risen, with many consumers wary of pesticides and chemicals used in commercial farming.

The Organic Trade Association reported that organic food sales in the U.S. reached $62 billion in 2021, highlighting the consumer shift towards organic products, including herbs. By growing their own herbs, consumers can ensure the quality and purity of their produce, driving the demand for herb seeds. Economic factors also play a role in the increasing popularity of home gardening.

Growing herbs at home is cost-effective compared to purchasing fresh herbs regularly, offering a sustainable solution for budget-conscious consumers. Additionally, home gardening aligns with broader environmental concerns, as it reduces the carbon footprint associated with transporting produce and minimizes waste through composting and other sustainable practices.

Expansion of Urban and Vertical Gardening Practices

The expansion of urban and vertical gardening practices is a significant driver of the global herb seeds market. As urbanization increases and green spaces become scarce, innovative gardening methods such as urban and vertical gardening are gaining popularity. These practices offer efficient ways to cultivate herbs in limited spaces, driving the demand for herb seeds.

Urban gardening has become a crucial trend in cities worldwide as urban populations grow and green spaces diminish. This form of gardening involves growing plants within urban environments, including rooftops, balconies, community gardens, and other small spaces. The United Nations reports that by 2050, 68% of the world's population is expected to live in urban areas. This demographic shift necessitates creative solutions for food production, including the cultivation of herbs.

The popularity of urban gardening is evident in many major cities. For instance, in New York City, the number of community gardens has increased, with more than 550 registered gardens managed by the city's GreenThumb program. Similarly, in London, the Capital Growth initiative has created over 2,500 new growing spaces since its inception in 2021. These urban gardens often prioritize the cultivation of herbs due to their space efficiency and high value, thereby boosting the demand for herb seeds.

Supply Chain Disruptions and Logistics Challenges

Supply chain disruptions and logistics challenges have emerged as significant restraints on the global herb seeds market. These issues affect the availability, pricing, and timely delivery of herb seeds, impacting both producers and consumers. According to a report by the United Nations Conference on Trade and Development (UNCTAD), global trade contracted by approximately 9% in 2020 due to the pandemic. The agricultural sector, including seed distribution, was particularly affected, leading to shortages and increased prices for herb seeds.

Transportation and logistics challenges are critical issues for the herb seeds market. The complexity of moving seeds across regions and countries involves several steps, including packaging, storage, and transportation. Any disruption at any point in this chain can lead to significant delays and losses. For instance, container shortages and port congestion have become prominent issues, exacerbated by the pandemic and increased global demand for shipping services.

The World Bank reported that container freight rates surged by over 350% from 2020 to 2021, significantly increasing the cost of transporting goods, including herb seeds. Regulatory and trade barriers further complicate the supply chain for herb seeds. Different countries have varying regulations regarding the import and export of seeds, which can include stringent phytosanitary requirements, quarantine measures, and certification processes.

Segment Analysis

The global herb seeds market is segmented based on seed type, herb type, cultivation method, distribution channel and region.

Rising Popularity of Home Cooking and Gardening

The demand for culinary herb seeds has been a significant driver in the overall growth of the herb seeds market. This growth is attributed to the increasing consumer interest in fresh, home-grown herbs for culinary purposes, driven by a variety of social and economic factors. During the COVID-19 pandemic, there was a notable surge in home cooking and gardening activities as people spent more time at home. This trend led to a higher demand for culinary herb seeds.

According to the Garden Media Group's 2021 Garden Trends Report, gardening participation saw a sharp increase, with about 18.3 million new gardeners in the U.S. alone in 2021. The demand for herb seeds such as basil, parsley, cilantro, and thyme saw significant growth as these herbs are staples in home cooking and are easy to grow in home gardens.

Consumers are increasingly preferring fresh and organic herbs over dried or processed ones due to their superior flavor and nutritional benefits. This preference has boosted the demand for herb seeds as people aim to grow their own herbs to ensure quality and freshness. The Organic Trade Association reported that organic food sales in the United States grew to $62 billion in 2021, with organic herbs and spices contributing to this growth. The desire for organic produce is driving consumers to cultivate their own herbs, contributing to the increased sales of herb seeds.

Geographical Penetration

Increasing Trend of Natural and Organic Products in North America

The herb seed market in North America has been experiencing significant growth, driven by various factors including an increasing consumer interest in health and wellness, the popularity of culinary herbs, and the rise of home gardening. One of the primary drivers of the herb seed market in North America is the growing awareness and emphasis on health and wellness. Consumers are increasingly seeking natural and organic products, leading to a higher demand for fresh herbs, known for their nutritional benefits and medicinal properties.

According to a report by the Organic Trade Association, organic food sales in the United States reached $60 billion in 2022, with organic herbs and spices being a significant segment. The preference for organic and fresh produce has propelled the demand for herb seeds, as consumers look to grow their own herbs to ensure quality and freshness.

The culinary applications of herbs have also significantly boosted the herb seed market. Herbs like basil, parsley, cilantro, and thyme are staples in many North American kitchens, used to enhance the flavor of various dishes. The increasing popularity of cooking shows, food blogs, and the culinary arts has heightened interest in fresh, home-grown herbs.

A survey by the National Gardening Association revealed that 57% of American households engaged in gardening activities in 2022, with many focusing on growing their own food, including herbs. The same survey indicated that food gardening participation has grown by 200% over the last decade, illustrating a strong and growing interest in home gardening.

COVID-19 Impact Analysis

The COVID-19 pandemic significantly impacted the global herb seeds market through disruptions in the supply chain and shifts in consumer behavior. As lockdowns were enforced globally, many farmers and agricultural businesses faced challenges such as labor shortages, restrictions on movement, and delays in transportation. These disruptions led to reduced production and distribution of herb seeds.

Conversely, the pandemic also spurred a surge in home gardening and a heightened interest in self-sufficiency among consumers. With people spending more time at home and looking for productive activities, the demand for herb seeds for home gardening saw a notable increase. This trend was supported by a growing awareness of healthy eating and the benefits of fresh, home-grown herbs.

Russia-Ukraine War Impact Analysis

The Russia-Ukraine war has had a profound effect on the global herb seeds market, primarily through its impact on agricultural production and trade in the region. Ukraine is known as one of the world's key agricultural producers and exporters. The conflict has led to significant disruptions in farming activities, supply chains, and export routes. As fields have become battlegrounds and infrastructure has been damaged, the production of various crops, including herbs, has declined.

Furthermore, the war has exacerbated global food insecurity concerns and shifted focus towards food sovereignty and resilience. Countries dependent on herb seed imports from the affected region have been forced to seek alternative sources, potentially altering traditional trade patterns and partnerships. This geopolitical instability has also led to increased costs for transportation and insurance, further driving up prices.

By Seed Type

• Open-Pollinated Seeds
• Hybrid Seeds
• Genetically Modified (GM)

By Herb Type

• Culinary Herbs
• Medicinal Herbs
• Aromatic Herbs
• Ornamental Herbs
• Others

By Cultivation Method

• Traditional Outdoor Cultivation
• Greenhouse Cultivation
• Hydroponic Cultivation
• Vertical Farming

By Distribution Channel

• Supermarkets/Hypermarkets
• Online Retail
• Specialty Stores
• Others

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 May 2021, Johnny's Selected Seeds launched new lines of organic herb seeds. This introduction was aimed at meeting the increasing demand for organic products, reflecting consumer preferences for health and environmentally friendly gardening options.
• In August 2023, Bayer AG introduced new herb seed varieties engineered to be more resilient to climate change. These seeds are designed to withstand extreme weather conditions, such as drought and heavy rainfall, addressing the increasing concerns over climate change impacts on agriculture and ensuring stable crop yields.

Competitive Landscape

The major global players in the market include Bayer CropScience, Syngenta Group, BASF SE, Corteva Agriscience, Groupe Limagrain, Sakata Seed Corporation, Enza Zaden, Rijk Zwaan, Takii Seed and Bejo Zaden.

Why Purchase the Report?

• To visualize the global herb seeds market segmentation based on seed type, herb type, cultivation method, distribution channel, 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 herb 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 herb seeds market report would provide approximately 70 tables, 66 figures, and 219 Pages.

Target Audience 2024

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