The global rice seed market size was valued at USD 6.5 billion in 2018. Rising demand for rice as a staple food among consumers in developing economies such as China and India is expected to remain a favorable factor. Industry growth is also positively influenced by technologically advanced agricultural practices that have ultimately improved yield and strengthened the supply.
Over the past few years, there has been an increase in the consumption of brown rice in several Asian countries like India, China, Vietnam, and Malaysia. Medical research has shown that brown rice is much healthier than conventional product variants. A cup of brown rice has 218 calories, along with 44 grams of carbohydrate, 3.5 grams of fiber, 1.8 grams fat, and 5 grams protein. It also includes iron, magnesium, phosphorus, zinc, copper, manganese, selenium, vitamin B1, B3, B5, B6, and vitamin E. This form is highly recommended for diabetic patients as an alternative to conventional rice owing to its high fiber and low-calorie composition.
Farmers and agriculturists have been receiving immense support from government and private institutions. Easy availability of agricultural credits, fertilizers, pesticides, contract services, and machinery has resulted in a production boost to cater to the soaring demand. Farmers have also been adopting knowledge-intensive technologies, besides, to support from government and non-profit organizations in the form of technical knowledge required for better crop management practices and enhanced yields. All of these efforts aid in the production of quality seeds, which ensure germination, freedom from weed and seed-borne diseases, crop stands, better harvest, and higher profits.
Hybrid products accounted for the largest revenue share of more than 70.0% in 2018. The rising popularity of cross-breed categories owing to multiple advantages such as enhanced yield, vigor, and resistance to disease and pests is expected to have a positive impact on segment growth. Furthermore, a majority of grain-producing nations have established systems for hybrid seed production and distribution, effective quality assurance programs, and systems to oversee the production of seeds.
It has been observed that hybrid products have a yield advantage of more than 30.0% over conventional variants. The quantity of hybrid seeds required for a certain harvest is much lesser than conventional varieties. Moreover, the average productivity and total return to input costs are higher in hybrid products as compared to conventional ones. As demand for rice is expected to increase tremendously by 2025, the production also needs to be enhanced, which is another factor propelling the use of hybrid variants.
Medium-sized grains held the largest revenue share of close to 50.0% in the rice seed market in 2018. These variants grow two or three times longer than their width and are moist, tender, and slightly chewy. They are sticky in texture and consistency when cooked and are preferred in Southeast Asian countries. Arborio and Valencia, popular varieties of medium grain rice, are suitable for making risotto owing to their ability to absorb liquids and flavors. They are also used to make arancini or fried rice balls. Bomba is another variety, used to make paella, a Valencian rice dish.
Long grained variants are expected to exhibit the fastest CAGR of 9.2% between 2019 and 2025 owing to their usage in various delicacies. Some of the popular varieties of long-grain product forms are Doongara, Kyeema, Langi, Topaz, Cammalis, Neang Minh, Princess Sari, and Puntal. These grains are long and slender and are four or five times longer than their width. One of the most popular long-grained products is basmati, which is grown exclusively in India and Pakistan. These are used to prepare pudding, pulao, jambalaya, porridge, biryani, sashimi, and other dishes.
The Asia Pacific accounted for more than 80.0% of the revenue in 2018 owing to the predominant consumption of rice as a staple food item in most Asian countries. The per capita consumption of rice in countries like India, Vietnam, Thailand, and Sri Lanka exceeds 100 kg annually. More than 520 million people in these Asian nations depend upon rice for over 50.0% of their calorie supply. Middle-to-low income Asian countries, including the Philippines, Laos, Myanmar, Bangladesh, and Cambodia, will continue to witness a surge in per capita consumption of these products as a staple food over the coming years.
Europe is projected to be the fastest-growing regional market throughout the forecast period, exhibiting a CAGR of 9.5% from 2019 to 2025. There has been growing consumption of rice in staple food items in countries such as Italy, Spain, and numerous Southeastern countries like Bosnia, Romania, Greece, and Turkey. It also forms a major part of several traditional European dishes, including Mediterranean cuisine. This is expected to promote product demand.
Some of the key players operating in the global market are Savannah Seeds Private Limited, Bayer CropScience Limited, Nuziveedu Seeds Limited (NSL), Pan Seeds Pvt. Ltd., Kaveri Seeds, Mahyco, DuPont Pioneer, Ajeet Seeds Pvt. Ltd., Mahindra Agri Solutions Pvt. Ltd., Biostadt India Limited, Rallis India Limited, and Syngenta. The market is fragmented owing to very low entry barriers. There is a high concentration of small-to-medium enterprises in developing countries like China and India. Increasing demand for organic products as well as brown, black, red, and purple rice is providing lucrative opportunities for players to capitalize on.
The base year for estimation
Actual estimates/Historical data
2015 - 2017
2019 - 2025
Volume in Kilo Tons, Revenue in USD Million & CAGR from 2019 to 2025
North America, Europe, Asia Pacific, Central & South America & Middle East & Africa
U.S., Germany, U.K., China, India, Brazil, Saudi Arabia
Revenue forecast, company share, competitive landscape, growth factors and trends
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This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2015 to 2025. For this study, Grand View Research has segmented the global rice seed market report based on the product, grain size, and region:
Product Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)
Grain Size Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)
Regional Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)
Central & South America
Middle East & Africa (MEA)
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