The Outlook for Biofertilizers is Looking Up
For biofertilizer, 2024 represented more of the same in terms of market growth – slow and steady. And according to Dr. Trey Cutts, Vice President of Commercial Ag Science at Tidal Grow AgriScience, this trend should continue throughout the 2025 growing season as well for the segment.
“In 2025, the biofertilizers market is being propelled by a continuation — and acceleration — of trends we began seeing in 2024,” says Cutts. “Chief among these trends is the global focus on sustainable agriculture. Regulatory agencies across the world are setting more stringent guidelines to lower the environmental impact of mineral fertilizers, which in turn is driving demand for biologically based alternatives.
“Additionally, climate-smart farming initiatives are becoming more sophisticated and widespread,” he continues. “This adds a financial incentive for growers to incorporate biofertilizers, as many of these products can help lower carbon intensity and improve soil health — two goals that align perfectly with climate-focused policies.”
However, add Cutts, there will be at least one new market driver for biofertilizers this year. “A new development we’re seeing from late 2024 into 2025 is the push for multi-functional biologically based products,” he says. “Instead of a single microbial species designed for one purpose, we’re seeing new formulations that combine multiple biofertilizer forms, like nutrients in their amino-acid form and protein hydrolysates. These combination products give growers more comprehensive solutions in a single application, and ongoing research is showing promising results in yield boosts and improved soil fertility.”
In even better news for biofertilizers, industry watchers say that the segment’s penetration into the key Midwest and Midsouth markets is continuing unabated.
“We’ve seen that biofertilizer adoption is on the rise in the Midwest and Midsouth, especially for row crops,” observes Julia Austin, Product Manager, Seed for Verdesian Life Sciences. “It’s a steady, year-over-year increase as growers and retailers look for solutions that drive productivity and boost their return-on-investment. The more research confirms the benefits — improved nutrient uptake, healthier soil, and higher yields — the more farmers are incorporating biofertilizers into their operations. It’s really a case of ‘seeing is believing.’ As more farmers experience positive results firsthand, they’re incorporating biofertilizers into their crop plans and using them on more acres.”
Other Potential Market Drivers
Despite this positive growth pattern, industry insiders say there are a number of factors that could help the market performance for biofertilizers in 2025, says Tidal Grow’s Cutts.
“Disruptions in global trade can affect the availability and price of synthetic fertilizer inputs, sometimes driving up costs,” he says. “Biofertilizers, which can be domestically produced and often rely on regional supply chains, can serve as a hedge against these fluctuations.”
Then there’s supply chain logistics. “Post-pandemic changes and shipping constraints have calmed somewhat, but lingering bottlenecks mean growers are looking for more dependable solutions,” says Cutts. “Biologically based products, with more localized manufacturing and distribution, are often less susceptible to the same volatility that affects globally traded mineral fertilizers.”
Also, Cutts says consumer demand and regulatory pressure could help the segment. “Consumers continue to demand sustainably produced food, and governments around the world are using incentives and regulations to encourage climate-smart practices,” he says. “This societal shift strongly supports the continued growth and considerations of biofertilizers.”
Surprisingly, even the biggest X factor in each and every growing season — weather — might also help biofertilizers demand in 2025. “Large and unpredictable weather is the new normal, and that’s having a big impact on how growers think about biofertilizers and how they’re using them,” says Amber Harrison, Product Manager, Foliar Technology, at Verdesian. “These fluctuating temperatures and early-season swings can affect crop yields and soil health, potentially increasing the reliance on biofertilizer type products to maintain productivity.”
The bottom line, says Lundon Bond, Senior Marketing Coordinator at TerraMax, Inc., indicates a very bright future for biofertilizers going forward.
“There is an ever-increasing interest, driven partly by the need for new technologies that are microbially based,” says Bond. “That people are willing to spend money on these products indicates the interest from the end-users. It is going to need time to find the products that consistently perform and provide value.”