The Russian forage seed market (hereafter, referred to as the market studied) was valued at USD 1,032.89 million in 2018 and it is projected to reach a value of USD 1,835.93, with a CAGR of 10.06% in the forecast period, (2019-2024). The market studied is driven by factors, such as the increased demand for dairy products, increased livestock production, and increased meat consumption across the country. The restraints identified in this market are a drop in cultivable forage area distribution and lack of government support.
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Scope of the Report
Forages are plants or parts of plants eaten by herbivorous animals. There are different types of forage plants grown all over the world. Nowadays, with the growth in the livestock sector, the demand for animal feed is increasing worldwide, subsequently increasing the demand for forages. To improve the forage production and yield, advanced forage seeds are available in the market. These forage seeds can be divided into three categories, namely cereal forage seeds, legume forage seeds, and grass forage seeds. Currently, the forage seed market accounts for nearly 26% of the global seed market.
Key Market Trends
Drop in Cultivable Forage Area Distribution is restraining the market
The fodder and forage production holds great importance in modern Russian agriculture, providing the base for animal husbandry, for maintaining soil fertility on arable land, preserving landscapes and biodiversity. Accounting for more than 65% of the total feed, forages are the primary source of livestock animal feed. Historically, significant arable land was covered by many forage crops and grasses, where productivity was provided by minerals, mainly nitrogen. Forage crops cover around 25% of the total arable area, including not more than 10% of perennial swards. However, the increased need for food crop production, infrastructure growth, and rapid urbanization have put pressure on forage area distribution in Russia. Majority of forage crops and grasses grown in Russia are less productive. Further, some of the major indigenous forage crop varieties like Russian wild rye can be difficult to cultivate, due to its slow growth as a seedling. The unsupportive weather condition and soil structure would further dampen the potential growth of these crops in many regions of the country.
Russia Forage Seed Market is Segmented by Crop Type into Cereals
Cereals are the major forage seed crop produce in Russia. The increased cultivated agricultural land and high demand for livestock products have augmented the cereal crops forage seed market. Corn and sorghum are the most important cereals produced in the region for fodder purpose. The increased import of livestock products in Russia has alarmed the domestic animal produce market. Government is supporting the increased production of forage crops so as to increase domestic livestock production in order to meet the consumption demand. Corn is considered to be the best forage crop due to its high energy concentration, which can be used to optimize animal performance. In Russia, the market shares of fodder cereals are more than 54% of the total annual cereal production. Wheat, barley, and oats are the other cereals used for fodder crops and as animal feed.
Competitive Landscape
Though Russia is primarily an industrial economy, the agriculture industry in the country is huge. The agriculture industry in Russia accounts for about 6% of the total national GDP. Mostly, grain crops dominate Russian agriculture, followed by the forages. Forage forms an important part of Russian agriculture, and its production, utilization, and requirement are directly affected by the growth of the Russian livestock industry. The major players who are currently active in Russia are Cargill, DLF Group, RAGT Group, and Russian Grass seed. There are several small players in the unorganized segment, such as Zelenyj mir, Lobiron, Vershin N.L., Kompaniya, etc, which also have a considerable share in the Russian forage seed market. Most of the players in the unorganized sector are retails and the distributors.
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Table of Contents
1 INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Industry Attractiveness - Porter's Five Force Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
4.5 Russia Forage Seed Industry Analysis
4.6 Global Forage Seed Industry Analysis
5 MARKET SEGMENTATION
5.1 Crop Type
5.1.1 Cereals
5.1.2 Legumes
5.1.3 Grasses
5.2 Product Type
5.2.1 Stored Forage
5.2.1.1 Silage
5.2.1.2 Hay
5.2.2 Fresh Forage
5.3 Animal Type
5.3.1 Ruminant
5.3.2 Swine
5.3.3 Poultry
5.3.4 Other Animal Types
6 COMPETITIVE LANDSCAPE
6.1 Most Adopted Competitor Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 DLF Russia
6.3.2 Russian Grass Seed
6.3.3 Ragt Semences
6.3.4 Cargill
6.3.5 LG and Limagrain
6.3.6 Mosagri Group
6.3.7 PC Agroveles Ltd
6.3.8 Avgust Agro
6.3.9 Agro Kapital Grupp
6.3.10 Saratovskij IP
6.3.11 Castillo Lora Soluciones
6.3.12 Zelenvi Mir
6.3.13 Lobiron
6.3.14 Vershin N.L.
6.3.15 Kompaniya Oagro
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
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