The Crop Oil Concentrates Industry is estimated to be valued at USD 199 million in 2019 and is projected to grow at a CAGR of 4.10%, recording a value of USD 254 million by 2025. The growth of the Crop Oil Concentrates Industry is driven by the increase in adoption of glyph sate-tolerant crops, growing market for generic pesticides that would require the application of tank-mix adjuvants, and the increase in the need to reduce the pesticide application rate per hectare. However, fluctuations in petroleum oil prices and increasing competition from vegetable-derived oil concentrate manufacturers inhibit the growth of the Crop Oil Concentrates Industry during the forecast period.
COCs are a type of adjuvant added majorly to pesticides, to change the surface tension of the pesticide product and facilitate better penetrating property. Based on the pesticides treated with these products, this study segments the global market on the basis of applications such as herbicides, fungicides, insecticides, and others.
Crops such as soybean, cotton, canola, and sunflower witness high demand in developing countries due to its increasing consumption and importance as cash crops for industrial purposes. According to the FAO, oil crop production such as cottonseed, copra, and palm kernels have grown by 9.0%, 9.1%, and 5.9%, respectively, from 2017 to 2018. This rising production of these crops has led to an increase in demand for COCs, which is enhancing productivity in every harvesting cycle.
South America and Asia Pacific are the major producers of oilseeds, such as soybean, sunflower, and cotton. The application of COCs on oilseeds & pulses is lower in the Asia Pacific region as compared to South America due to the limited pesticide application on these crops. However, the cotton segment is witnessing significant growth among these crops in the Asia Pacific region due to the increasing need for herbicide application on genetically modified cotton crops. According to industry experts, oilseed accounts for 31% of the market share in the US agrochemical market. North America also holds a significant share of the oilseeds market due to the increasing production of soybean in the US. Furthermore, groundnut is witnessing an increase in harvesting area in North America due to its rising consumption.
The South America region is projected to be the fastest-growing market during the forecast period. The market growth in the South American region is driven by the increasing adoption of biotech crops, particularly, glyph sate-tolerant corn and soybean. In addition, the regulatory frameworks for adjuvant are quite inconsistent in this region as compared to North America and Europe. Hence, industry players are tapping this market for launching new adjuvant, including COCs.
Major market players in Crop Oil Concentrates Industry are Wilbur-Ellis Holdings, Inc. (US), Croda International Plc (UK), BASF (Germany), Winfield United (US), KALO, Inc. (US), Brandt Consolidated, Inc.(US), Innvictis Crop Care(US), CHS, Inc.(US), Precision Laboratories, LLC (US), Helena Agri-Enterprises, LLC (US), Nutrien Ag Solutions(US), Plant Health Technologies (US), and other players detailed analysis provided in the report.
Crop Oil Concentrates Industry Segmentation:
By Company Type: