Agrochemical Market

Agrochemical Market Outlook (2024 to 2034)

As revealed in a newly published industry report by Fact.MR, the global agrochemical market is projected to be valued at US$ 269.3 million in 2024. Worldwide revenue from the sales of agrichemicals has been forecasted to increase at a CAGR of 5.1% and climb to US$ 442.9 million by the end of 2034.

Increasing large-scale commercial farming operations and shifting dietary preferences are positively influencing demand for agrochemicals. Growing consumption of vegetables and fruits and the increasing popularity of ornamental plants and fruits are driving global market growth. Agrochemicals are used for enhancing crop production and protecting plants from weeds, diseases, and pests.

Agrochemicals play a vital role in modern farming practices while ensuring crop quality and promoting higher yields. They encompass several products, such as pesticides, fertilizers, fungicides, and herbicides. They are developed for optimizing agricultural output and addressing challenges, which are otherwise posed by the environment and pests. They assist in managing the growth and development of plants, which allows farmers to schedule harvests and ensure the produce reaches the appropriate time in the agrochemical market.

Several initiatives are taken by governing agencies in the form of incentives and subsidies for encouraging the adoption of agrichemicals for improving yields. Furthermore, the growing consumption of healthy food products is catalyzing demand for eco-friendly agrochemicals, thereby supporting particular requirements of the crops generally consumed around the world.

• Global sales of fertilizers are projected to rise at a CAGR of 6% and reach US$ 131.1 million by the end of 2034.
• East Asia is evaluated to account for a 38.4% share of the global market by 2034.
• The market in South Korea is forecasted to expand at a CAGR of 3.2% from 2024 to 2034.
• Demand for agrichemicals in Canada is analyzed to increase at a CAGR of 6.8% through 2034.

Report Attribute	Detail
Agrochemical Market Size (2024E)	US$ 269.3 Million
Forecasted Market Value (2034F)	US$ 442.9 Million
Global Market Growth Rate (2024 to 2034)	5.1% CAGR
Market Share of Pesticides (2034F)	49.6%
North America Market Share (2034F)	29.1%
Japan Market Growth Rate (2024 to 2034)	6% CAGR
Key Companies Profiled	BASF SE; Nutrien Ltd.; Bayer AG; YARA International ASA; Israel Chemicals Ltd.; The Mosaic Company; PhosAgro; Fengro Industries Corp.; DowDuPont Inc.; Fertilizates Heringer S.A.; Syngenta AG; Saudi Arabia Fertilizer Company; FMC Corporation; OCI N.V.; WinHarvest Pty Ltd.; Nufarm Ltd.; The Archer-Daniels-Midland Company.

Why Has the Need for Agrochemicals Become So Important Worldwide?

“Growing Concerns Related to Food Security”

Increasing global population is boosting demand for food security with growing health concerns. Several agrochemicals, such as pesticides and fertilizers help in boosting crop yields and protecting crops from diseases and pests while ensuring an abundant and steady food supply. They are enabling farmers to produce more food on limited arable land, which is helping in matching the growing requirements for agricultural products. Agrochemicals are becoming indispensable tools in modern agriculture practices, thereby supporting efficient and sustainable farming practices for feeding the increasing global population.

“Increasing Preference for High-yielding Crop Varieties”

There is a growing demand for agricultural products, thereby farmers are looking ways for to optimize their yields. Further, high-yield crop varieties are incorporating essential strategies for matching this goal. These intensive crop varieties are more susceptible to diseases and pests. Agrochemicals, such as fungicides, herbicides, and insecticides play a vital role in protecting high-yield crops from potential threats and ensuring viability and productivity. More farmers are striving for increased profitability and output, which is driving agrochemical market growth.

What are the Hindrances to the Sales Growth of Agrochemicals?

“Implementation of Stringent Regulations for Producing and Marketing Agrochemical Products”

Certain stringent regulations are imposed by government bodies. These regulations are increasing the cost of the development and production of agrochemicals, thereby contributing to higher costs of end products. This results in an adverse impact on the sales of agrochemicals and discouraging innovations in agrochemicals. All these factors are impeding the expansion of the agrochemical market size.

What Steps Should Start-ups Take to Penetrate This Market Space?

“Need to Focus on Sustainable Agriculture Practices”

Sustainability is becoming a popular practice in agriculture with growing issues related to resource conservation and environmental impact. Agrochemical manufacturers are responding to these requirements by developing bio-based and eco-friendly products. Start-ups need to focus more on developing biostimulants, organic fertilizers, and biopesticides as effective alternatives to traditional agrochemicals thereby promoting sustainable farming practices.

Country-wise Insights

As opined in the newly published analysis by Fact.MR, a market research and competitive intelligence provider, East Asia is projected to hold 38.4% of the global agrichemical market share by the end of 2034. Growing farming activities are driving demand for agrochemicals in the region. In addition, increasing concerns related to the harmful impacts of chemical-based pesticides and growing food security concerns are influencing agrochemical market trends.

Why is the United States Reigning Supreme in North America?

“Investments in Product Innovations and Advanced Technologies”

Attribute	United States
Market Value (2024E)	US$ 58.8 Million
Growth Rate (2024 to 2034)	5% CAGR
Projected Value (2034F)	US$ 96.1 Million

The United States is forecasted to occupy 74.6% share of the market in North America by 2034. Technological innovations and the presence of commercial farms in the country are stimulating demand for agrochemicals.

• As per a report published by the United States Department of Agriculture in March 2022, several new pesticides were registered for consumption in crops, such as cotton, corn, and soybeans.

Growing use of genetically modified seeds is further supporting the demand for herbicides. In addition, the presence of some key market players, such as Bayer, BASF, FMC, Syngenta, and Corteva Agriscience is ensuring easy access to newly launched products to more farmers.

What Makes China a Lucrative Market for Producers of Agrochemicals?

“Growing Population Generating Huge Demand for Food Products”

Attribute	China
Market Value (2024E)	US$ 63.5 Million
Growth Rate (2024 to 2034)	5.8% CAGR
Projected Value (2034F)	US$ 111.7 Million

China is analyzed to capture a share of 65.7% of the East Asian market by 2034-end. The growing need for food production with an increasing population is positively impacting the demand for agrochemicals for increasing yield outcomes. In addition, variations in soil type, climate, crop type, and other agricultural factors are positively influencing demand for agrochemicals.

Why are Agrochemical Manufacturers Expanding Their Operations in Japan?

“Incorporation of Sustainable Farming Practices Opening New Doors for Market Players”

Attribute	Japan
Market Value (2024E)	US$ 25.5 Million
Growth Rate (2024 to 2034)	6% CAGR
Projected Value (2034F)	US$ 45.6 Million

Japan is projected to possess 26.8% of East Asian market revenue share by the end of 2034. There is an increased emphasis on crop yield and protecting them from diseases and pests. Thereby, a surging demand for sustainable agriculture practices along with requirements for reduced need for harmful chemicals are generating opportunities for market players offering sustainable solutions.

Category-wise Insights

Increased consumption of pesticides is due to their ability to enhance crop productivity and protect crops from diseases, weeds, and pests. Their vital role in improving crop yields, sustaining fiber, and increasing food production are contributing to expanding agrochemical market size.

Which Agrochemical Product is Most Popular among End Users?

“High Use of Pesticides to Ensure Food Security”

Attribute	Pesticides
Segment Value (2024E)	US$ 150.5 Million
Growth Rate (2024 to 2034)	3.9% CAGR
Projected Value (2034F)	US$ 219.7 Million

Pesticides are evaluated to account for 49.6% share of the global market by the end of 2034. They are used for protecting crops from diseases, weeds, and pests. Pesticides are further categorized into herbicides, insecticides, and fungicides based on diseases or pests they target. These chemicals are pivotal for ensuring the security of food products by preventing crop losses owing to diseases and pest infestations.

Which Crop Type Accounts for Extensive Usage of Agrochemicals?

“Widespread Use of Agrochemicals in Cereals and Grains”

Cereals and grains hold a noteworthy share of global market revenue. These include wheat, rice, maize, oats, barley, and sorghum. They are prominently produced for their edible seeds, which are served as staple food options for a larger population base. Agrochemicals are used in cereals and grains for enhancing crop yield and quality, which is used in controlling diseases and pests, thereby affecting crop production and ensuring proper nutrient supply.

Competitive Landscape

Key players in the agrochemical industry are entering into mergers, agreements, collaborations, and acquisitions to get a competitive edge. They are also investing in new product launches to offer more advanced solutions to end users.

For instance:

• Corteva Inc., in 2022, came up with Kyro, a new postemergence corn herbicide. It is the first one available in the market for combining active ingredients, such as clopyralid, topramezone, and acetochlor into one premix. This newly developed product combines efficiency modes for controlling about 65 of the most difficult and weed-resistant spices for offering extended residual control.
• Lantmannen and Yara International ASA entered into an agreement in January 2022 to bring fossil-free fertilizers. This collaboration resulted in a commercial contract for green fertilizers, which will be manufactured by Yara and marketed by Lantmannen.

Fact.MR provides detailed information about the price points of leading agrochemical manufacturers positioned across the world, sales growth, production capacity, and speculative technological expansion, in this newly published market report.

Segmentation of Agrochemical Market Research

• By Product Type :

  • Fertilizers
    • Nitrogen-based
    • Potassium-based
    • Phosphorous-based
    • Others
  • Pesticides
    • Insecticides
    • Fungicides
    • Herbicides
    • Bactericides
    • Others
  • Others
    • Soil Conditioners
    • Acidifying Agents

• By Usage :

  • Cereals
  • Pulses & Oilseeds
  • Fruits & Vegetables
  • Lawns & Turfs
  • Others

• By Region :

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • East Asia
  • South Asia & Pacific
  • MEA