Market Trends of Asia-Pacific Agricultural Enzymes Industry
This section covers the major market trends shaping the APAC Agricultural Enzymes Market according to our research experts:
Rising Trend of Organic Farming Practices
Raising consumer awareness and an increase in the production of organic food is driving the agricultural enzymes market in the region. According to the Research Institute of Organic Agriculture (FiBL) for instance, in 2017, the organic market in China amounted to USD 8.54 billion making the country the world's fourth-largest market for organic products. Furthermore, Japan valued at USD 1.57 billion, and South Korea reported an organic market worth of USD 371.2 million. Governments in Asia pacific are recognizing the environmental and economic benefits of organic farming and is encouraging organic agriculture and organic food production. According to FiBL, in 2016, organic agriculture land in Asia accounted for 4.87 million hectares that has increased to 6.0 million hectares in 2017. With the rising disposable income, consumers' preference is shifting towards organic products which encourages the producers to undertake organic farming or chemical-free production practices thus will drive the growth of the market studied.
Grains and Cereals Segment Dominates the Market
According to the Research Institute of Organic Agriculture (FiBL), in Asia, 45 % of all organic farmland was used for arable crops that accounted for 2.7 million hectares in 2017 of which cereals comprising the key organic arable crops group mainly wheat and rice, with approximately 1.1 million hectares, representing 0.3 percent of the total cereal area in Asia. Most organic cereals were grown in China in about 900 thousand hectares and in Kazakhstan with more than 65 thousand hectares. In 2017, the key organic cereals grown were rice, grain maize, and wheat. Organic rice represented 42% of the total organic cereal area and together with wheat 27% and grain maize accounted for 14.5%, All the three together represented almost 84 %of the total organic cereal area in Asia. Organic rice was mainly grown in China in the area of 322 thousand hectares, which constitute 68 % of the total organic rice in the region. The largest organic wheat areas were also in China that accounted for 143 thousand hectares, followed by Kazakhstan over 19 thousand hectares, representing almost all of the total organic wheat areas in Asia. Thus the larger organic cultivation of cereals will drive the agricultural enzyme market for this segment during the forecast period.
