Global Grain Market Report and Forecast 2025-2034

Global Grain Market Size

The global grain market reached approximately 2.3 billion tons in 2023. The market is projected to grow at a CAGR of 1.20% between 2024 and 2032, reaching a volume of around 2.56 billion tons by 2032.

Global Grain Market Outlook

• The USDA reported that U.S. farmers harvested 1.81 billion bushels of wheat from 37.3 million acres in the 2023/24 season.

• According to the USDA, Australia produced 400,000 tonnes of milled rice and 556,000 tonnes of rough rice in 2022/23.

• The Department of Agriculture's 2022-23 estimates show India's foodgrain production at 3296.87 Lakh tonnes, an increase of 140.71 Lakh tonnes.

Global Grain Market Growth

Rise in global population leading to high food demand, favourable trade policies and advancements in agricultural techniques to boost grain production are some of the major market drivers. Furthermore, the grain market trends and dynamics are driven by the implementation of techniques such as precision farming and genetically modified crops can prove effective in boosting grain yield.

The rising grain industry demand for biofuels is fuelling a substantial growth in soybean crush capacities. Numerous facilities are in the process of expanding or constructing new plants to keep up with the rising demand for biodiesel and this latest development represents the most significant expansion in the sector since the late 1970s and early 1980s.

Grain Industry Trends

The grain market key players are expanding their grain storage capacities to meet the growing demand. Rumo, the Brazilian rail operator, and DP World, a supply chain solutions provider, announced an agreement to establish a new port terminal for grains and fertilisers at the Port of Santos, Brazil, in March 2024. It offers the additional capacity for 9 million tonnes of grains and 3.5 million tonnes of fertilisers.

Grain Industry Outlook

In 2023, the growth of the grain market is indicated by the growing global grain production that surged to a new peak of 2,847 million metric tons, marking a 1.2% rise from the previous year's 2,794 MMT, as reported by the FAO. Per capita, grain consumption has remained stable at approximately 364 kilograms per individual boosting the grain market value.

The FAO forecasts that global grain utilization will continue to increase, with a projected 0.5% rise to reach a new high of 2,851 million metric tons in 2024-2025. This upward trend plays an essential role in the growth of the grain industry.

In 2023, the U.S. corn industry achieved unprecedented success, setting new production and yield records according to USDA, further boosting the grain market dynamics and trends. Production surged by 12% to 15.3 billion bushels, driven by a notable increase in average yield to 177.3 bushels per acre and a 10% expansion in acreage to 86.5 million acres, highlighting modern agricultural efficiency.

The increasing global population is a major driver behind the rising demand for grains worldwide. The grain market analysis indicates population projections foresee a substantial increase from 7.8 billion in 2020 to 9.7 billion by 2050, growing at an average annual rate of 1.1%. This equates to nearly 2 billion additional individuals to sustain, intensifying the strain on grain production. Global grain consumption could potentially reach 3.7 billion metric tons annually by 2050, assuming per capita consumption remains unchanged, to meet this projected grain demand.

The expansion of grain production across various regions strengthens the resilience of the supply chain.

• Innovations in biotechnology and precision agriculture boost yield and efficiency, thus, driving the global grain industry revenue.

• Grains are staple foods, ensuring consistent demand across various markets.

Grain production is highly vulnerable to adverse weather and climate change.

• Insufficient storage and transportation facilities can lead to significant post-harvest losses.

• Varied regulations and standards across countries complicate international trade.

The growing global population drives increasing growth of the grain market.

• Adoption of eco-friendly farming methods can enhance long-term productivity.

• The grain market opportunities are expanding in emerging economies that offers potential for market growth and diversification.

Price fluctuations due to geopolitical tensions and economic factors disrupt market stability.

• Swarms and plant diseases can severely impact yields and supply chains.

• Tariffs, quotas, and other trade restrictions hinder the free flow of grain products globally.

Market Competition in the Global Grain Market

Growth of the grain industry features fierce competition among major exporting regions such as North America, Europe, Australia, and the Black Sea region. Each region possesses specific competitive strengths and encounters distinct challenges that influence its standing in the global market. Historically, the U.S. has held a leading position in the global grain trade, particularly for maize and soybeans enhancing the grain industry revenue.

Key Players in the Global Grain Market and their Key Initiatives

Archer Daniels Midland Company

• Expanded sustainable sourcing of grains through partnerships.

• Introduced digital tools for farmers to enhance crop management. 

• Invested in grain processing facilities to meet the growing demand of the grain market.

Cargill, Incorporated

• Launch of digital tools for farmers to optimize grain sales and logistics.

• Expansion of sustainability efforts in grain sourcing, focusing on traceability and responsible farming practices. 

• Introduction of innovative grain processing technologies to enhance efficiency and product quality.

Continental Grain Company

• Expanded investment in sustainable agriculture practices.

• Introduced digital solutions for supply chain transparency. 

• Partnered with tech firms to enhance crop monitoring and yield to meet the grain market demand.

ITC Limited

• ITC Limited introduced advanced traceability measures in its grains market to enhance product transparency and quality assurance.

• Implemented sustainable sourcing practices focusing on eco-friendly agriculture methods. 

• Collaborated with farmers to promote efficient farming techniques and improve yields.

Louis Dreyfus Company B.V.

• Expanded sustainable sourcing programs in soy and corn.

• Launched digital platforms for trading and logistics. 

• Partnered with tech firms for blockchain traceability.

Global Grain Industry Segmentation

“Global Grain Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Grain Type

• Wheat

• Rice

• Corn

• Barley

• Oats

• Others

Market Breakup by Production Method

• Conventional

• Organic

Market Breakup by End Use

• Food and Beverages

• Animal Feed

• Biofuels

• Others

Market Breakup by Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East and Africa

Grain Market Share

Based on end use, the market is divided into food and beverages, animal feed, and biofuels, among others. Food and beverages account for a significant market share as wheat, rice, and corn are staple crops for a significant percentage of the world's population. Wheat finds widespread use in bread, pasta, and other baked items, whereas rice is a staple food in Asia, thus, boosting the grain market revenue.

Leading Companies in the Grain Market

The market participants are expanding their storage capacities to accommodate the growing demand for grains.

• Archer Daniels Midland Company 

• Bunge Global SA  

• Cargill, Incorporated 

• Continental Grain Company 

• CGB Enterprises, Inc.  

• COFCO Corporation 

• Louis Dreyfus Company B.V. 

• KRBL Limited 

• ITC Limited 

• LT Foods Limited

Key Highlights of the Report

Grain Market Report Snapshots

Grain Market Size

Grain Market Growth

Grain Market Trends

Grain Market Share

Grain Companies