Integrated Pest Management (IPM) Market Expected to Reach $34.0 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Integrated Pest Management (IPM) Market," The integrated pest management market size was valued at $17.8 billion in 2021, and is estimated to reach $34.0 billion by 2031, growing at a CAGR of 6.7% from 2022 to 2031.

Integrated pest management is a method of preventing insect development and killing crop-damaging insects. It aids in increasing crop quality and yield. Insecticides have long been a necessary component of the agricultural business. Insecticides come in a variety of forms, including organic and inorganic insecticides, repellents, non-repellents, and others. It is a broad-based strategy for pest management that includes both chemical and non-chemical approaches. IPM emphasizes healthy crop development with the least amount of damage to agroecosystems and promotes natural pest control methods in which natural and synthetic fertilizers are administered to plant tissues or soil to provide one or more nutrients necessary for plant growth.

Key factors driving the growth of the global integrated pest management market are majorly attributable to its wide applications in various industries such as agricultural, residential, and others. In addition, the rising adoption of biological control methods propels the market growth. In integrated pest management, the biological control method is used to reduce pest populations by using natural enemies or biological control agents such as microbial, microbial, and entomopathogenic nematodes. It is used on crops such as grains and cereals, oilseeds and pulses, and fruits and vegetables. The biological method is used as pesticides are naturally generated from plants, animals, minerals, and microbes. According to the (Forschungsinstitut für biologischen Landbau) FiBL, organic farmland increased by 1.1 million hectares worldwide, and organic retail sales continued to grow in 2021-22.  

Further, rising demand from the agricultural sector is propelling the integrated pest management market growth during the forecast period. Adoption of unique and innovative laboratory-prepared crop species is enhancing crop productivity. According to the Royal Society of Chemicals, about 800 chemically active compounds have been registered for use as crop protection treatments across the world. Herbicides, fungicides, and insecticides are the general terms for these compounds. The most prevalent pesticide-treated crops in the cereals and grains industry are maize, rice, and wheat. As grains are farmed in almost every country, there is a significant worldwide need for agricultural pesticides. With increased grain output and consumption, producers have focus more on yield and quality by using efficient insecticides.

Adoption of Artificial Intelligence (AI) and Internet of Things (IoT) based pest control is expected to offer lucrative growth opportunities for the integrated pest management market.  Artificial intelligence (AI) implementation in pest control has been increasing due to the low service cost and its continuous operation in remote and difficult-to-access regions without interfering with facility operations.  The need for digital pest control solutions is growing as service providers AI-based image recognition technology to identify and treat various pests and vermin. App-based insect detection aids in the rapid identification and implementation of adequate treatment strategies, including the use of appropriate pesticides and suggestions for homeowners. The inclusion of AI in pest control has two primary benefits: convenience and time savings. The usage of machine learning software aids in the optimization of the identification process. 

However, higher prices associated with integrated pest management are projected to restrain market growth. The use of integrated pest management is subject to registration by health, environmental, and pest control agencies in several nations. Government policies impact the demand and price of pest control products.

The integrated pest management market is segmented into control method, pest, application, and region. By control method, it is categorized into biological, chemical and pathogen & weed. On the basis of pest, the market is categorized into invertebrates, vertebrates and others.  On the basis of application, it is categorized into agricultural, residential and industrial. Region wise, the integrated pest management market share is studied across North America, Europe, Asia-Pacific, and LAMEA. 

The key players profiled in the study include ADAMA Ltd., AgBiTech, AgrichemBio, BASF SE, Bayer CropScience Ltd, FMC Corporation, Hercon Environmental Corporation, Oxitec, Rentokil Initial Group, and Sumitomo Chemical Ltd.  The players in the market have been actively engaged in the adoption of various strategies such as acquisition, product launch and expansion to remain competitive and gain advantage over the competitors in the market. For instance, Rentokil Initial plc acquired Terminix Global Holdings, Inc. in 2022. As a result of the acquisition, Rentokil Initial plc is now the world's largest pest control company, with about 4.9 million customers and 57,700 employees globally. It also completed its acquisition of Florida Pest Control. This acquisition expanded the number of clients and will make a substantial contribution to the North American sales and profitability goals.

COVID-19 Analysis:

The aggregate value of crops, including corn, oats, sorghum, barley, upland cotton, rice, wheat, and soybeans, was assessed at $108.8 billion in early February 2020 by the United States Department of Agriculture ($A), a 5% decrease. As a result, the decline in agricultural output affected pesticide consumption during the COVID-19 pandemic. The COVID-19 pandemic-related lockdowns had a significant impact on the residential and industrial sectors. However, the expanding requirement for pest control has had a significant influence on the integrated pest management industry during the pandemic.

Key Findings of The Study:

• By control method, the pathogen and weed segment was the highest revenue contributor to the market in 2021.
• By pest, the invertebrates segment dominated the integrated pest management market in 2021.
• By application, the industrial segment dominated the integrated pest management market in 2021.
• By region, North America was the highest revenue contributor, growing with a CAGR of 6.5%.