Compost Market Opportunities and Strategies to 2034

This report describes and explains the compost market and covers 2019-2024, termed the historic period, and 2024-2029, 2034F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global compost market reached a value of nearly $8.15 billion in 2024, having grown at a compound annual growth rate (CAGR) of 5.33% since 2019. The market is expected to grow from $8.15 billion in 2024 to $11.96 billion in 2029 at a rate of 7.98%. The market is then expected to grow at a CAGR of 7.62% from 2029 and reach $17.27 billion in 2034.

Growth in the historic period resulted from the expansion of horticulture industry, rise in food demand, strong economic growth in emerging markets, increased demand for organic food products and rise in interest in urban gardening. Factors that negatively affected growth in the historic period was inadequate supply of organic waste materials.

Going forward, increasing urban populations, growing agricultural sector, favorable government support, growing water scarcity concerns and increasing food wastage will drive the growth. Factor that could hinder the growth of the market in the future include high initial investment costs.

The global compost market is highly fragmented, with a large number of players operating in the market. The top ten competitors in the market made up to 4.64% of the total market in 2023. Veolia Environnement S.A. was the largest competitor with a 1.33% share of the market, followed by Denali Water Solutions with 1.08%, Sri Gayathri Biotec with 0.73%, Atlas Organics, Inc. with 0.68%, McGill Environmental Systems with 0.26%, Compost Crew with 0.16%, Wormpower with 0.12%, Dirt Dynasty LLC with 0.11%, Farm-ng with 0.09% and Kahariam Farms with 0.08%.

Asia Pacific was the largest region in the compost market, accounting for 35.62% or $2.9 billion of the total in 2024. It was followed by North America, Western Europe and then the other regions. Going forward, the fastest-growing regions in the compost market will be Asia Pacific and Africa where growth will be at CAGRs of 9.36% and 9.00% respectively. These will be followed by Middle East and South America where the markets are expected to grow at CAGRs of 8.68% and 8.38% respectively.

The compost market is segmented by product type into yard trimming, food waste, manure, mushroom compost, vermicomposting and other product types. The yard trimming market was the largest segment of the compost market segmented by product type, accounting for 51.73% or $4.21 billion of the total in 2024. Going forward, the vermicomposting segment is expected to be the fastest growing segment in the compost market segmented by product type, at a CAGR of 14.01% during 2024-2029.

The compost market is segmented by application into agriculture, home gardening, landscaping, horticulture and other applications. The agriculture market was the largest segment of the compost market segmented by application, accounting for 41.54% or $3.38 billion of the total in 2024. Going forward, the agriculture segment is expected to be the fastest growing segment in the compost market segmented by application, at a CAGR of 8.80% during 2024-2029.

The top opportunities in the compost markets segmented by product type will arise in the yard trimming segment, which will gain $1.66 billion of global annual sales by 2029. The top opportunities in the compost markets segmented by application will arise in the agriculture segment, which will gain $1.77 billion of global annual sales by 2029. The compost market size will gain the most in China at $681.37 million.

Market-trend-based strategies for the compost market include launching eco-friendly compost and potting soil products made from food waste, supporting sustainable landscaping and green spaces and developing sustainable compost made from organic material, such as by-products of mushroom cultivation, for eco-friendly soil enhancement and to gain a competitive edge in the market.

Player-adopted strategies in the compost market include focus on strengthening business expertise through merger and acquisition and expanding compost facilities.

To take advantage of the opportunities, the analyst recommends the compost companies to focus on eco-friendly products and circular economy, focus on sustainable compost from organic by-products, focus on vermicomposting for market growth, expand in emerging markets, focus on expanding distribution channels for wider market reach, focus on implementing cost-effective and market-responsive pricing strategies, focus on educational content to raise awareness and drive engagement for compost companies, focus on influencer partnerships to boost brand visibility for compost companies and focus on agriculture for market growth.

Major Market Trends

• Launch of Eco-Friendly Compost Products Towards Sustainable Landscaping and Circular Economy
• Focus on Sustainable Compost Development Using Mushroom Cultivation by-Products

Key Mergers and Acquisitions

• The Sterling Group Acquired Nature's Choice To Advance Its Sustainability Portfolio
• WM Acquired Specialized Environmental Technologies To Expand Capabilities in Waste Handling
• DTG Recycle Acquired Olympic Organics To Strengthen Waste Management
• Synagro Technologies Acquired Liberty Composting For Strengthening Sustainable Waste Management and Organic Recycling Capabilities
• Denali Water Solutions Acquired New Earth To Expand Position in Environmental Services