Market Trends of Mexico Seed Treatment Industry
Growing Agricultural Productivity Requirements Drive Seed Treatment Adoption
Mexico's increasing population and decreasing agricultural land are driving the adoption of seed treatment methods for sustainable production. According to the World Health Organization, Mexico's population reached 129.7 million in 2023, up from 127.5 million in the previous year. However, the harvested area for corn production in MY 2023-2024 decreased to 6.1 million hectares, an 11% reduction from the previous marketing year. In response, Mexican farmers are implementing modern agricultural practices, including seed treatments, to enhance crop health and yield. FAOSTAT data shows corn yield reached 3,928.3 kg per hectare in 2022, a 2% increase from 3,852.2 kg per hectare in the previous year.
The Mexican government's initiatives focused on sustainability, energy efficiency, and innovation are creating favorable conditions for market expansion. In 2024, Mexico introduced the National Food Sovereignty Programme to increase production and provide sustainable, healthy food at affordable prices to Mexican families. This program supports small and medium-scale producers of beans, corn, onions, tomatoes, chili, wheat, sorghum, rice, cocoa, coffee, and milk in high-poverty municipalities. The initiative includes provisions for credit, insurance, and technical assistance in agroecological practices and marketing.
Increasing Usage of Fungicide Treated Seeds
Fungicide seed treatments dominate agricultural practices in Mexico's crop production sector as farmers prefer them for their proven effectiveness in controlling early-stage fungal diseases, which directly impact plant health and yield outcomes. These treatments play a vital role in protecting seeds against both soil-borne and seed-borne pathogens that can reduce crop productivity, as evidenced in 2022 when coffee leaf rust spread across the region, causing significant damage to coffee production.
Mexico holds the position of the second-largest seed treatment market in North America and demonstrates rapid growth within the region, with the increasing demand for fungicide seed treatments stemming from multiple factors, including higher crop rotation rates, adaptable sowing methods, and evolving climate conditions. Major companies like Syngenta, Bayer CropScience, and BASF dominate the Mexican market with their fungicide seed treatment solutions, as demonstrated by Syngenta Seedcare's global introduction of VICTRATO in 2022, including Mexico. This fungicide seed treatment specifically addressed primary soil-borne fungal diseases, helping improve crop quality and yields across various crops including soybeans, corn, cereals, cotton, and rice. According to FAOSTAT, in 2022, the yield of rice stood at 6,552.4 kg per hectare which is 2.7% more than the previous year yield of 6,381.3 kg per hectare.
