DunhamTrimmer® Global Biofertilizers Report
Market Overview, Trends, Drivers and Insights

Apart from the inoculant segment, which is the main market, this study extends its coverage of Biofertilizers to any other microbial-based product that has Biofertilizer and Biostimulant properties.

This market segment, as occurs with other Biological segments, does not yet enjoy a homogeneous and globally standardized regulatory environment.

Biofertilizers fit perfectly within the great global growth drivers that seek more efficient use of resources. They act both by improving nutritional efficiency and, in some cases, by increasing resistance to abiotic stress.

Legumes (which includes soybeans) constitute the predominant market segment, representing 46% of the market in 2021. Nitrogen-fixers have been used historically in this segment, so that growth therein has begun to show signs of maturity. Within Legumes, the main crop driver has been soybeans (34% of the market in 2021), which continues to be the main market segment.

Field Crops dominate the biofertilizer market as a whole, with 71% of the global market.

Among Microbial types, rhizobia products are the most used (38% of the market in 2021), with Bradyrhizobium spp. dominating as the main species (25% of the market in 2021). Bacillus spp. is the most used of the balance of Microbial species, accounting for 20% of the global market in 2021.

(N)-fixers for Non-leguminous Crops began their commercial development in the last decade, initially in Latin America with Azospirillum.

Underdeveloped or developing geographical markets (e.g. sections of Africa, Asia/Pacific, and to a lesser extent, some parts of Latin America) have experienced a lower degree of Biofertilizer penetration, even in highly developed segments such as rhizobia. Although the future potential in these regions is enormous, it will still take a few years before we see significant growth in absolute values. Barriers include challenges with regulatory, infrastructure, supply chain, product storage requirements, lack of development of native species, cultural and technical capacity, poor quality of some products, cultural, and erratic promotion at the government level.

Looking to the future through the lens of current trends and drivers, we predict that we are entering a process of dramatic change which will establish the Biofertilizer segment as one of the most innovative rapidly growing segments of global agriculture.

• New companies and technologies within the segment of (N)-fixers for Non-leguminous Crops have appeared in North America. Disruptive products are based predominantly on the bacterium Klebsiella variicola, followed by others such as Gluconacetobacter diazotrophicus, and the increasing diffusion of Methylotrophs (Methylobacterium spp.) for foliar or soil application.
• In the last two years, growth in Corn cultivation in the US has more than doubled for (N)-fixers for Non-leguminous Crops, and this impressive rate will continue in the short term.
• DunhamTrimmer anticipates that this trend will radiate to other Extensive Non-leguminous Crops (Wheat, Canola, Other Cereals and Oilseeds) and to other regions beyond North America.
• DunhamTrimmer also expects the competitive environment in this Biofertilizers segment to expand both in terms of the number of players and of the different Microbial technologies being used.
• In terms of technology, end-game winners are difficult to predict. But at the company level, some companies are already establishing strong positions and major BioAg players have demonstrated willingness to enter this game through inorganic growth.
• The rate of entry for this new segment of Biofertilizers into new crops and regions will be determined by i) the regulatory environment, ii) the validation that this technology receives from local organizations. DunhamTrimmer expects this entry to start in some key markets (Brazil, Argentina) between 2022-2024. European and Asian markets will take longer.
• Once regulatory approval and key influencer validation is achieved, DunhamTrimmer expects that the rate of adoption of these Biofertilizers will accelerate to levels even higher than those being experienced in the US.
• Given all of the above, Regions outside of North America would start acceleration as of 2024.

The final impact of these new technologies goes beyond the Biofertilizer segment, and will have a significant impact on the Fertilizer Industry and the new trends in carbon economy and regenerative agriculture.