People can buy tomato seeds from vendors at a tomato seed market. This retailer may have a brick-and-mortar location or an internet one. Gardeners who want to cultivate their own tomatoes can choose from a number of tomato seeds available on the market. The store also offers advice on growing tomatoes, such as how to plant and take care of the plants.
During the forecast period, the tomato seed market is anticipated to expand at a CAGR of about 6%. The need for tomato-based goods like ketchup, pasta sauce, and pizza sauce, among others, is the main reason fueling the expansion of this market. Additionally, it is anticipated that the rising demand for organic tomatoes will increase demand for tomato seeds.
One of the most extensively consumed vegetables in the world, tomatoes are eaten both fresh and cooked. With a production of over 178 million metric tonnes in 2017, tomatoes were the ninth-most significant food crop in the world, according to the Food and Agriculture Organization of the United Nations (FAO). By 2021, the FAO forecasts that there will be an increase in worldwide tomato production of almost 185 million metric tonnes. The industrialised nations of North America and Europe, where processed tomato products are widely consumed, account for the majority of the demand for tomato seeds. Due to the rising demand for processed tomato products like ketchup and pizza sauce in the region, the market in the Asia-Pacific region is anticipated to expand at the quickest rate during the projected period.
Tomato Seed Market Report Scope and Segmentation
|UNIT||Value (USD Million/Billion)|
|BY REGION||North America, Europe, Asia Pacific, Latin America, Middle East and Africa|
Potential Markets for Tomato Seeds
Currently, the tomato seed business is expanding quickly. This is a result of the increased global demand for fresh and processed tomatoes. After potatoes, onions, and carrots, tomatoes are currently the fourth most popular vegetable in the world.
The popularity of tomatoes is due to a variety of factors. They are a flexible ingredient that may be used in a wide range of cooked and uncooked meals. Additionally, they are a wonderful source of vitamins and minerals, including lycopene, an antioxidant with a lot of health advantages. Businesses have a fantastic opportunity to enter the tomato seed market since the demand for tomatoes is predicted to increase globally. You can do this in a number of ways, such as by building places to make seeds, breeding new kinds of tomatoes, or putting money into businesses that already make seeds.
It might be costly and hazardous to breed new tomato varieties, but it can also be incredibly profitable. The secret to success is creating a tomato variety with distinctive qualities that appeal to customers. To achieve this, tomato types can be crossed or genetic engineering methods can be applied. Another strategy for breaking into the tomato seed business is to build seed production facilities. Setting up a facility to cultivate and gather tomato seeds is required. If done properly, this may be a very profitable business, even if it can be an expensive investment.
Another option to enter the tomato seed market is by making investments in already established seed businesses. Many trustworthy seed businesses that have been around for a while exist. These businesses have a solid track record and are ideally situated to benefit from the rising tomato demand. There is a lot of room for profit in the tomato seed industry, regardless of how you choose to enter it. In this quickly expanding industry, you can achieve success with the appropriate strategy.
Market Restraints for Tomato Seeds
In a recent report, MWR said that the global market for tomato seeds would grow at a compound annual growth rate (CAGR) of 5.5% from 2016 to 2020. The rising demand for both fresh and processed tomatoes is what is driving the market. During the projection period, the fresh tomato category is anticipated to expand at a CAGR of 5.8%. The processed tomato market is expected to grow at a compound annual growth rate (CAGR) of 5.2% over the next few years.
Based on kind, the tomato seed market is divided into F1 hybrid seeds and open-pollinated seeds. During the projected period, the F1 hybrid seed market is anticipated to expand at a CAGR of 5.5%. During the forecast period, the open-pollinated seed market is anticipated to expand at a CAGR of 5.4%.
Geographically, the tomato seed market is divided into APAC, Europe, Latin America, MEA, and North America. The greatest CAGR of 6.2% is anticipated for the APAC region during the projection period. Latin America and Europe are predicted to come after the region. The market is divided into segments for the food industry and the non-food sector based on application. During the projection period, the food industry is anticipated to increase at a CAGR of 5.5%. During the projection period, the non-food industry is anticipated to expand at a CAGR of 5.3%.
Market Trends for Tomato Seeds
Due to the rising demand for tomatoes around the world, the tomato seed market is expanding quickly. The growing demand for nutritious foods, the rising population, and the shift in consumer lifestyles are the main factors driving the tomato seed industry. One of the most extensively consumed vegetables worldwide, tomatoes are enjoyed by people of all ages. One of the key elements boosting the tomato seed market’s expansion is the rising population. Because there are more people, there is more demand for tomatoes, which is making the market for tomato seeds grow.
The rising demand for nutritious foods is another key element boosting the tomato seed market’s expansion. As people become more health conscious, they seek out healthy meal options. Tomatoes are a nutritious dietary choice because they are an excellent source of vitamins and minerals. The tomato seed market is expanding as a result of the rising demand for healthier foods. The market for tomato seeds is expanding as a result of people’s shifting lifestyles. People today favour eating wholesome, fresh foods. Tomatoes are a tasty and nutritious meal choice. The tomato seed business is expanding as a result of people’s shifting lifestyles.
Market drivers for tomato seed
The tomato seed market is predicted to grow at a CAGR of 5.5% from 2019 to 2025, from an estimated value of USD 1.7 billion to USD 2.3 billion (2020–2025). Due to the growth of the worldwide tomato market, there is a rising demand for tomato seeds. The growth of the tomato processing sector is primarily driven by consumer demand for processed meals and the necessity for products made from tomatoes to have longer shelf lives. During the forecast period, this is likely to increase demand for tomato seeds.
Because of the rise of the processed food and beverage industry, notably in China and India, the Asia-Pacific region is predicted to have the quickest rate of growth for the tomato seed market. Due to changing lifestyles and higher disposable incomes, the processed food and beverage business is expanding quickly in many nations. Because of this, people in the area are likely to buy more tomato seeds. Type, application, and geographic regions are used to segment the worldwide tomato seed market. The market is divided into hybrid and open-pollinated segments according to kind. Due to the superior qualities that hybrid seeds offer over open-pollinated seeds, such as increased yield and resistance to pests and diseases, the hybrid category is anticipated to grow at the greatest CAGR over the projected period.
COVID-19 Impact on Tomato Seed Market
The tomato seed business has been significantly impacted by the COVID-19 pandemic epidemic. The virus has caused growers to cut production, which has decreased demand for tomato seeds. Prices have dropped as a result, and inventory levels have gone up. In addition to reducing the supply of tomato seeds, the COVID-19 epidemic has prevented growers from obtaining seeds from foreign vendors. As a result, tomato seeds are becoming more expensive and scarcer.
Key Industry Developments in the Tomato Seed Market
In recent years, the tomato seed market has seen a number of significant changes. The necessity for new and improved tomato seed varieties as well as the rising demand for tomato seeds have spurred these innovations.
The following are some significant advancements in the tomato seed market:
1. The creation of better and novel tomato seed varieties:
There has been a lot of development and research work done on tomato seeds in recent years.As a result, new and enhanced tomato seed varieties have emerged. These new seed variants produce greater yields while also having greater disease and insect resistance.
2. The use of fresh technology
The market for tomato seeds has also seen the introduction of new technology. Tomato seeds can now be made with greater consistency thanks to these technologies. Additionally, they have made it possible to grow more tomato seeds.
3. The market’s expansion
In recent years, the tomato seed business has experienced substantial growth. The rising demand for tomato seeds is to blame for this. Today, the market is widespread in several nations.
4. The expansion of the internet market
Tomato seed sales online have increased dramatically in recent years as well. This is because purchasing tomato seeds online is more convenient. Tomato seeds can be purchased from a lot of online retailers. The tomato seed business has benefited from the aforementioned improvements. They have enabled the market to develop and prosper.
Tomato Seed Market Outlook for the Future
The tomato seed market has a bright future. From 2019 to 2025, the global market is anticipated to expand at a CAGR of 5.6%. The rising demand for processed tomato products like ketchup, tomato soup, and tomato sauce is what propels the business. In addition, the demand for processed tomato products is being driven by the expanding population and the shifting lifestyles of individuals. Additionally, the market for tomato seeds is anticipated to rise as a result of rising disposable income and shifting dietary preferences.