Registration Status of Seed Treatment Products and Market Trends in China

As an efficient means of crop protection, seed treatment technology, with its low input cost, high economic benefits, low environmental pressure and significant social benefits, has become an important driver for reducing pesticide consumption, increasing efficiency and promoting green agriculture in China. As carriers of seed treatment technology, seed treatment agents have gained increasing attention and recognition from growers. In recent years, the market share of seed treatment agents has been growing both domestically and internationally, accompanied by an rise in the number of registered products.

This article summarizes and analyzes the registration status of seed treatment agents in China from June 2022 to May 2023, and discusses the main features and changes in terms of formulation type, category and active ingredients.

New registrations

Preliminary data from the Institute for the Control of Agrochemicals, Ministry of Agriculture (ICAMA) showed that from June 1, 2022 to May 23, 2023, a total of 220 new seed treatment products were registered. Among them, 107 are single-formulation products and 113 are combined-formulation products. There were 151 fungicides, 100 insecticides, 21 insecticide/fungicide combinations, 1 nematicide/fungicide combination, and 1 nematicide. Fungicides remained the dominant category for newly registered seed treatment products, with the trend of insecticide/fungicide combinations still being prominent.

In terms of formulation type (Table 1), flowable concentrate for seed coating accounted for the highest proportion of the newly registered seed treatment products in the past year, followed by flowable concentrate for seed treatment.

Table 1: New registrations by formulation type (2022.06.01 - 2023.05.23)

Preliminary statistics on the newly added active ingredients highlight the following rankings in terms of quantity: imidacloprid (36), thiamethoxam (27), fludioxonil (21), tebuconazole (10), difenoconazole (9), thiram (9), metalaxyl (8), carbosulfan (5), azoxystrobin (4), Hymexazol (4), silthiofam (4), fipronil (3), triticonazole (3), imidacloprid + thiodicarb (3), dinotefuran (2), chlorpyrifos (2), and others. Imidacloprid, thiamethoxam and clothianidin remain the key active ingredients in the newly registered products.

Previous data from 2021 showed that the top 15 registered popular varieties were fludioxonil, clothianidin, thiamethoxam, metalaxyl-M, difenoconazole, thifluzamide, azoxystrobin, tebuconazole, pyraclostrobin imidacloprid, dinotefuran, prochloraz, thiram, fosfamide, triticonazole, and ipconazole. Comparisons of these data revealed that the application of imidacloprid for seed treatment rapidly expanded in 2022.

Overall, the number of registered seed treatment agents is increasing year-by-year, especially the registration of some off-patent products. However, combined formulations still dominate registrations. Currently in China, the majority of patent applications related to seed treatment technologies encompass fungicides, insecticides and plant nutrition. Furthermore, microbial nematicides in seed treatment agents are becoming a popular focus of research, and new registrations also include nematicide products that are flowable concentrates for seed coating (shown in the Table 2).

Table 2: New nematicide products registered for seed treatment

According to the Society of Nematologists, global crop yield losses due to plant parasitic nematodes are estimated at US$100 billion per year. The World Vegetable Center (WorldVeg) estimates that parasitic nematodes are responsible for some 17% to 38% of the annual global vegetable production losses. In recent years, the gradual phasing-out or restriction of many pesticides due to toxicity concerns has created an opportunity for natural nematicides to provide safer and more effective crop protection solutions. In this article, we will examine the products launched in recent years by multinationals that are rapidly growing in presence in the global seed treatment sector.

Multinationals are active in the seed treatment nematicides segment

Corteva: In 2019, Corteva Agriscience and Stoller entered a commercial partnership for the exclusive distribution of Rizotec, a bionematicide that controls nematodes and eliminates a substantial amount of eggs and females in sugarcane crops. Under the agreement, Corteva Agriscience made its global debut in this segment. In 2022, Corteva introduced Lumialza in Brazil, their first bionematicide for seed treatment. Lumialza contains the bacterium, Bacillus amyloliquefaciens (strain PTA-4838), a naturally occurring organism that colonizes crop roots to form a biological barrier against various harmful nematodes.

BASF: In 2019, Nufarm announced the acquisition of BASF’s nematode management seed treatment solution, Trunemco™, a first-of-its-kind patented combination of a microorganism and a biochemical. Trunemco is a seed-applied treatment that contains a biochemical that primes soybean, corn and cotton plant physiology, activating their natural defense systems that provide broad-spectrum protection against nematodes. It also contains a microbial that boosts root health and seedling vigor. Field trials of this natural biochemical and microbial solution resulted in higher yields and less nematode damage. In 2021, BASF announced the launch of its first bionematicide in Brazil under the trade name, Votivo Prime, which is based on the bacterium, Bacillus Firmus, that develops the root system and minimizes stresses on rice, soybeans, corn, wheat and cotton.

Sumitomo Chemical: In 2021, Sumitomo Chemical launched Aveo (Bacillus amyloliquefaciens PTA-4838 strain), a new bionematicide seed treatment solution, in Brazil. Aveo guarantees a ″series of benefits for plants, high efficacy in the control of nematodes and safety.″ The bacteria colonize plant roots, creating a bio-barrier that prevents nematode penetration of roots. Nematodes are one of the main problems affecting soybean productivity in all regions of Brazil. Aveo has a broad spectrum of control and a long period of action for seed treatment, and can increase soybean yields by around 5%.

IHARA: In 2023, IHARA announced the launch of its first bionematicide, TRUNEMCO, formulated with Bacillus amyloliquefaciens MBI600. The product has been incorporated into the company’s portfolio. TRUNEMCO has an innovative FS formulation compatible with other treatments, providing greater flexibility and yield due to its low application dosage. It is an innovative formulation selected and developed to combat and repel nematodes while offering even greater protection of roots and, consequently, better development of plants.

UPL: In 2023, UPL launched a new microbiological nematicide called Nimaxxa, which is formulated with three bacteria: Bacillus subtilis strain CH4000 and Bacillus paralicheniformis strains CH0273 and CH2970. The product acts through contact with multiple mechanisms of action arising from the synergistic action of bacteria, as these two Bacillus species compete in the soil and colonize the root system of crops, feeding on root exudates.

Food demand drives market development

Before 2000, the development of seed treatment agents in China was slow, with only five seed treatment products being registered. The number of registered products gradually increased after 2000 and experienced rapid growth around 2010. In 2012, there were 35 newly registered seed treatment products, nearly double the number in 2010. Since then, there has been an overall upward trend in the number of registered seed treatment products. Despite a significant decrease in the number of registered products in 2016, there were still nearly 70 seed treatment products registered. As seed treatment agents provide better early nutrition, growers are seeing the benefits of crop establishment, early-season growth, and the ability to withstand challenging growing conditions.

The seed treatment market is experiencing rapid growth, and it is predicted that the global seed treatment market will reach a value of US$13.5 billion by 2025. The United Nations estimates that food production needs to increase by 50% by 2030 to meet growing demand. More efficient seed treatment is crucial for achieving higher food production. The seed treatment market in East Asia is expected to experience rapid growth from 2022 to 2029, primarily due to the development of organic agriculture, environmental concerns regarding agrochemicals, expansion of agricultural cultivation areas, and population growth in the region, which all contribute to the increased use of seed treatments to enhance crop yields.

The growth of the seed treatment market in China is primarily driven by the following factors:

Firstly, safety and environmental protection is becoming a global focus of agriculture, with adjustments being made to the structure and usage of pesticides. In recent years, China has advocated for the reduced consumption of pesticides. One of the main reasons for the outstanding performance of seed treatments is their high target specificity. Unlike conventional field spraying, seed treatment applies pesticides directly to crop seeds, therefore, greatly reducing the amount of pesticide used. Although seed treatment currently holds a relatively small market share, it is steadily growing year-by-year.

Secondly, changes in the global natural environment and increased prevalence of pests and diseases in recent years have significantly impacted agricultural production. Seed treatment technology, as an efficient means of crop protection, offers advantages such as low input costs, low environmental pollution, effective control results, high pesticide utilization rates, and considerable economic benefits. Consequently, it has become an indispensable planting solution for farmers.

Thirdly, the development of precision drilling technology, the rise in the cost of seeds and the maturity of monoseeding for certain seeds make it essential to ensure single grain seedling. Additionally, due to seed prices and other factors that push up the cost of seed, farmers are attaching more importance to seedling rate. Seed treatment, as an important technological guarantee for seedling rate, is gradually being widely accepted by farmers.

Fourthly, multinational agricultural companies are continuously adjusting their business strategies to adapt to global agricultural development, shifting from providing single-product services to integrating the entire industry chain, including seeds, pesticides, crop protection services, machinery, processing and grain processing. Seed treatment, as an integral part of seed processing and crop protection services, serves as a vital link between seed companies and pesticide companies.

Long-term outlook

From a global perspective, seed treatment accounts for around 20% of the pesticide market in the US, over 15% in Europe, and more than 12% in Brazil. Although its market share in China is only around 6.5%, the potential for growth in the Chinese seed treatment market is enormous, due to China’s recent policies aimed at reducing pesticide consumption and increasing awareness of seed treatment application. Furthermore, China has the most comprehensive chemical industry chain in the world, with significant advantages in product development. Major multinationals consider China as their most important growth market, which encourage overall industrial advancement and cooperation.

This article was initially published in AgroPages' '2023 Seed Treatment Special' magazine.

If you would like to share your company's story. Please contact Christina Xie at christina@agropages.com

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