India Agrochemicals Market - By Type and Application - Market Shares, Forecasts and Trends (2017 - 2022)
The agrochemicals market in India is estimated to grow at a rate of 6.8% from 2015-2020.
India Agrochemicals Market Dynamics
Population statistics in the country have been responsible for maintaining adequacy in agricultural practices, ensuring greater utilization of agrochemical products in areas that were ignored in the past.
By embracing modern practices in the fields, use of agrochemicals has seen tremendous growth particularly for pesticides and fertilizer consumption. India is the second biggest consumer of agrochemical products in the world after China.
Globalization of agrochemical industry has a huge impact on the Indian market. With the high rate of population growth, increasing the need for food production and economic growth, the market for agrochemicals gets pushed ahead. The ambitious project of food security can only be achieved through improved product performance and productivity with the scarce resources available. Land scarcity due to urbanization, soil degradation, water scarcity etc. makes it more essential for the farmers to use agrochemicals to sustain. Export potential and Integrated Farming Practices would provide future growth opportunities. Low awareness among the farming communities and their low acceptance level to the modern day farming practices act as a major challenge for the industry.
India Agrochemicals Market Segmentation
In product segment, nitrogenous fertilizers form the largest share of fertilizer market. Pesticides market is currently lead by insecticides products followed by fungicides and herbicides; reportedly insecticide demand accounts for 65% of the total pesticide market share. The market is further segmented application wise as crop-based such as cereals, grains, oilseeds, and vegetables and non-crop-based applications.Staple food crops like wheat, rice, maize and cash crops like cotton and soya bean consume the majority of the agrochemicals in the country.
Key Players in the Indian Agrochemicals Market
The market in India is highly dominated by the foreign players. Bayer AG is the largest agrochemical producer in the world. Some of the big names include Yara International ASA, BASF, Bayer Crop Science, MakhteshimAgan Industries Ltd, Dow Agro Sciences, Monsanto, Syngenta, Aventis, Agrium etc. Lallemand Inc., ArystaLifeScience (Japan) and Sinofert Holdings Limited (China). Indian Farmers Fertiliser Cooperative, National Fertilizers Limited, Rashtriya Chemicals and fertilizers Ltd.Zuari Agro Chemicals, Nagarjuna Fertilizers and Chemicals Limited, and Coromandel International Limited are some of the big local companies operating in the Indian sub-continent. Companies here need to focus and strengthen their supply chain strategies to improve distribution and reach in the country.