FNB News - R&D investments for seed devpt to shape seed sector in the Philippines

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R&D investments for seed devpt to shape seed sector in the Philippines

Thursday, 19 January, 2017, 08 : 00 AM [IST]

The seed industry in the Philippines has been characterised by significant investment in research and development (R&D) to develop seeds with improved genetic traits and better pest resistance.

Rising government support in the country owing to the increasing demand for crops from the rising population. The government has taken various initiatives to encourage farmers to use hybrid seeds in the country for multiple crops.

This was stated by Ken Research in its report, titled Philippines’ Seed Industry Outlook to 2021- Rising Government Support to Improve Agriculture Sector with Demand for Hybrid Seed to Foster Growth.

It provided a comprehensive analysis of the seed industry in the Asian country. It covered market size, segmentation on the basis of hybrid and non-hybrid seeds and vegetable and non-vegetable seeds.

The report also coveredthe market in different aspects such as import and export of seeds, market share of major players by different seeds and company profiles for major players in the Philippines seed market.

It provided detailed overview on future outlook and projections with analyst recommendations for the industry.

The Philippines seed industry has witnessed a resilient growth in the past five years, and it has also been anticipated that the seed industry will increase at a compounded annual growth rate (CAGR) of four per cent between 2017 and 2021.

The growing population in the country will increase the demand for vegetables and other crops, resulting in the increasing demand for the cultivation of vegetable and non-vegetable crops.

The seed industry has become highly competitive, with organised players gaining a market share on the back of their strong R&D and financial strength.

Currently, the industry is highly vibrant and energetic and is well recognised in the international seed arena. Several developing and neighbouring countries have benefited from quality seed imports from Philippines.

The future of the Philippines’ seed industry is promising on account of impelling demand due to increased subsidies and renewed government policies on the usage of high-yielding varieties, thereby leading to an increased productivity in the seed market.

The hybrid seed market will witness a robust growth in terms of revenues in the country. The rising awareness about the benefits of using hybrid seeds in the country will accelerate the demand for hybrid seeds.

Hybrid seeds have significant benefits in terms of yield improvement, agronomic performance and consistency of end-use quality and several other benefits.

The government initiatives to meet the rising food demand and decreasing agricultural land will trigger the demand of high-yielding hybrid seeds for various vegetable and non-vegetable crops.

“Improving access and utilisation of market information, cost-containing production technologies, and adherence to good agricultural practice (GAP) specifications can improve market prospects,” stated the Ken Research analyst.

“Better transport infrastructure, information access and information technology (IT) communication and utilities can underpin system streamlining and supply chain improvement to enhance trade,” he added.

Furthermore, investment and upgrade of wholesale market infrastructure should be focused to improve cost control and to reduce losses in domestic trade,” the analyst said.

Key topics covered in the report