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.
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.
Subsidies and Discounts spur
demand to ramp up Exports
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.
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.
The review presented here is based on the findings
of the TMR report, titled “Agricultural Films Market (Product - Low Density
Polyethylene (LDPE), Linear Low Density Polyethylene (LLDPE), High Density Polyethylene
(HDPE), Ethylene Vinyl Acetate/Ethylene Butyl Acrylate (EVA/EBA), Reclaims,
Other Films; Application - Greenhouse, Mulching, Silage) - Global Industry
Analysis, Size, Share, Growth, Trends, and Forecast 2018 – 2026.”
The sustainability
aspects have dramatically changes the raw material sourcing strategies for many
businesses in the Agricultural Film market. Players have become more
responsible toward reducing or managing the waste, are adopting material
informatics equipped with artificial intelligence (AI), and adopting energy-efficient
production processes in order to maximize returns on invested capital.
