The global agrochemicals market is growing at a considerable CAGR of 3.2% during the forecast period. Rising demand in food production is one of the prime factors affecting and driving the market. Additionally, increasing application in the protection of crops against fungi, insects, and weeds among others is also estimated to be the key factors that are contributing significantly towards the growth of the market. However, effects on the natural fertility of the soil and emerging demand for organic fertilizers along with pesticides are major factors constraints that are hindering the growth of the global agrochemicals market across the globe. 

Moreover, the growing adoption of agrochemicals in various applications is also demanded as one of the key factors that are creating opportunities for the market. New product launches in the market are likely to drive the growth of the global agrochemicals market. For instance, in May 2020, BASF SE had come up with Melyra fungicide for its customers in China. This fungicide provides strong performance against diseases along with following and maintaining all the regular standards for its product.

Impact of COVID-19 Pandemic on the Global Agrochemicals Market

The global agrochemicals market is hardly hit by the COVID-19 pandemic since December 2019. The COVID-19 pandemic had brought a lot of disruption across the globe. Due to the COVID-19 pandemic, the agricultural sector across the globe had suffered supply chain disruption. As a result of which certain problems are being faced that include unavailability of labor for work, transportation hurdles along with insufficient inventories in different regions across the globe that had adversely impacted the market.

Segmental Outlook 

The market is segmented based on product type and crop type. Based on product type, the market is segmented into fertilizers and pesticides. By crop type, the market is segmented into fruits & vegetables, oilseeds & pulses, cereals & grains, and other.

Global Agrochemicals Market Share by Product Type 2020 (%)

Based on the product type, the demand for pesticides holds a significant share in the agrochemicals market. The demand related to pesticides is mainly driven through widespread usage in agriculture for the purpose of eliminating weeds along with unwanted vegetation in order to protect the crop. Pesticides include herbicides, insecticides, fungicides, disinfectants along with different sorts of compounds. Insecticides are generally being used for managing various types of insects and fungicides are preferred for preventing the growth against molds along with mildew. Additionally, in order to prevent the spread of bacteria, disinfectants are used for this purpose and various compounds are also being demanded in order to control mice and rats.   

Regional Outlooks

The global agrochemicals market is analyzed based on the geographical regions that are contributing significantly towards the growth of the market. Based on the geography, the market is segmented into North America, Europe, Asia-Pacific, and the Rest of the World. North America held a considerable share in 2020 in the global agrochemicals market. Some factors that are boosting the market growth in North America are raising eco-friendly methods of production in the agrochemicals market. Additionally, all the pesticides that are being offered in the US are registered under the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) by the Environmental Protection Agency (EPA) for protecting the environment along with the health of humans. Moreover, in Europe, increasing investment in agricultural sectors is boosting the demand for the market in that region.

Global Agrochemicals Market, by Region 2021-2027

Asia-Pacific will have considerable growth in the Global Agrochemicals Market

Asia-Pacific region is expected to witness significant growth opportunities for the market. Increasing usage of agrochemicals in applications related to agriculture is likely to drive the growth of the regional market. Additionally, favorable policies of the government include subsidies especially in South Korea, China, and India for increasing activity is also supporting the growth of the market. 

Market Player Outlook

Key players of the global agrochemicals market are AMVAC Chemical Corp., BASF SE, Bayer AG, Dow Chemical Co., and Yara. To survive in the market, these players adopt different marketing strategies such as product launches and mergers and acquisitions. For instance, in May 2021, approval was given from the Italian regulators for Cedroz pesticide that was been achieved by Eden Research plc for the purpose of offering this pesticide in the country. Cedroz pesticide will support in protecting damage against nematodes, parasitic worms to crop against fields and greenhouses.   

In October 2020, Bayer AG had put forward the Roundup brand Power MAX 3 herbicide. This herbicide contains a proprietary surfactant blend that supports fast absorption along with consistent control over weeds which enables the growth of the plant.

In September 2020, A joint acquisition was been done of Bharat Insecticide Ltd. by Nippon Soda Co., Ltd. along with Mitsui & Co., Ltd. This acquisition was completed in order to contribute expansion of Bharat Insecticide Ltd.’s business in India by bringing new products into its portfolio.

In March 2020, Sumitomo Chemical Co., Ltd. had launched a new fungicide named Kaname Flowable for customers in Japan. This fungicide contains INDIFLINTM (inpyrfluxam) for diseases in vegetables along with fruit trees.

In May 2019, Nissan Chemical Corp. had started offering Gracia Emulsion in japan that is its new insecticide which was been registered in January 2019. This insecticide contains Fluxametamide for vegetables along with tea.

The Report Covers

    • Market value data analysis of 2020 and forecast to 2027.

    • Annualized market revenues ($ million) for each market segment.

    • Country-wise analysis of major geographical regions.

    • Key companies operating in the global agrochemicals market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.

   • Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.

    • Analysis of market-entry and market expansion strategies.

    • Competitive strategies by identifying ‘who-stands-where in the market.