The agricultural sector is experiencing challenges due to the onset of global warming, steep population increase and fluctuating raw material prices. Complexities such as food security and changing climatic conditions would result in a decrease in crop yield in the coming years. Several developing economies have witnessed a significant increase in the food-trade gap on account of trade policies, subsidies or import barriers in the developed economies such as the U.S., Canada, Germany and U.K. among others, coupled with weak infrastructure. More than a billion people work in this industry, which is also equivalent to 20% of the world’s population, thereby generating more than US$ 2.6 trillion revenue, which directly contributes to the global economy.

The global agribusiness and food industry together account for a revenue excess of US$ 4.6 trillion, and an optimistic trend would see a 100% increase in crop demand. However, this target is hard to achieve since meeting the required water demand by 2027 is somewhat unexpected. Further, more than 25% of the world’s arable land is degraded. However, this restraining factor has also served as a suitable growth opportunity for several investors to invest in new technologies such as soil and water sensors, and weather tracking among others as well as focusing on innovation.

Investments in the global agricultural sector has increased three times to more than US$ 120 billion in 2016. The companies operating in this business has showed higher returns to their shareholders as compared to the other sectors. Employment in the under developed and developing economies are heavily dependent on agriculture as compared to the developed nations. The agriculture industry employs more than 60% of the population in Sub-Saharan Africa, more than 45% of the population in South Asia, compared to less than 5% of the population in developed economies. Further, the GDP of the under developed and developing economies rely more on agriculture that those of the developed economies. For instance, agricultural contribution to GDP is more than 18% in South Asia, 14.5% in Sub-Saharan Africa, compared to 1.5% in the U.S. and 2% in Europe.

According to Insights and Reports, China is a key country for agriculture, as it is considered to be the largest producer of cereals and grains, thus accounting for more than 25% of the global output, which is followed by India, Russia and the U.S. Asia Pacific is a key producer of cinnamon, which accounts for more than 90% of the global output, followed by garlic and palm oil, accounting for 83.3% of the global output, followed by rice, accounting for 79% of the global output.

Europe is considered to be a key producer of rye, which accounts for 88% of the global output, followed by sugar beet, which accounts for 78%, barley accounting for 75%, oats accounting for 68% and buckwheat account for 53% of the global output.

According to Insights and Reports, North America also holds a significant position in the agricultural industry as well, with the key crops being soybeans and maize, which hold more than 35% of the global output, followed by hops, accounting for 23% of the output, rapeseed, accounting for 20% of the output and oats, accounting for 15% of the global output.

Further, vegetable exports in the U.S. amounted to more than US$ 75 billion in 2017, followed by Brazil, at US$ 36.4 billion, and Canada at US$ 27 billion. Vegetable imports in China amounted to more than US$ 80 billion in 2017, followed by the U.S. at US$ 42 billion and Germany at US$ 37.3 billion.

Encompassing the global agriculture industry, will be broad range of studies that include soil treatment, seed treatment, feed and animal nutrition, agricultural biologicals, natural fertilizers, crop protection and various others that are studied at insights and reports.

Some of the key players operating in the field of soil treatment include BASF S.E., Monsanto Company. Novozymes A/S, and Syngenta A.G. among others. Further, the seed treatment market is marked major players that include FMC Corporation, DowDupont Inc., Bayer A.G., and Sumitomo Chemicals among others.

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