Analysis of the Agrochemicals Market: Assessment of Market Size, Trends, Statistics, and Competitors
Global Agrochemicals Market by Product (Fertilizer, Crop Protection Chemicals, Plant Growth Regulators, and Others), by Application (Grains and Cereals, Pulses and Oilseeds, Fruits and Vegetables, Turf and Ornamental Grass, and Others), and by Region (North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa) – Market Size, Share, COVID-19 Impact, Regional Analysis & Forecast Till 2030
Category - Agriculture
Report Code - OMR-A-117
Format: PDF, PPT, and Excel
Agrochemicals Market Overview
The primary functions of agrochemicals are pest and disease management and soil enrichment. Crop yields and growth have been stabilized thanks to agrochemicals such as growth regulators, insecticides, and fertilizers. Around 2500 B.C., Sumerian farmers started using agrochemicals like sulfur (S) compounds to control bug populations and prevent starvation. Synthetic chemical manufacturing has advanced significantly, leading to greatly improved pesticide methods that can keep up with the staggering expansion of the world’s population and the accompanying surge in demand for food. The increasing global demand for higher agricultural yields and crop protection against pests and diseases is a driving force for the agrochemical market. To keep the quality of the food supply continuously good for public consumption, there is an active and diligent effort to adopt a wide variety of agrochemicals. By 2050, the United Nations estimates that the global population will have reached 9 billion. A big problem is emerging due to the growing population and the shrinking supply of farmland to meet the surging demand for food. As a result of supply chain interruptions, the agrochemical industry has seen the effects of the COVID-19 epidemic. However, with increased food grain production in developed and developing nations, the agrochemical sector is anticipated to recover soon.
Agrochemicals Market Growth Factors
Growing Global Population to Surge the Market Growth
Population growth and increased disposable income are changing global consumption habits. The nutritional requirements of a more affluent population must be addressed, which means expanding supply to satisfy demand. For instance, the United Nations, an intergovernmental organization based in the United States, predicts that the global population will grow from 7.7 billion in 2021 to 9.7 billion in 2050, an increase of 2 billion people. In 2021, 11.7% of the world's population was severely food insecure, according to the Food and Agriculture Organization. Loss of arable land and crops from insect assaults causes waste, a major obstacle to meeting food and nutritional needs. In addition, in 2019-20, India used 57.35 million tons of fertilizers, with urea being the most popular. As rodent and pest attacks on crops become more common, we can anticipate greater uptake of crop protection chemicals like herbicides and fungicides.
Rising Global Population to Boost Market Growth
Consumption patterns are shifting as a result of global population growth and rising prosperity. It is necessary not only to increase production to meet demand but also to make sure that the nutritional requirements of a population that is becoming more affluent are met. According to the United Nations, an intergovernmental organization based in the United States, the global population is expected to rise by 2 billion people over the course of the next thirty years, rising from 7.7 billion in 2021 to 9.8 billion in 2050. According to the United States Department of Agriculture, the total area of farmland in the United States has decreased annually since 2000. As of 2021, the total farmland area had fallen by nearly 50 million acres, reaching 895.3 million acres. These factors are increasing the demand for agrochemicals, which in turn increases agricultural output.
Agrochemicals Industry Segment
Product
• Fertilizer
o Nitrogenous
o Potassic
o Phosphatic
o Secondary Fertilizers
o Others
• Crop Protection Chemicals
o Herbicides
o Fungicides
o Insecticides
o Others
• Plant Growth Regulators
• Others
Application
• Grains and Cereals
• Pulses and Oilseeds
• Fruits and Vegetables
• Turf and Ornamental Grass
• Others
Agrochemicals Market Regional Segmentation
North America
o U.S.
o Canada
o Mexico
Europe
o Germany
o U.K.
o France
o Spain
o Italy
o Rest of Europe (RoE)
Asia Pacific (APAC)
o Japan
o China
o India
o South Korea
o Rest of APAC
Latin America
o Argentina
o Brazil
o Rest of Latin America
Middle East & Africa
o South Africa
o UAE
o Saudi Arabia
o Rest of MEA
Product Insights
Fertilizers are Dominant as they Help in Improving Higher Quality Crop Yield
Based on the product, the market can be differentiated between fertilizer, crop protection chemicals, plant growth regulators, and others.
Fertilizer products dominated the market, and that trend is expected to continue. Cereals and grains can receive fertilizer in one of three methods. These fertilizers can be top-dressed, sprayed, or combined with other fertilizers for seedlings. Increasing cereal and grain yields relies heavily on using the correct amount of fertilizers at the correct rate. NPK (nitrogen, phosphorus, potassium) fertilizer is the most common type of agrochemical fertilizer. Fertilizers high in nitrogen stimulate plant growth, resulting in increased yields.
During the projection period, the market for crop protection chemicals is expected to expand at a rate higher than any other industry. Weeds and other unwanted plants can be killed with crop protection agents. Companies in the market are making many different kinds of strategic moves. In April 2020, for example, Sumitomo Chemicals, a Japanese chemical business that offers a wide variety of agrochemical products, acquired four of Nufarm's South American subsidiaries for a price that was not made public. The Sumitomo Chemical Company is using this purchase to increase its presence in the crop protection market in Brazil and other countries worldwide. Australia's Nufarm Limited specializes in crop protection using cutting-edge chemical agriculture practices.
Regional Insights
Asia Pacific to Lead Global Sales Owing to Growing Agricultural Activities
Based on region, the market can be split between North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa.
The Asia-Pacific region has dominated the agrochemical market, which is expected to continue through the forecasted period. Because of its size and population, Asia and the Pacific are key agrochemical markets. Major players in the regional market include India, China, South Korea, and Japan. India's enormous production of cereal crops like rice and wheat is fueling the market's expansion. In India, pesticide use has been on the rise recently. China has become a global leader in producing, using, and exporting fertilizers and insecticides. Baojing Gu, a professor at both Melbourne and Zhejiang universities, claims that China has the highest per capita use of pesticides in agricultural production worldwide. Over 90% of the world's demand for technological raw materials is met, using 30% of the world's insecticides and fertilizers.
During the projection period, the North American agrochemicals market is expected to be the second largest in the world. Blueberries, almonds, sorghum, and maize all have the United States as their primary producer. According to the Food and Agriculture Organization, the United States is a major producer, consumer, and exporter of agrochemicals. Better weather patterns and increased prices for grain commodities have led to growth in the country's agrochemical sector.
Europe is expected to maintain a sizable part of the industry in the next years. Enhanced crop productivity is driving market expansion in this area. The population is expanding rapidly, but the available cropland is shrinking. This is putting pressure on farmers to boost output. Therefore, farmers are turning to innovative agricultural practices to boost crop yield, setting the stage for developing the crop protection industry.
Agrochemicals Industry Analysis
The largest companies control the vast majority of the market. Companies believe investing in research and development is a highly effective way to stay competitive in today's industry. Market participants vie with one another in several different ways, including product quality, price, and service; innovation; sustainability; and business reputation.
To stay competitive and grow their market share, all major companies invest much in research and development of new products. Joint ventures, mergers and acquisitions, distribution network expansions, new product launches, and new geographic markets are the primary means companies grow their market share.
Agrochemicals Market Recent Developments
• In February 2023, besides their flagship products Citigen and Vistara, India's Best Agrolife (BAL) introduced six new formulations Amito, Promos, Propique, Ghotu, Doddy, and Headshot. BAL also took the opportunity to educate the audience on how its products are helping to revolutionize the Indian agricultural industry.
• In November 2022, ADAMA's cutting-edge herbicide Araddo (Clethodim + Fluroxypyr-empty) was approved for sale in Paraguay. The company has ambitions of growing into new markets all around Latin America.
• In January 2022, a partnership between Yara and Lantmännen to introduce fossil-free fertilizers to the market was signed. Green fertilizers will be manufactured by Yara and sold by Lantmännen in Sweden beginning in 2023 per the commercial contract terms from the partnership between the two companies.
Global Agrochemicals Market Prominent Players
• BASF SE (Germany)
• CLARIANT (Switzerland)
• Yara (Norway)
• Solvay (Belgium)
• Corteva (Netherlands)
• Bayer AG (Germany)
• ADAMA (Israel)
• Dow (U.S)
• Huntsman International LLC. (U.S.)
• Ashland (U.S.)
• Croda International Plc (UK)
• Evonik (Germany)
Frequently Asked Questions (FAQs)
At what rate will the Agrochemicals Market Expand?
According to Objective Market Research, the global agrochemicals market is projected to grow at a CAGR of 3.4% during the anticipated period.
What are the factors propelling the global Agrochemicals market?
The market is expected to grow during the forecast period due to rising research & development activities, a growing focus on high-quality crop cultivation, and growing government initiatives.
Which application accounted for the largest Agrochemicals market share?
Grains and cereals are expected to dominate the largest market share during the forecast period as the growing population has increased crop demand.
What region holds the major share in the global market scape?
Asia Pacific will hold the largest market share owing to many countries in this region, such as China, India, and Japan being agricultural countries.
Which are the dominating players in the market during the forecast period?
Some of the prominent players in the global Agrochemicals market are CLARIANT (Switzerland), Yara (Norway), Solvay (Belgium), Corteva (Netherlands), Bayer AG (Germany), ADAMA (Israel), Dow (U.S), Huntsman International LLC. (U.S.), Ashland (U.S.), Croda International Plc (UK), and Evonik (Germany), among others.
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Table of Content
1. Introduction
1.1 Market Definition
1.2 Objective of the Study
1.3 Market Scope
1.4 Years Considered in the Study
1.4.1 Historic Year: 2019-2021
1.4.2 Base Year: 2022
1.4.3 Forecast Period: 2023-2030
1.5 Currency Used in the Study
1.6 Boundaries for the Study
1.7 Collaborators/Stakeholders/Benefactors
2. Research Methodology
2.1 Research Outline
2.2 Data Collection Methods
2.3 Data Sources
2.3.1 Secondary Sources
2.3.1.1 Paid Sources
2.3.1.2 Unpaid Sources
2.3.2 Primary Sources
2.4 Market Estimation Methodology
2.4.1 Top-Down Approach
2.4.2 Bottom-Up Approach
2.5 Data Triangulation
2.6 Assumptions of the Study
2.7 Limitations of the Study
3. Executive Summary
3.1 Market Outlook
3.2 Analysts Perspective
4. Market Overview
4.1 Market Dynamics
4.1.1 Drivers
4.1.1.1. Rising Demand for Crop Protection Products
4.1.1.2. Growing Population Globally
4.1.2. Restrain
4.1.2.1. Stringent Government Policies
4.1.3. Opportunities
4.1.3.1. Rising Investments by Companies
4.1.3.2. Government Initiatives in Agricultural Sector
4.1.4. Impact of Market Dynamics
4.2. Impact of COVID-19 pandemic
4.3. Value Chain Analysis
4.4. Porter’s Five Forces Analysis
4.4.1. Bargaining Power of Buyers
4.4.2. Bargaining Power of Suppliers
4.4.3. Threat of Substitution
4.4.4. Threat of New Entrants
4.4.5. Competitive Rivalry
5. Global Agrochemicals Market Analysis & Forecast, by Product from 2019-2030 (in USD million) (in million tons)
5.1. Fertilizer
5.1.1. Nitrogenous
5.1.2. Potassic
5.1.3. Phosphatic
5.1.4. Secondary Fertilizers
5.1.5. Others
5.2. Crop Protection Chemicals
5.2.1. Herbicides
5.2.2. Fungicides
5.2.3. Insecticides
5.2.4. Others
5.3. Plant Growth Regulators
5.4. Others
6. Global Agrochemicals Market Analysis & Forecast, by Application from 2019-2030 (in USD million) (in million tons)
6.1. Grains and Cereals
6.2. Pulses and Oilseeds
6.3. Fruits and Vegetables
6.4. Turf and Ornamental Grass
6.5. Others
7. Global Agrochemicals Market Analysis & Forecast, by Region from 2019-2030 (in USD million) (in million tons)
7.1. North America
7.1.1. North America Agrochemicals Market Analysis & Forecast, By Country
7.1.1.1. U.S.
7.1.1.2. Canada
7.1.1.3. Mexico
7.1.2. North America Agrochemicals Market Analysis & Forecast, By Product
7.1.3. North America Agrochemicals Market Analysis & Forecast, By Application
7.2. Europe
7.2.1. Europe Agrochemicals Market Analysis & Forecast, By Country
7.2.1.1. Germany
7.2.1.2. UK
7.2.1.3. France
7.2.1.4. Spain
7.2.1.5. Italy
7.2.1.6. Rest of Europe (RoE)
7.2.2. Europe Agrochemicals Market Analysis & Forecast, By Product
7.2.3. Europe Agrochemicals Market Analysis & Forecast, By Application
7.3. Asia-Pacific (APAC)
7.3.1. Asia-Pacific Agrochemicals Market Analysis & Forecast, By Country
7.3.1.1. Japan
7.3.1.2. China
7.3.1.3. India
7.3.1.4. South Korea
7.3.1.5. Rest of the APAC
7.3.2. Asia-Pacific Agrochemicals Market Analysis & Forecast, By Product
7.3.3. Asia-Pacific Agrochemicals Market Analysis & Forecast, By Application
7.4. Latin America
7.4.1. Latin America Agrochemicals Market Analysis & Forecast, By Country/Region
7.4.1.1. Argentina
7.4.1.2. Brazil
7.4.1.3. Rest of Latin America
7.4.2. Latin America Agrochemicals Market Analysis & Forecast, By Product
7.4.3. Latin America Agrochemicals Market Analysis & Forecast, By Application
7.5. Middle East & Africa
7.5.1. Middle East & Africa Agrochemicals Market Analysis & Forecast, By Country/Region
7.5.1.1. South Africa
7.5.1.2. UAE
7.5.1.3. Saudi Arabia
7.5.1.4. Rest of Middle East & Africa
7.5.2. Middle East & Africa Agrochemicals Market Analysis & Forecast, By Product
7.5.3. Middle East & Africa Agrochemicals Market Analysis & Forecast, By Application
8. Competitive Landscape
8.1. Market Share Analysis (2022)
8.2. Market Positioning of Top Players (2022)
8.3. Key Developments & Growth Strategies (2020-2022)
8.3.1. Product Launches
8.3.2. Merges, Collaborations & Agreements
8.3.3. Expansion
8.4. SWOT Analysis
9. Company Profiles (Business Overview, Products Offered, Financial Details*, Recent Developments)
9.1. BASF SE (Germany)
9.1.1. Company Snapshot
9.1.2. Business Overview
9.1.3. Financial Data
9.1.4. Key Products Offered
9.1.5. Recent Developments
9.2. CLARIANT (Switzerland)
9.3. Yara (Norway)
9.4. Solvay (Belgium)
9.5. Corteva (Netherlands)
9.6. Bayer AG (Germany)
9.7. ADAMA (Israel)
9.8. Dow (U.S)
9.9. Huntsman International LLC. (U.S.)
9.10. Ashland (U.S.)
9.11. Croda International Plc (UK)
9.12. Evonik (Germany)
9.13. Others
10. Appendix
10.1. Currency Exchange Rate to USD
10.2. Abbreviations
* Financial details captured might be subjected to information available and not be given for privately-held companies or for companies that do not report it in the public domain