The global hybrid rice seeds market size is projected toreach USD 5.43 billion by2027 owing to the rising concerns regarding food security worldwide,states Fortune BusinessInsights™ in its report, titled “Hybrid Rice Seeds Market, 2020-2027”. The report further statesthat the global market value was USD2.06 billion in 2019 and is expected to register a CAGR of 13.32% from 2020 to 2027.
COVID-19 Impact
Agriculture has been one of the most affected sectors amid theCOVID-19 outbreak. Constant reduction of crops and other essential items frominventory, coupled with the prolonged halt of the cultivation in the firstquarter of 2020, have raised concerns regarding food security. The hybrid riceseeds market took the blow as well. The market witnessed a lower growth of 9.9%in 2020 as compared to the average year-on-year growth during 2016-2019.
Bayer AG to Introduce Flood-resistant Hybrid Rice Variety to theIndian Market
In December 2019, Bayer AG announced that the company is planningto introduce a flood-resistant hybrid rice variety to the Indian market. Thevariety has already been launched by the company in Bangladesh and is awaitingregulatory approvals in India. The launch of this innovative product ispredicted to be highly successful in India, which is an agriculture-drivennation. In addition, this will help save the huge losses the growers sufferevery year because of the floods. For instance, according to the Ministry ofWater Resources, between 1953 and 2017, floods have been responsible fordamaging INR 1,679 crore worth of crops every year.
Fear of Scarcity to Stem the High Growth of Hybrid Rice Seeds
The global consumption of rice is increasing steadily. Accordingto the United Nations Food and Agriculture Organization (FAO), the total riceproduction worldwide reached nearly 755 million metric tonnes in 2018. Risingconcerns regarding food security owing to the rapidly increasing demandtriggered by the stretching global population is estimated to drive the globalhybrid rice seeds market growth. The ability of these hybrid seeds to offercomparatively higher yield is anticipated to further strengthen their demand.However, the high cost associated with the development is predicted to limitgrowth.
3-line Hybrid System Segment Leading by Example
Based on the type, the market is segmented into 3-line breedingsystems and 2-line breeding systems. The 3-line hybrid system is projected tolead the global market during the forecast period. The segment held the largestmarket share in 2019. The ability to increase vigor, resistance to pests, andhigh-quality are the key factors propelling the segment growth. Based on thesize, the market has been divided into long grains, medium grains, and shortgrains. The medium-sized rice grain seeds are estimated to secure the majorhybrid rice seeds market share. The segment growth is attributable to theworldwide popularity of the seeds due to their moist, tender, and slightlychewy texture. The segment held a total market share of 66.15% in the AsiaPacific market in 2019.
High Production Rate from Major Countries to Crown Asia Pacific asLeading Region
- Asia Pacific led the global market in 2019 with a market value of USD 1.84 billion. The high production of hybrid rice seeds in countries including China, India, Vietnam, and Thailand is estimated to propel the demand in the region.
- The market in the Middle East & Africa is projected to showcase robust growth during the forecast period. The primary factor expected to drive the demand in the region is the introduction of the latest technologies for the development and processing of hybrid rice seeds.
Pioneers Seeking Innovation to Enlarge Production Capacity
Key players operating in the global market are focusing onacquiring companies with cutting-edge technology in order to upgrade theiroperations. This will help them better analyze the yield and enhance theproduction capacity. For instance, in January 2019, the International RiceResearch Institute (IRRI) teamed up with Computomics GmbH, a Germany-basedbiotechnology company for utilizing its latest bioinformatics tools to speed upthe analysis of rice cultivation and breeding.
Key Industry Development:
In June 2018, Bayer AG announced toacquire The Monsanto Company. This will aid the company to diversify andcommercialize hybrid rice seeds in India. Its aim is to become the world’sbiggest seed and agro-chemical company.
Browse Detailed Summary of Research Report with TOC:
https://www.fortunebusinessinsights.com/hybrid-rice-seeds-market-104926
