The wide use of agricultural films for greenhouses is a key growth driver of agricultural films market, says Transparency Market Research (TMR) in one of its research reports. In terms of numbers, application-wise, greenhouse and mulching jointly accounted for 75% of revenue of overall agricultural films market in 2017. In the coming years, however, revenue share of greenhouse is expected to expand, adds the report.
In agricultural practices, use of mulching, greenhouse, and silage bags
enables production to increase from 20 -35%. Such notable rise in crop
production due to balance of climate and soil concentration attained by
agricultural films accounts for their uptick in demand.
Population explosion in several parts of the world has necessitated
increased agricultural output. Year-on-year use of arable land for agricultural
crop has affected nutrient content of soil of the same. To address this,
innovative agricultural techniques are increasingly used complementing
conventional agricultural techniques for increased yield.
Agricultural films play a role here. Agricultural films used on arable
land reduces soil erosion as well as prevents soil erosion. On the other hand,
agricultural films used on produce and fodder prevents spoilage by preventing
microbial action. Besides this, agricultural films for soil helps raise
temperature of the soil, thereby aiding plant growth.
Collectively, these benefits of agricultural films aid increased food
production with minimal escalation of expenditure. This fuels growth of
agricultural films market.
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By product, agricultural films are of few types. Of them, linear low-density
polyethylene (LLDPE) witness maximum demand. LLDPE agricultural films possess
higher tensile strength and puncture resistance than other products. In 2017,
LLDPE product segment held more than 60% share of the global agricultural films
market.
Complementing Traditional Agriculture with Newer
Techniques underscores demand in India
The global agricultural films market comprises five key regions, namely
North America, Europe, Asia Pacific, Latin America, and the Middle East and
Africa. Among them, Asia Pacific is expected to display stellar growth in the
agricultural films market.
In the region, exploding population in India and China is necessitating
uptake of modern agricultural practices to increase crop yield. High dependency
of agriculture on seasonal rains in several parts of the country necessitates
techniques to best utilize seasonal rains. This includes use of agricultural
films to prevent runoff of rain water.
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Subsidies and Discounts spur demand to ramp up
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Expansion of variety of agricultural produce also requires controlled
environment for desired crop yield. Increasing production of exotic varieties
of fruits and vegetables in India, which are native to Western countries
requires optimum nutrient and water concentration on the soil. This requires
use of agricultural films.
Discounts and subsidies offered by the government to encourage use of
modern agricultural practices is leading to increasing uptake of the same in
India. Such modern agricultural practices are now commonly employed among
horticulturists who are engaged in producing exotic varieties of export-quality
flowers.
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Meanwhile, North America and Europe are mature markets for agricultural
films due to their long use in agriculture. However, newer trends of rooftop
farming in urban areas is leading to resurface in demand of agricultural films.
Urban areas require optimum concentration of soil and ambient temperature,
which are naturally not available for crop production.
Regions of Latin America and the Middle East and Africa are likely to
display continued sluggish demand for agricultural films over the forecast
period. Low farming activities and vast expanse of infertile land in these
regions are reasons for low intensity of agricultural practices. Thus,
lackluster demand for agricultural films.
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