Increasing Consumption and Production of Fertilizers to Upsurge the Growth of the Agrochemicals Market

 

Agrochemical products are those chemicals that are used to increase the production of an agricultural environment. Agrochemical chemicals typically include pesticides, fertilizers, lime precursors, acidizing and alkalizing agents (all of which are designed to alter the normal pH level of the soil), lime stabilizers, and other nutrients that are required for plant growth. These chemicals are widely used by farmers and are crucial to the functioning of modern agriculture. The use of these chemicals presents a number of concerns both from the perspective of the environment and the human body.

The increasing need for improving crop production due to the growing concern of food security and lack of arable land is fueling the growth of agrochemicals market. Growing advancement in technology is raising adoption of advanced and sustainable farming practices which is again propelling the growth of the market. The increasing population coupled with the growing usage of fertilizers around the globe for sustainable farming is also projected to foster the growth of agrochemicals Market. Growing agricultural activities all around the globe and rise in the disposable income of the consumers are other two major factors increasing the demand for fertilizers. This is further projected to foster the growth of the agrochemicals market.

The Asia Pacific is projected to gain significant growth over the forecast period and this is attributed to the high food grain production in the region. According to the India Brand Equity Foundation, total food grain production in the country is expected to reach a record 277.49 million tons in the 2017-18 crop year. Moreover, India ranks 2nd in the global production of fruits and vegetables and is a leading exporter of mangoes and bananas. The country also exports grapes in a large quantity across the world

Key Developments:

1.      In July 2018,  Agrochemical firm Parijat Industries has launched three new products Aadat, Tegata & Rakha in India this Kharif season for control of different insects, pests, and diseases and to improve farmers’ yield.

2.      In July 2020, BSE listed Best Agrolife Ltd, a global provider of agrochemicals and a key manufacturer of agro-inputs have got license/registration for manufacturing *DIRON* (DINOTEFURAN 20 percent SG), a super systematic insecticide with quick uptake and knock-down, that controls a broad spectrum of previous and invasive pests.

3.      In October 2019, BASF has increased its R&D budget to €900M (US$988M) in 2019 and launch 30 new products, including eight active ingredients, as well as seeds in hybrid wheat, soybean, canola, cotton, and vegetables.