Global insecticides market is expected to grow to $16.7 billion by 2020
The Asia-Pacific regional market held over 44% of the total global insecticides' market in terms of value in the year 2013
The global insecticides' market would reach $16.7 billion by 2020, registering a CAGR of 5.0% from 2014 to 2020. The Asia-Pacific regional market held over 44% of the total global insecticides' market in terms of value in the year 2013. Within the Asia-Pacific region, India is the largest market owing to high agricultural production of crops such as sugarcane, paddy, and cotton and also consequent high consumption of allied insecticides. On the other hand, usage of insecticides is gradually declining in developed regional markets such as North America and Europe due to increased production of insect/pest-resistant ‘Genetically Modified’ (GM) crops. As a result, currently, North America and Europe collectively hold about 40% of the global insecticides' market in terms of volume.
In terms of value, ‘Organophosphate’ insecticides hold nearly 30% market share in the global insecticides' market by types. ‘Organophosphate’ insecticides are widely used owing to their multiple applications such as fumigant, systemic or contact insecticide. Many large-sized companies such as DOW, Syngenta, and BASF manufacture ‘Organophosphate’ insecticides via trade names - Lorsban, Dursban, Curacron and others. The high demand and ready availability are the factors driving the consumption of the ‘Organophosphate’ insecticides worldwide. Another product type, namely Synthetic Pyrethroid insecticide is also widely used, as it is a broad-spectrum insecticide, stable under direct exposure to sunlight and requires minimum usage to control insects. These benefits are cumulatively adding to the growth/consumption of Synthetic Pyrethroid insecticides. The global insecticides market, however, faces many restraints; for instance, environmental and health-related regulations. Recently, i.e., in September 2014, a new regulation banned the production of Chlorpyrifos insecticide as it was found to be harmful to children. Regulatory control on synthetic insecticides is paving the way of increased usage of bio insecticides in agriculture. As a result, research and development to innovate new categories of bio insecticides is also gaining prominence. In 2015, Montana Department of Commerce, U.S., will fund a project to develop a new fungal bioinsecticide to control bark beetles in forestry.
Cereals & Grains is the principal crop type category, which leads in insecticide consumption (both in terms of value and volume) through 2020. Geographically, Asia-Pacific is the dominant market with nearly 40% market share, as cereals and grains' production is significantly high in countries such as China and India. In Latin American countries, usage of insecticide is high in fruits and vegetables' cultivation, placing the region as second largest contributor, with an approximate 30% market share in terms of volume.