Agrochemicals Market - Growth, Trends, and Forecast (2020 - 2025)

Agrochemicals Market - Growth, Trends, and Forecast (2020 - 2025)

  • July 2020 •
  • 242 pages •
  • Report ID: 5934729 •
  • Format: PDF
The Global Agrochemicals Market is projected to register a CAGR of 4% during the forecast period(2020-2025). The rising population across the world, accompanied by rising affluence, is seeing a shift in consumption patterns. There is a need to not just increase production to meet demand but also to ensure that the nutritional needs of an increasingly affluent population are met. Shrinking arable land and loss of crops due to pest attacks lead to wastage, posing a critical challenge to ensuring food and nutritional security. The agrochemical market is an important agriculture support industry, which boosts the agriculture output. There is an increasing need to balance the judicious use of the best chemicals and minimizing the impact of that use. Regulation plays an important role in this sector. Asia-Pacific dominates the market while North America is anticipated to be the fastest-growing market. Price premiums and innovative eco-friendly production methods are emerging steadily in the agrochemical market.

The agrochemicals market is competitive with major players including Bayer CropScience, Adama Agricultural Solutions, Yara International ASA, BASF SE, Corteva Agriscience and Nufarm accounted for the majority of the share in the global market.

Key Market Trends
Increasing Adoption of Biopesticides

Being essentially less harmful compared to regular synthetic pesticides, biopesticides typically affect only the target pest and other organisms that are closely related to it, therefore, biopesticides are gaining popularity. Although the biopesticide segment generated only a small fraction of the revenue generated by the crop protection chemical industry in 2018, the segment is likely to witness a significant growth rate in the forecast period. This kind of growth is supported by the fact that most countries amended their policies to minimize the use of chemical pesticides and instead promote the use of biopesticides. Owing to a smaller number of regulations on product approvals and low cost of product development, biopesticides are being largely adopted by the agriculture industry. It takes nearly USD 250 million and 10 years to develop new pesticide products. In addition, it takes 12-13 years and roughly USD 130 million for the development of GM crops. However, a biopesticide or biological can enter the market in 3-5 years, with roughly USD 3-5 million development cost

Asia-Pacific Dominates the Market

China accounts for the largest share among other countries in the global fertilizer market. Chinese consumption of inorganic N, P, K fertilizers is reducing, owing to the reduction in cropland area. The cropland area under fruits and vegetables is increasing, while the area under cereals is decreasing. The Chinese fertilizer market is growing at a very slow and steady rate, owing to the government regulation of zero residues of inorganic fertilizer in the food crops since 2013. The large production of cereal crops, like rice and wheat in India, is the major factor supporting market growth. Consumption of pesticides is rising steadily in India. In 2018-19, 72,515 metric tons of pesticides were used by farmers all over the country. Data reveals that only eight states consume more than 70 % of the total pesticide. With a growing emphasis on environment and sustainability, the government in the region is enforcing the clean production and environment-friendly agriculture policies, which led to a decline in pesticide usage in the country. The government has encouraged the use of microbial pesticides, which is expected to grow at a rapid rate in the coming years.

Competitive Landscape
New product launches, mergers & acquisitions, and partnerships are the major strategies adopted by these leading companies in the market. These companies are also focusing on making an investment in innovations, collaborations, and expansions, in order to increase their market share. The agrochemicals market is fragmented, with major players including Bayer CropScience, Adama Agricultural Solutions, Yara International ASA, BASF SE, Corteva Agriscience and Nufarm accounted for the majority of the share in the global market. In March 2016, Bayer CropScience released the bio-pesticide Serenade, in Australia. The product has been used in other parts of the world for years and has been suitable for a range of fruits and vegetables.

Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support

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