The Global Genetically Modified Crops Market is estimated to driven by Increasing adoption in developing nations

 

Genetically Modified Crops Market

The growing Genetically Modified Crops market will exhibit the highest pace owing to rising population and increasing demand for food. Genetically modified crops or GM crops are plants used in agriculture, the DNA of which has been modified using genetic engineering methods. This allows the incorporation of desirable traits to the plants such as insect resistance, herbicide resistance, drought resistance, virus resistance or enhance nutrition. Genetically modified maize, cotton, canola and soybean are extensively cultivated globally. Rising population has significantly increased the demand for food globally. Genetically modified crops help meet the food demand by providing higher yields and enhancing crop survivability, qualities pivotal in global food security.

The Global Genetically Modified Crops Market is estimated to be valued at US$ 126.99 Bn in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024 To 2031.

Key Takeaways
Key players operating in the Genetically Modified Crops Market are PPD Inc., Icon Plc, Syneos Health, Laboratory Corporation of America Holdings, and Charles River Laboratories International Inc., among others. Growing population worldwide has considerably increased the demand for food. As population increases, so does the demand for food. Genetically modified crops help meet the rising food demand by providing higher yields through in-built resistance towards diseases and insects as well as drought resistance. Technological advancements have enabled faster and more effective genetic modifications of desired traits in crops. This has augmented the use of GM crops globally.

Market Trends
Increasing adoption in developing nations- Developing nations like India, China and Brazil have high population density and increasing income levels. Such nations are increasingly adopting GM crops to meet the domestic food demand. This is one of the key trends driving the market.
Development of drought-tolerant varieties- With changing climatic conditions, drought has emerged as a major threat to global food security. Market players are extensively working on developing drought-tolerant genetically modified varieties of staple crops. This is another important market trend.

Market Opportunities
Increasing investments in R&D activities- Steady investments by government and private players in research and development of GM crop varieties, especially of staples, present lucrative opportunities.
Development of insect-resistant and virus-resistant varieties- Opportunities exist in developing genetically modified varieties that are resistant to major crop damaging insects as well as viruses. Such varieties can ensure higher and consistent yields.

Impact of COVID-19 on Genetically Modified Crops Market Growth
The COVID-19 pandemic had a notable impact on the genetically modified crops market worldwide. The lockdowns imposed by various governments disrupted the supply chains and delayed crop production. Farmers faced labor shortages and difficulties in procuring seeds, farm equipment, fertilizers and other supplies on time due to strict mobility restrictions. This led to uncertainty in yield and crop quality. However, genetically modified seeds that are resistant to diseases and pests helped minimize crop losses during the pandemic. The demand for GM seeds remained stable compared to conventional seeds as they reduce dependency on agrochemicals and manual labor.

As lockdowns eased in 2021, farmers focussed on recovering losses from the previous year. They increased acreage under GM crops which are high yielding and offer built-in protection. This fueled market growth despite lingering supply chain issues. Consumer demand also improved as economies reopened and food service sector recovered. However, the impact of rising input costs due to inflation poses a new challenge. Stable crop production through GM technology will remain critical to ensure global food security in the coming years. The market is expected to grow steadily supported by new product innovations, expansion in developing countries and recovering demand trends post-pandemic.

United States Genetically Modified Crops Market
The United States accounts for a major share of the global GM crops market in terms of value. Around 93% of the country's soybean crops and 92% of corn crops are genetically modified owing to the high demand from the agriculture, food and feed industries. Leading biotech companies are based in the US and have contributed to its dominance in GM technology development and seed production over the years. The pandemic disrupted crop supply chain but stable domestic demand and exports to Asia-Pacific and Latin America regions helped mitigate losses in the US market. It is expected to grow at a steady rate during the forecast period supported by advancements in gene-editing applications for major cash crops.

Brazil Genetically Modified Crops Market
Brazil is one of the fastest growing markets for genetically modified crops globally. Soybean is the top GM crop in Brazil covering over 50% of the country's arable land. The government strongly supports agricultural biotechnology and large farm sizes allow for rapid commercialization of new seed varieties. However, COVID-19 impacted overall crop production due to delays in imports of agrochemicals and machinery from China. As the pandemic situation stabilizes, Brazil's GM market is poised to expand further driven by rising meat exports, cultivation of biotech maize and development of disease resistant sugarcane varieties through local R&D initiatives. Investment promotion policies will aid market penetration in new regions of the country.

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