The Agrochemicals Market Size accounted for USD 225.8 Billion in 2022 and is projected to achieve a market size of USD 306.1 Billion by 2032 growing at a CAGR of 3.2% from 2023 to 2032.
Agrochemicals Market Highlights
- Global agrochemicals market revenue is expected to increase by USD 306.1 billion by 2032, with a 3.2% CAGR from 2023 to 2032
- Asia-Pacific region led with more than 28% of agrochemicals market share in 2022
- North America agrochemicals market growth will record a CAGR of more than 3.5% from 2023 to 2032
- By product, the fertilizers are the largest segment of the market, accounting for over 65% of the global market share
- By application, the cereals & grains are one of the largest and fastest-growing segments of the agrochemicals industry
- Increasing global population and food demand, drives the agrochemicals market value
Agrochemicals refer to a broad category of chemical products used in agriculture to enhance crop productivity and protect plants from pests, diseases, and weeds. This category encompasses fertilizers, pesticides, herbicides, fungicides, and other chemical substances essential for modern agricultural practices. Agrochemicals play a crucial role in ensuring food security and meeting the increasing global demand for agricultural products.
The market for agrochemicals has experienced significant growth over the past few decades, driven by several factors including population growth, the expansion of agricultural lands, and advancements in farming technologies. For example, farmers can utilize drones equipped with sensors to monitor plant growth, detect disease stress, keep track of field temperature, and precisely spray pesticides or fertilizers at targeted locations in the field. Additionally, the growing need for higher crop yields to feed the burgeoning population has led to increased adoption of agrochemicals by farmers worldwide. Emerging economies, particularly in Asia and Africa, have become key markets for agrochemicals as agricultural practices evolve and modernize in these regions. For instance, according to the Asian Development Outlook (ADO) December 2023, the regional economy is now expected to grow by 4.9% in 2023, an increase from the previous forecast of 4.7% made in September.
Global Agrochemicals Market Trends
Market Drivers
- Increasing global population and food demand
- Expansion of agricultural lands and adoption of modern farming practices
- Technological advancements in agrochemicals for enhanced efficacy
- Rising disposable incomes in emerging economies, driving demand for higher quality crops
- Growing awareness and adoption of sustainable agriculture practices
Market Restraints
- Regulatory pressures and concerns regarding environmental and health impacts
- Resistance development in pests and weeds against conventional agrochemicals
Market Opportunities
- Development of novel formulations and biotechnological solutions
- Integration of digital technologies for precision agriculture
Agrochemicals Market Report Coverage
Market |
Agrochemicals Market
|
Agrochemicals Market Size 2022 |
USD 225.8 Billion |
Agrochemicals Market Forecast 2032 |
USD 306.1 Billion |
Agrochemicals Market CAGR During 2023 - 2032 |
3.2% |
Agrochemicals Market Analysis Period |
2020 - 2032 |
Agrochemicals Market Base Year
|
2022 |
Agrochemicals Market Forecast Data |
2023 - 2032 |
Segments Covered |
By Product, By Application, And By Geography
|
Regional Scope |
North America, Europe, Asia Pacific, Latin America, and Middle East & Africa |
Key Companies Profiled |
BASF SE, Clarient AG, Adama Agricultural Solutions Ltd., Huntsman International LLC, Arysta Lifesciences Corporation, Bayer Cropscience AG, America Vanguard Corporation, The Dow Chemical, Nufarm Limited, Jiangsu Yangnong Chemical Group Co. Ltd, and Sumitomo Chemical Co. Ltd.
|
Report Coverage
|
Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Covid-19 Analysis, Regulation Analysis |
Agrochemicals Market Dynamics
Agrochemicals encompass a diverse range of chemical substances utilized in agriculture to enhance crop production and protect plants from pests, diseases, and weeds. These chemicals play a vital role in modern agricultural practices, ensuring higher yields and improved quality of agricultural products. Agrochemicals are broadly categorized into fertilizers, pesticides, herbicides, fungicides, and plant growth regulators, each serving specific purposes in optimizing crop growth and health. Fertilizers are one of the primary types of agrochemicals, providing essential nutrients such as nitrogen, phosphorus, and potassium to plants for healthy growth and development. Pesticides, including insecticides, fungicides, and herbicides, are crucial for controlling pests, fungal diseases, and weeds that can significantly impact crop yield and quality. Herbicides specifically target unwanted plant species, while fungicides protect crops from fungal infections. Additionally, plant growth regulators are used to regulate plant growth processes such as flowering, fruit set, and ripening, thereby optimizing crop production and harvest quality.
The agrochemicals market has been experiencing steady growth driven by several factors. One significant driver is the increasing global population, which necessitates higher food production. For instance, in 2023, China achieved a record-breaking grain output of 695.41 million tonnes, marking a 1.3 percent increase compared to the previous year. As a result, farmers are under pressure to maximize crop yields, leading to greater adoption of agrochemicals such as fertilizers, pesticides, and herbicides. Additionally, the expansion of agricultural lands and the adoption of modern farming practices further contribute to the demand for agrochemicals. These practices often involve the use of advanced technologies and genetically modified crops, which require specialized agrochemical inputs for optimal growth and protection against pests and diseases.
Moreover, technological advancements in agrochemicals have played a crucial role in driving market growth. For instance, in February 2022, Adama introduced Timeline® FX, an advanced foliar herbicide for cereals with a broad application window. This spring herbicide features three active ingredients with complementary modes of action, along with a built-in adjuvant, to effectively control both broadleaf and grass weeds in cereal crops. Companies in the agrochemical sector continually innovate to develop new formulations with improved efficacy and environmental sustainability. For instance, there has been a growing emphasis on the development of organic pesticides and specialty fertilizers to meet the increasing demand for eco-friendly agricultural solutions.
Agrochemicals Market Segmentation
The global agrochemicals market segmentation is based on product, application, and geography.
Agrochemicals Market By Product
- Fertilizers
- Potassic
- Nitrogenous
- Phosphatic
- Secondary Fertilizers
- Others
- Plant Growth Regulators
- Crop Protection Chemicals
- Fungicides
- Herbicides
- Insecticides
- Others
- Others
In terms of products, the fertilizers segment accounted for the largest market share in 2022. One of the primary drivers of this segment is the increasing demand for food globally, driven by population growth and changing dietary preferences. Fertilizers play a crucial role in enhancing crop yields by providing essential nutrients to plants, thereby improving soil fertility and productivity. With the expansion of agricultural lands and the need to maximize output per hectare, farmers are increasingly relying on fertilizers to meet the growing demand for food and feed crops.
Moreover, advancements in fertilizer technologies have contributed to the segment's growth. Companies in the agrochemical industry have been investing in research and development and collaborating to develop innovative fertilizer formulations that offer improved nutrient uptake efficiency and environmental sustainability. For instance, in January 2022, Yara and Lantmännen entered into a commercial agreement to introduce fossil-free fertilizers to the market. This collaboration led to a contract for green fertilizers, produced by Yara and distributed by Lantmännen in Sweden starting in 2023. Additionally, the adoption of precision agriculture techniques, such as soil testing and nutrient mapping, has further fueled the demand for fertilizers as farmers seek to optimize nutrient management practices and minimize input wastage.
Agrochemicals Market By Application
- Cereals & Grains
- Fruits & Vegetables
- Oilseeds & Pulses
- Others
According to the agrochemicals market forecast, the cereals & grains segment is expected to witness significant growth in the coming years. One of the primary drivers of this segment isthe increasing demand for cereals and grains globally, fueled by population growth, and changing dietary patterns particularly in emerging economies. Cereals and grains are staple food crops that form the foundation of the human diet, making them critical for food security. As a result, farmers are under pressure to maximize yields and protect crops from pests, diseases, and weeds, leading to a higher demand for agrochemical inputs. Furthermore, advancements in agricultural technologies and farming practices have contributed to the growth of the cereals and grains segment. Modern agricultural techniques, including the use of genetically modified crops, precision farming, and integrated pest management strategies, have increased the efficiency and productivity of cereal and grain production. Agrochemicals such as fertilizers, pesticides, herbicides, and fungicides play a vital role in supporting these practices by providing essential nutrients, controlling pests and diseases, and managing weed competition, thereby optimizing crop yields and quality.
Agrochemicals Market Regional Outlook
North America
Europe
- U.K.
- Germany
- France
- Spain
- Rest of Europe
Asia-Pacific
- India
- Japan
- China
- Australia
- South Korea
- Rest of Asia-Pacific
Latin America
- Brazil
- Mexico
- Rest of Latin America
The Middle East & Africa
- South Africa
- GCC Countries
- Rest of the Middle East & Africa (ME&A)
Agrochemicals Market Regional Analysis
The Asia-Pacific region has emerged as a powerhouse in the global agrochemicals market, primarily due to its vast agricultural landscape, increasing population, and evolving farming practices. With countries like China, India, and Japan leading the way, the region has witnessed significant advancements in agricultural technology and has become a leading exporter of agricultural goods, driving the demand for agrochemicals. For instance, according to the International Trade Center (ITC) and the Food and Agriculture Organization (FAO), China is the leading global exporter and manufacturer of pesticides. Additionally, China stands out as a major player, being one of the world's largest producers and consumers of agrochemicals. Its vast arable land and focus on modernizing agriculture have propelled it to the forefront of the market. According to Baojing GU from the Universities of Melbourne and Zhejiang, China leads the world in agricultural pesticide usage. Moreover, the Asia-Pacific region's diverse climate and soil conditions make it suitable for a wide range of crops, necessitating the use of various agrochemicals to optimize yield and quality. Farmers in this region rely heavily on fertilizers, pesticides, and herbicides to protect crops from pests, diseases, and weeds while enhancing productivity. Additionally, supportive government policies, investments in research and development, and growing awareness about the benefits of agrochemicals have further fueled market growth in the region.
North America is the fastest-growing region in the agrochemicals market due to increasing agricultural activities and the adoption of advanced farming techniques. The demand for high-quality crops has driven the need for innovative pesticides and fertilizers. Government support and investment in research and development have also boosted market growth. For instance, the National Science Foundation (NSF) leads a $35 million federal investment in future agricultural technologies and solutions. Additionally, the expansion of biotechnology and genetically modified crops has further fueled the region's agrochemical market expansion.
Agrochemicals Market Player
Some of the top Agrochemicals Market companies offered in the professional report include BASF SE, Clarient AG, Adama Agricultural Solutions Ltd., Huntsman International LLC, Arysta Lifesciences Corporation, Bayer Cropscience AG, America Vanguard Corporation, The Dow Chemical, Nufarm Limited, Jiangsu Yangnong Chemical Group Co. Ltd, and Sumitomo Chemical Co. Ltd.
CHAPTER 1. Industry Overview of Agrochemicals Market
1.1. Definition and Scope
1.1.1. Definition of Agrochemicals
1.1.2. Market Segmentation
1.1.3. Years Considered for the Study
1.1.4. Assumptions and Acronyms Used
1.1.4.1. Market Assumptions and Market Forecast
1.1.4.2. Acronyms Used in Global Agrochemicals Market
1.2. Summary
1.2.1. Executive Summary
1.2.2. Agrochemicals Market By Product
1.2.3. Agrochemicals Market By Application
1.2.4. Agrochemicals Market By Region
CHAPTER 2. Research Approach
2.1. Methodology
2.1.1. Research Programs
2.1.2. Market Size Estimation
2.1.3. Market Breakdown and Data Triangulation
2.2. Data Source
2.2.1. Secondary Source
2.2.2. Primary Source
CHAPTER 3. Market Dynamics And Competition Analysis
3.1. Market Drivers
3.1.1. Driver 1
3.1.2. Driver 2
3.2. Restraints and Challenges
3.2.1. Restraint 1
3.2.2. Restraint 2
3.3. Growth Opportunities
3.3.1. Opportunity 1
3.3.2. Opportunity 2
3.4. Porter’s Five Forces Analysis
3.4.1. Bargaining Power of Suppliers
3.4.2. Bargaining Power of Buyers
3.4.3. Threat of Substitute
3.4.4. Threat of New Entrants
3.4.5. Degree of Competition
3.5. Market Concentration Ratio and Market Maturity Analysis of Agrochemicals Market
3.5.1. Go To Market Strategy
3.5.1.1. Introduction
3.5.1.2. Growth
3.5.1.3. Maturity
3.5.1.4. Saturation
3.5.1.5. Possible Development
3.6. Technological Roadmap for Agrochemicals Market
3.7. Value Chain Analysis
3.7.1. List of Key Manufacturers
3.7.2. List of Customers
3.7.3. Level of Integration
3.8. Price Trend of Key Raw Material
3.8.1. Raw Material Suppliers
3.8.2. Proportion of Manufacturing Cost Structure
3.8.2.1. Raw Material
3.8.2.2. Labor Cost
3.8.2.3. Manufacturing Expense
3.9. Regulatory Compliance
3.10. Competitive Landscape, 2022
3.10.1. Player Positioning Analysis
3.10.2. Key Strategies Adopted By Leading Players
CHAPTER 4. Manufacturing Plant Analysis
4.1. Manufacturing Plant Location and Establish Date of Major Manufacturers in 2022
4.2. R&D Status of Major Manufacturers in 2022
CHAPTER 5. Agrochemicals Market By Product
5.1. Introduction
5.2. Agrochemicals Revenue By Product
5.2.1. Agrochemicals Revenue (USD Billion) and Forecast, By Product, 2020-2032
5.2.2. Fertilizers
5.2.2.1. Fertilizers Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.2.2. Potassic
5.2.2.2.1. Potassic Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.2.3. Nitrogenous
5.2.2.3.1. Nitrogenous Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.2.4. Phosphatic
5.2.2.4.1. Phosphatic Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.2.5. Secondary Fertilizers
5.2.2.5.1. Secondary Fertilizers Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.2.6. Others
5.2.2.6.1. Others Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.3. Plant Growth Regulators
5.2.3.1. Plant Growth Regulators Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.4. Crop Protection Chemicals
5.2.4.1. Crop Protection Chemicals Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.4.2. Fungicides
5.2.4.2.1. Fungicides Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.4.3. Herbicides
5.2.4.3.1. Herbicides Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.4.4. Insecticides
5.2.4.4.1. Insecticides Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.4.5. Others
5.2.4.5.1. Others Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
5.2.5. Others
5.2.5.1. Others Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
CHAPTER 6. Agrochemicals Market By Application
6.1. Introduction
6.2. Agrochemicals Revenue By Application
6.2.1. Agrochemicals Revenue (USD Billion) and Forecast, By Application, 2020-2032
6.2.2. Cereals & Grains
6.2.2.1. Cereals & Grains Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
6.2.3. Fruits & Vegetables
6.2.3.1. Fruits & Vegetables Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
6.2.4. Oilseeds & Pulses
6.2.4.1. Oilseeds & Pulses Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
6.2.5. Others
6.2.5.1. Others Market Revenue (USD Billion) and Growth Rate (%), 2020-2032
CHAPTER 7. North America Agrochemicals Market By Country
7.1. North America Agrochemicals Market Overview
7.2. U.S.
7.2.1. U.S. Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
7.2.2. U.S. Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
7.3. Canada
7.3.1. Canada Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
7.3.2. Canada Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
7.4. North America PEST Analysis
CHAPTER 8. Europe Agrochemicals Market By Country
8.1. Europe Agrochemicals Market Overview
8.2. U.K.
8.2.1. U.K. Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
8.2.2. U.K. Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
8.3. Germany
8.3.1. Germany Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
8.3.2. Germany Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
8.4. France
8.4.1. France Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
8.4.2. France Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
8.5. Spain
8.5.1. Spain Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
8.5.2. Spain Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
8.6. Rest of Europe
8.6.1. Rest of Europe Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
8.6.2. Rest of Europe Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
8.7. Europe PEST Analysis
CHAPTER 9. Asia Pacific Agrochemicals Market By Country
9.1. Asia Pacific Agrochemicals Market Overview
9.2. China
9.2.1. China Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
9.2.2. China Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
9.3. Japan
9.3.1. Japan Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
9.3.2. Japan Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
9.4. India
9.4.1. India Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
9.4.2. India Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
9.5. Australia
9.5.1. Australia Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
9.5.2. Australia Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
9.6. South Korea
9.6.1. South Korea Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
9.6.2. South Korea Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
9.7. Rest of Asia-Pacific
9.7.1. Rest of Asia-Pacific Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
9.7.2. Rest of Asia-Pacific Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
9.8. Asia Pacific PEST Analysis
CHAPTER 10. Latin America Agrochemicals Market By Country
10.1. Latin America Agrochemicals Market Overview
10.2. Brazil
10.2.1. Brazil Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
10.2.2. Brazil Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
10.3. Mexico
10.3.1. Mexico Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
10.3.2. Mexico Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
10.4. Rest of Latin America
10.4.1. Rest of Latin America Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
10.4.2. Rest of Latin America Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
10.5. Latin America PEST Analysis
CHAPTER 11. Middle East & Africa Agrochemicals Market By Country
11.1. Middle East & Africa Agrochemicals Market Overview
11.2. GCC
11.2.1. GCC Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
11.2.2. GCC Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
11.3. South Africa
11.3.1. South Africa Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
11.3.2. South Africa Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
11.4. Rest of Middle East & Africa
11.4.1. Rest of Middle East & Africa Agrochemicals Revenue (USD Billion) and Forecast By Product, 2020-2032
11.4.2. Rest of Middle East & Africa Agrochemicals Revenue (USD Billion) and Forecast By Application, 2020-2032
11.5. Middle East & Africa PEST Analysis
CHAPTER 12. Player Analysis Of Agrochemicals Market
12.1. Agrochemicals Market Company Share Analysis
12.2. Competition Matrix
12.2.1. Competitive Benchmarking Of Key Players By Price, Presence, Market Share, And R&D Investment
12.2.2. New Product Launches and Product Enhancements
12.2.3. Mergers And Acquisition InGlobal Agrochemicals Market
12.2.4. Partnership, Joint Ventures and Strategic Alliances/ Sales Agreements
CHAPTER 13. Company Profile
13.1. BASF SE
13.1.1. Company Snapshot
13.1.2. Business Overview
13.1.3. Financial Overview
13.1.3.1. Revenue (USD Billion), 2022
13.1.3.2. BASF SE 2022 Agrochemicals Business Regional Distribution
13.1.4. Product/Service and Specification
13.1.5. Recent Developments & Business Strategy
13.2. Clarient AG
13.3. Adama Agricultural Solutions Ltd.
13.4. Huntsman International LLC
13.5. Arysta Lifesciences Corporation
13.6. Bayer Cropscience AG
13.7. America Vanguard Corporation
13.8. The Dow Chemical
13.9. Nufarm Limited
13.10. Jiangsu Yangnong Chemical Group Co. Ltd
13.11. Sumitomo Chemical Co. Ltd.