Peat is a partially decomposing organic substance that forms an organic surface layer in soil predominantly from plants. Waterlogging, oxygen and nutrient scarcity, and high acidity conditions prevent the organic material from fully decomposing in peatlands. According to BlueQuark Research & Consulting, the global Peat market is expected to witness a significant growth rate during the forecasted period. Factors like increasing the use of Peat in horticulture, Peat helps to improve the structure of the growing medium, promoting plant growth, and root development are expected to drive the global Peat market. Further, natural Peat moss is perfect for animal bedding as a floor layer because its moisture absorbing qualities and soft bed cushioning effect are projected to drive the Global Peat Market. Furthermore, Peats is a fuel suited for boiler firing and is used as an alternative to firewood for household heating is expected to drive the Global Peat Market. However, Peatland holds a third of the world’s soil carbon, their use and harvesting release carbon dioxide, the primary greenhouse gas driving climate change. Peat moss is a non-renewable resource as it takes thousands of years to form. It costs much more per square foot than traditional soil, which is expected to hinder the future market growth of Peat.

Peat is used in horticulture as it has optimal quality features, and it is the most used substrate in the seedbed for seedling, greenhouse potting, or nursery soil. It is used in bedding and flooring for horses, cattle, and chicken coops. Peat is used as an alternative to firewood used for household cooking and to produce small amounts of electricity. It is used as a natural oil absorbent for spill cleanup, especially in auto garages and other shops. It is used for biofiltration in air and wastewater treatment plant. It is also used in body care products.

The horticulture industry is Peat's most primary and vital consumer and is estimated to drive the global demand for Peat. When planting species that thrive in acidic soil, such as blueberries and azaleas, Peat moss is mixed with the ground to achieve an acidic pH. Peat moss assists in neutralizing alkaline soil by lowering the total pH, driving the Global Peat market. According to the U.S. Geological Survey, in 2020, the estimated mine of marketable Peat output in the conterminous United States was USD 13 million. Imports from 2020 were estimated to have increased to 1.4 million tons from 1.2 million tons in 2019, and exports were estimated to have increased to about 50,000 tons from 46,000 tons in 2019. Peat moss is mixed with sandy soil to keep it from draining too quickly as it is known for its remarkable water retention, driving the demand for Peat in the market. Peat improves soil buffering capacity and minimizes fertilizer nutrient leaching. Peat loosened clay soils and improved porosity, making it a choice ingredient in potting soil, which is projected to drive the demand for the Peat market. Thus, the above factors have made the horticulture industry a vital segment of growth for the Global market of Peat. 

The North American region is on its way to becoming the global leader in the production and consumption of Peat, with most of the consumption in countries like the U.S. and Canada. Florida, Michigan, and Minnesota are the top producing states with an average production of 430,000 tons per year, and Canada imports 96% of its Peat production. Peat's principal applications in Canada remain horticulture, which is used mainly as a growing medium. The demand for Peat is increasing in the horticulture industry as consumers' needs are growing. Peat is an essential increasing medium in developing horticulture plants as it is safe and cost-effective and expected to drive the global Peat market. Peat moss is used in bedding and flooring in chicken coops. Its absorbency property will absorb as much moisture as possible and reduce the ammonia concentration, thus adding to the Peat market demand. Due to increasing industrialization, Peat is used as energy in fuel for electricity, heat generation, and directly as a source of heat for industrial, residential, and other purposes, increasing the demand for Peat. Peat is used as an eco-friendly oil absorbent to clean up the hydrocarbon spills both on land and at sea, driving the Global Peat Industry market. In air filtration, the microorganisms present on filtering media such as Peat transform the molecule that causes odors and releases gaseous pollutants. Sphagnum Peat moss is a durable and porous fibrous material. It filters the effluents that percolate through it and accelerates the biodegradation of wastewater residues, thus driving the Global Peat Industry. In body care products, decomposed Peat has a high thermal capacity. It is ideal for massage therapy that promotes relaxation and stimulates the bloodstreams, driving the global Peat market. Therefore, mentioned factors have made the Asia Pacific region a vital area for the development of Peat.

Some of the market's key players are Global Peat Ltd, Dutch Plantin Coir India Pvt Ltd, Rekyva, AB, Neova Oy, Elva E.P.T. Ltd., among others.

In August 2020, US-based FibreDust LLC announced the release of Coir WTF 70/30, in which wood fiber and coir are blended and compressed for efficient global delivery in grow bags, grow cubes, disks, lay flat slabs, and more. 

In February 2019, RX Green Technologies, a leader in cannabis nutrients and supplements, entered the substrate market with the launch of CLEAN COCO, an agricultural substrate made from coconut coir. 

Global PeatMarket report provides deep insight into the Industrial market's current and future state across various regions. The study comprehensively analyses the Peat market by segmenting based on the By Type (Sphagnum Moss Peat, Upper Layer Peat, Peat Litter, Black Peat, Garden Peat, Colored Peat, Others), By Materials (Fabric, Hemic, Sapric), By Application (Horticulture & Agriculture, Fuel & Energy, Others) and Geography (Asia-Pacific, North America, Europe, South America, and Middle-East and Africa). The report examines the market drivers and restraints and the impact of Covid-19 on market growth in detail. The study covers and includes emerging market trends, developments, opportunities, and challenges in the industry. This report also covers extensively researched competitive landscape sections with prominent companies and profiles, including their market shares and projects.