A new report added to Research Markets suggested that Vietnam's organic fertilizers market could reach a value of $355.4 million by 2024. The figures account for a CAGR of 6.7 percent.
In a press release submitted to Business Wire, it was revealed that adopting new farming practices and machinery will help boost demand for organic fertilizers from the country. The increased demand for safe and quality food will also spur demand.
Over the past years, regulations on chemical residue limits encouraged growth in the organic fertilizers industry. Restraints have also been imposed on synthetic fertilizers, giving a greater chance for organic fertilizer producers to grow their businesses.
The report stated that growing concerns over the environment will also drive Vietnam's organic fertilizer market to greater heights, especially with the rising demand in biofertilizers that help supply communities in search of safer products.
While there is a lot of room for growth in the country's biofertilizer market, the report noted that there is still a lack of awareness of organic pesticides and fertilizers. This could be a challenge for startup companies.
On the other hand, the fact that competition is fair enough in Vietnam could be a key driver in propelling the industry forward. In line with this is the willingness of some organizations to assist organic fertilizer providers in promoting biofertilizers.
Some of the key players cited in the report are ANH Viet Co. Ltd., Shanghai Megchem Company Ltd., Binh Dien Fertilizer Joint Stock Company, Can Tho Fertilizer & Chemical JSC., Banconco Vietnam, and Bioway-Organic 5C.
Earlier last month, Saigon Giai Phong News reported that many farmers in Vietnam have started adopting advanced cultivation techniques from Israel to improve the quality and safety of their products. Organic and Nano fertilizers are in demand locally due to the transition of farmers from chemical-based fertilizers to organic ones.
Vietnamese farmers believe that biofertilizers not only help drive the country's economy upward but these also reduce greenhouse gas emissions that harm the environment. Increased use of organic fertilizers, they believe, will spread awareness about the product's benefit to the industry and to the environment.
Meanwhile, the Vietnamese government encouraged its people to capitalize on the advantage of agriculture and products related to this sector. According to Vietnam Plus, Minister of Agriculture and Rural Development, Nguyen Xuan Cuong said the country should continue stepping up on agricultural exports in the coming years.
Nguyen noted that Vietnam's participation in a number of multilateral and bilateral free trade agreements that reduced or eliminated tariffs has helped boost the country's agriculture and organic fertilizer sectors.
