Effective weed control is essential for healthy crop production. This has led to the invention of numerous pesticides and herbicides like glyphosate. From traditional farmers to hobbyist gardeners, use of weed killers for the growth of healthy yield and fruit, vegetable, and flower cultivation is commonplace. Glyphosate has been constantly in the news over the past few years due to its alleged association with the possible health risks caused by its prolonged usage. Despite the likelihood of health threats, the demand for glyphosate is on the rise, suggest researchers. There is a cumulative demand for genetically modified crops or GM crops, which is expected to positively influence the requirement for glyphosate, despite impending bans across several countries around the world.
GLYPHOSATE: THE GOOD
One of the most common chemical weed control products, glyphosate is used on plant leaves and grasses to regulate plant growth.
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This non-selective herbicide is can ripen fruits owing to the presence of sodium salts. Its ability to prevent plants from producing certain kinds of proteins and enzyme pathways like the shikimic acid pathway– the metabolic route used by plants, parasites, algae, fungi, and bacteria among others is another primary advantage for the farmers. The product available under various brand names is considered as the breakthrough for farming and conventional farming in general. According to the manufacturers, the product assists in sustainable farming while killing weeds.
- Conservation Tillage:
Farmers are adopting this technique to reduce soil erosion and carbon emission. Herbicides like glyphosate allows soil cultivation that leaves old crop residue on the field both before and after planting the new crops.
- Higher Yield:
With around 90% weed control rate, glyphosate provides a broad-spectrum weed control. According to the experts, this herbicide can contribute to increased crop yield for many plant types. This production depends on plant type and weed population.
- Historically Safe:
As per many manufacturers, glyphosate is one of the safest herbicides and it presents very low risk to the health of human as well as animals. The product is also unlikely to get absorbed by soil and into the groundwater.
The fact that this herbicide has been around for decades and is widely used as the go-to weed killer is one of the major factors boosting the global glyphosate market. Rising consumption of crops owing to population explosion directly drives the need for better and higher yield.
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High production of fruits and vegetables to meet the rising requirement can further fuel the growth opportunities for these crop protection chemicals. Demand for animal feed is also anticipated to drive the requirement for herbicides like glyphosate in the years to come. There is a steady rise in demand for this herbicide and other weed killers from conventional crop farmers. The rising need to avoid tillage is also projected to bode well for the production and sales of glyphosate in the forthcoming years.
GLYPHOSATE: THE BAD
As per scientific data, the pure glyphosate has relatively lower toxicity. However, the chemicals and supplementary products added to its formulation for better absorbability can increase its toxicity. Several international agencies have declared glyphosate as a probable human carcinogen. The widespread use of the product on genetically modified crops is linked to hormone disruption and antibiotics resistance. As per several studies, ingestion of the product in laboratory rats has shown developmental and reproductive defects during pregnancy. Some rat fetuses had skeletal defects and slow growth rate.
The U.S. Environmental Protection Agency (EPA) has announced that it will be analyzing the key findings of the International Agency for Research on Cancer of UN. As per these findings, glyphosate can increase the risk of cancer in humans upon exposure. According to CropLife America, glyphosate can act on an enzyme that exists only in plants. In other words, it cannot work on mammals. This reduces risk factor of glyphosate to human health. One of the pioneers of glyphosate in the market, Monsanto, says that the International Agency for Research on Cancer (IARC) report regarding the association between glyphosate and cancer is inconsistent, especially with the ongoing safety assessments.
Amidst all these conflicting statements, the instances of lawsuits and healthcare petitions may also restrict the growth of the market for glyphosate. This factor could be even more worrisome for the industry players, in the light of total bans or systematic reduction in utilization of the herbicide. For instance, the new German coalition government recently announced that it is looking at systematic minimalization to restrict the use of glyphosate-based plant protection chemicals. The government has also expressed interest in developing more sustainable alternatives for an arable farming strategy. Such instance can further hinder the market growth.
WHAT NEXT FOR GLYPHOSATE MARKET?
The global glyphosate market is anticipated to grow at a tepid rate over the next few years. According to a report published by Grand View Research, Inc.; the market is projected to attain around USD 8.50 billion by the year 2020. There is a steady rise in demand for genetically modified crops as they provide high yield and disease resistance. High demand for no-tillage and minimum tillage systems may also impel the demand for weed killers like glyphosate in near future. According to the report, the global demand was estimated to be around 700 kilo tons in the year 2013. By year 2020, the glyphosate demand is expected to surpass around 1000 kilo tons.
In 2013, North America held around 25% of the overall market share in terms of volume. Asia Pacific was the largest region in the same year and is expected to witness the fastest growth in the years to come. Availability of arable land in China and adoption of GM crops are the major regional drivers for the market. China, in fact, is the home to several major glyphosate manufacturers. China and India are anticipated to propel the Asia Pacific regional growth in the forthcoming years. Population explosion and rising demand for food in the countries like China and India can create business opportunities for the market players like Nufarm, Monsanto, DuPont, Syngenta, Bayer, BASF, and Dow AgroSciences among others.
Development of effective weed management systems is the primary focus area for the top market manufacturers. Adoption of glyphosate tolerant crops is also a primary strategy adopted by the market leaders like Monsanto. Enhancement of product portfolio with the help of mergers and acquisitions (M&A) and business collaborations are expected to present the market with business opportunities in the years to come.