Seed coating grows and could reach US$5 billion in market value by 2032

Technology focused on inputs is consolidated as an essential component in modern agriculture, offering significant benefits to producers

11.07.2024 | 13:53 (UTC -3)
Vinicius Lorenssete de Brino
Photo: Disclosure
Photo: Disclosure

Seed coating, or seed coating in free translation, is a set of practices adopted to improve plantability and reduce treatment syrup losses, facilitating seed management and increasing production efficiency. Furthermore, the method reduces environmental risks when compared to other alternatives.

The global seed coating market is growing rapidly. In 2023, the sector was valued at around USD 2,6 billion and is expected to reach USD 5 billion by 2032, with a compound annual growth rate (CAGR) of 7,27% during the forecast period, according to data from Imarc. 

This growth is driven by the growing demand for high-quality seeds and the increasing search for sustainability in agriculture.

Benefits of Seed Coating

The coating technique includes special products, such as polymers and drying powders, in addition to using incrustation and pelletization technology.

In pelletizing, the seeds are covered with a combination of products to form a layer that increases their size and weight, ensuring a uniform and smooth shape. In seed encrustation, a similar process occurs, but the main difference is that it only smoothes surface imperfections, maintaining the original shape of the seeds.

The use of polymers and drying powders in film coating gives the seed greater resistance to abrasion (and, consequently, less loss of the protective film), a reduction in harmful dust released from treated seeds, faster drying of the syrup and greater fluidity in the bagging processes. and sowing, greatly improving plantability and reducing the number of double seeds and sowing failures.

"Seed coating technology has revolutionized agricultural practices. We already know how important seed treatment is, and, with seed coating, this treatment is more protected, and sowing processes are more assertive, contributing to a significant increase productivity", says Milton Ribeiro, COO of Laborsan Agro.

The market is increasingly seeking certified companies to ensure sustainability

The seed coating market constantly faces strict regulations. This causes companies to invest in research and development to create more effective and sustainable formulations.

In recent years, there has been a growth in the adoption of environmental, social and governance (ESG) practices, with funds dedicated to these criteria, managing more than 50 trillion dollars in capital since 2021, according to data released by Embrapa (Brazilian Company of Agricultural Research).

This increase reflects a growing demand for operations that respect the principles of sustainability and social responsibility, indicating a transformation in the priorities of investors and agricultural companies. Furthermore, the increasing concern of brands with initiatives like these also has a marketing bias: it is increasingly common to demand environmental certifications for the export of products, and, therefore, it is an essential strategy to ensure that the agricultural Brazilian continues to occupy a prominent global position in the sector.

An example of a company that constantly seeks to adapt to the best ESG practices is Laborsan Agro. The company stands out in the production and commercialization of technologies for seed coating and coloring for agrochemicals, and has certifications such as the Green Seal, which validates respect for the environment, from the acquisition of raw materials to the shipping of products, and the ISO 9001:2015, which ensures higher quality in the delivery of products or services, focusing on the strategic management of a company.

"We believe that seed coating is a revolutionary technology that has the potential to transform agriculture, making it more productive, sustainable and resilient. The growing demand for food, the need to reduce the environmental impact of agriculture and the search for More efficient and economically viable solutions will drive the growth of the seed coating market in the coming years. Companies that invest in research and development, like ours, offer innovative solutions and adapt to market demands, have the opportunity to stand out and stand out. contribute to the future of agriculture", says Milton Ribeiro, COO of Laborsan Agro.

Founded almost three decades ago, the company has increasingly consolidated itself in its segment, relying on a strong research and development base to offer products that not only meet, but also anticipate market needs. This focus on quality and innovation allows the company to offer advanced solutions that meet the specificities of the agricultural market, both in Brazil and abroad.

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