What is in this article?:
- Glyphosate market grows as GM crops spread
- Glyphostate resistance
- Glyphosate represents the largest selling agrochemical product worldwide.
- As of 2009, glyphosate accounted for a share of about 25 percent of the global herbicides market.
- The industry has been reeling under severe surplus capacity issues, and prices plunged substantially, creating a near crisis in the industry.
The global market for glyphosate is forecast to reach 1.35 million metric tons by the year 2017. Major factors driving growth in the global glyphosate market include lack of a substitution to glyphosate, growing adoption/planting of glyphosate-ready genetically modified (GM) crops, rising use of no-till or minimum-till systems, and expected increase in bio-fuel projects in several countries worldwide.
Glyphosate represents the largest selling agrochemical product worldwide. As of 2009, glyphosate accounted for a share of about 25 percent of the global herbicides market. The herbicide continues to be a major contributor in the global crop protection sector, despite being a generic product. Current market environment in the glyphosate market is characterized by intense competition, with several generic players operating in the market, which predominantly include Chinese manufacturers.
Of late, the industry has been reeling under severe surplus capacity issues, and prices plunged substantially, creating a near crisis in the industry. The drop in demand due to factors such as the global recession brought these issues to the fore. However, things do not appear as grim for glyphosate in the future. Demand for glyphosate began picking up, and the market is expected to post positive growth in 2011, following two years of significant declines. However, much of the growth foreseeable for 2011 and 2012 is expected to be a result of volume growth, as prices continue to lurch at levels lower than the peak witnessed in 2008. Glyphosate prices began witnessing an increase in late 2010, in part accredited to increase in prices of raw materials used in its manufacture.
Asia-Pacific represents the largest regional market for glyphosate worldwide, as stated by the new market research report on glyphosate. The U.S. trails behind the Asia-Pacific market. Growth in the market would be led by Asia-Pacific, which is projected to be the fastest growing regional market during the analysis period, growing at a compounded annual growth rate of more than 10 percent. In terms of production, China is the leading producer of glyphosate in the world. In 2008, China contributed to more than 30 percent of the world’s total glyphosate production. More than 80 percent of China’s total glyphosate production is exported to around 95 countries around the globe.