Due to environmental regulatory pressures and a push to develop genetic resistance in key
target
crops, the U.S. market for chemicals used to control nematode infestations is poised to
experience big changes over the next ten years. A study published in
November by Kline & Company predicts that the market for liquid
chemical and fumigant nematicide treatments, estimated at more than
$280 million in the United States, will lose a significant portion of that
value in the next decade.
But while these factors and others are converging to create a declining
market, they are also creating an underserved one, and pesticide
suppliers may find an opportunity to extend the use of their existing products into this secondary
application. In fact, the two main chemicals used to control infestations of the microscopic
worms that damage plant roots, stems, and foliage are applied primarily to control other
problems - insects in the case of aldicarb (Temik®) and soil pathogens in the case of metam.
Both of these chemicals are facing increasing scrutiny while two other nematicides, methyl
bromide and fenamiphos (Nemacur®), are being phased out.
At the same time, biologists are working to develop or enhance genetic resistance to nematodes
in key crops like potato, tomato, and cotton. Kline’s study predicts that by 2013, nematode
resistance - mainly introduced via traditional plant breeding methods - will have a major impact
on nematicide chemical use for more than half of the 21 crop types examined. Still, genetic
resistance won’t entirely eliminate the need for chemical control for these crops, according to
senior associate Mancer Cyr in Kline’s Specialty Pesticides Practice. “Genetically modified
crops may not protect against all types of nematodes, and effectiveness will vary from crop to
crop. Introduced control can also fade over time,” Cyr says. “With many of the current
nematicides already being phased out or heading in that direction, growers will need to switch to
something.”
Suitable alternatives to the chemicals to be shelved will often be expected to provide control of
weeds and soil pathogens as well as nematodes. This could necessitate the use of combination
treatments, particularly for high-value vegetable crops. And the industry must anticipate even
stricter environmental requirements than the ones that caused the exit of their predecessors.
The study covers five crop categories and 21 different crop and noncrop markets to determine
the extent of recognized nematode damage, identify important nematode species, and examine
the degree to which the damage is treated with cultural practices versus chemicals and
fumigants. The study provides sales and market share data by active ingredient for 2002 or 2003
for each crop market, as well as estimates of active ingredient consumption and application rates.
Kline is also considering a broader analysis on the major regional markets for nematicides
outside the United States and is soliciting input from potential subscribers to define the scope of
this project. (Kline Group, 1/20/05).