Kline’s Professional Turf and Ornamental: Markets for Pesticides and Fertilizers study explores the differences between mature markets in Europe and East Asia/Oceania and developing countries in South America and West Asia.
The study highlights three market segments (golf, other lawn care, and nurseries/greenhouses) and the five categories (herbicides, insecticides, fungicides, biopesticides, and biostimulants), and is scheduled to be published soon. In this blog, we highlight some of the report’s insights, with a focus on Brazil, Japan, and UAE. Our next blog will cover the other countries included in the study, Australia and Italy. So, keep an eye on our website’s blogs section: https://klinegroup.com/category/agspecialty-pesticides/.
The 2020 appraisal of the Brazil turf & ornamental market introduces the dynamics and features of the Brazilian market after its economic crisis, along with the prospects for the development of Brazil, an agricultural giant, up through 2025.
The leading segments in Brazil are lawn care and golf courses, accounting for about 80% of total sales. However, the number of golf courses and the total golf area is declining. Lawn care consists primarily of the treatment of stadiums, which has increased since the 2014 World Cup and the 2016 Rio Olympic games. In contrast, parks and gardens are not often treated.
Sales are equally divided between herbicides, fungicides, and insecticides.
Biopesticides are utilized more than biostimulants, but both are growing, driven by a higher concern for the population’s health. Despite increasing demand for biostimulants, the supply remains limited.
Biological solutions benefit from potential growth if the workforce becomes more skilled in handling such products. Horticulture, the smallest segment, is forecast to grow at the largest CAGR through 2025, supported by the current government’s measures. Lawn care, as the largest segment, is expected to grow at a fair CAGR, driven by the increasing interest in turf care within sports stadiums.
The 2020 appraisal of the Japanese turf & ornamental (T&O) market includes the development of consumed pesticides versus biological solutions, along with the features of the T&O market of the largest island country in East Asia and its prospects through 2025.
In Japan, the use of chemical pesticides is by far predominant, as they offer an inexpensive and quick solution that provides better results. Since Japan is the world’s third–largest golfing country by number of courses, the golf segment represents 67% of total pesticides used in the country, including biologicals. Golf is followed by the horticulture segment, at 24% of the total. Other lawn care is minor, comprising the remaining 8% of the market share. In terms of pesticides categories, herbicides and fungicides, together, are leading the market with about 80% of total sales.
As for biological products, the use of biopesticides remains limited due to high costs and lesser effects compared to chemical pesticides. At the same time, the use of biostimulants has been increasing, as they are appreciated for their defense against the Japanese climate (cold, frost, and heat).
Outlook: The professional turf and ornamental pesticides market in Japan is expected to maintain stable and moderate growth, with the same segments leading. The highest growth is expected to occur in greenhouses/nurseries/horticulture. This segment is facing a labor shortage due to an aging population; high-efficiency agriculture production will therefore be required to compensate. This should additionally foster the development of biostimulants, as they also increase yield and quality of production. Another effect of the aging population will be the development of parks and gardens, which will contribute to the growth of lawn care as well.
UNITED ARAB EMIRATES
The 2020 appraisal of the United Arab Emirates turf & ornamental market highlights the aspects of the UAE market, along with the prospects for development and dynamics of UAE T&O categories through 2025.
The UAE market is consolidated and led by few suppliers and few brands. It is largely dominated by the use of chemical pesticides versus biological products. The lawn care and golf segment leads with about 85% of total sales, due to the increasing number of golf courses and the construction of new sports stadiums across the Emirates. The lawn care segment is witnessing an increase in the use of insecticides and stable fungicides.
Insecticides lead with 60% of total sales; in particular, they are applied and necessary on golf courses. Fungicides have a 27% share. Lastly, herbicides are minor, as there is a limited number of weeds in the country.
As for biological alternatives, biopesticides are minimal, and biostimulants are negligible.
Outlook: UAE is still a developing market in which insecticide and fungicide sales should continue to increase in accordance with the local GDP growth. Herbicides will remain minor, and biopesticides are expected to grow as people are slowly becoming aware of their long-term benefits.