Market Trends of asia-pacific onion seed Industry
International demand for onion and favorable market prices are driving onion cultivation in the region
- Asia-Pacific is one of the major regions in the world concerning the production of onions with the presence of major onion-producing countries. In 2022, the area under onion cultivation in Asia-Pacific accounted for 4.1 million hectares. The onion acreage in the region increased by 24.2% between 2017 and 2022, which is attributed to the demand for onion from the fresh food market and the increase in market prices from international markets. The area under cultivation of onion in the region declined by 2.9% in 2019 compared to 2018 due to the abnormally heavy monsoon rains declining the area harvested and reduction in market prices in a few countries.
- In Asia-Pacific, India was the major country concerning the area under onion cultivation which accounted for 43.3% of the acreage in 2022. The area under cultivation of onion in the country increased by 26.8% between 2017 and 2022. It is associated with favorable market prices either from private players or government procurement and the increase in export markets. For instance, the export of onion from India to the rest of the world increased by 48% in 2022 compared to 2021. China was the major country after India which occupied 29.8% of the area under onion cultivation in the region in 2022. Even though China and India are major countries in onion production, the genetic base, soil conditions, and flavor of onions are different and have higher demand for their own characteristics.
- Indonesia and Bangladesh are a few major countries in terms of the area under cultivation of onion in the region, which increased during the historic period. However, the adoption of commercial hybrids and increased exposure to the export market is estimated to drive India faster in the region.
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Disease resistant and quality attributes are the most popular onion traits in the region, alongside growing consumption
- In Asia-Pacific, onion seed is one of the largest and most consumed vegetable seeds. The increasing demand for onions from consumers has boosted the market. Therefore, the need for consistent quality and increased productivity is increasing, and several traits are being incorporated for efficient performance in the field. Quality attributes such as long-day storage, attractive color, either red or white, and early or late maturity are the key traits adopted to fetch higher prices.
- The major traits preferred by growers in the region are disease resistance to pink root and downy mildew. In India and China, varieties with disease resistance to purple blotch are widely cultivated. Major companies are developing onion seed varieties through research stations, agricultural universities, and coordinated projects in the country. For instance, in 2021, Bejo and De Groot en Slot launched the first downy mildew-resistant shallot from seed, which was named Innovator.
- The major seed companies, such as Bayer AG, BASF SE, Groupe Limagrain, East-West Seeds, Sakata Seeds Corporation, and Bejo Zaden BV, are developing varieties with a focus on high-yielding, attractive color, and winter adaptability traits. The combination of multiple disease-resistant traits with quality attributes such as size and color has been gaining popularity in the region to earn higher profits.
- Therefore, high-quality onions with high disease resistance and increased shelf life and product innovations with quality attribute traits are anticipated to increase the demand for these seeds during the forecast period.
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OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT
- Hybrid breeding technique dominates onion seed production in Asia-Pacific due to seasonal dependence on traditional breeding techniques
