Market Overview

Agrochemical Market is projected to achieve a value of USD 227.92 Billion in 2023, with a linear behavior in the market growth it is forecasted to achieve a value of USD 298.64 Billion by 2033 with a CAGR of 3.2% during the forecast period 2024-2033.

Agrochemicals, short for agricultural chemicals, are chemical products used in agriculture to enhance crop production, protect crops from pests and diseases, and improve soil quality. They play a vital role in modern agriculture by helping farmers increase crop yields and ensure food security. Agrochemicals can be categorized into several main types: Fertilizers, Pesticides, Herbicides, Insecticides and Others.

Below Data Depicts The Consumer Survey Within The Agrochemical Market

As per our research we found that 75% of farmers use herbicides in their crop production. Herbicides are used to control weeds, which can compete with crops for water and nutrients.

As per our research we found that 60% of farmers use fungicides in their crop production. Fungicides are used to control fungal diseases, which can damage crops and reduce yields.

As per our research we found that 55% of farmers use insecticides in their crop production. Insecticides are used to control insect pests, which can damage crops and reduce yields.

Around 66% of consumers are willing to pay a premium for products that are produced sustainably. This suggests that there is a growing demand for agrochemicals that are less harmful to the environment and human health.

Around 58% of farmers are interested in using precision agriculture technologies. Precision agriculture technologies allow farmers to apply agrochemicals more precisely and efficiently, which can reduce environmental impact and improve crop yields. 72% of farmers consider ease of use to be an important factor when choosing agrochemicals. This suggests that there is a growing demand for agrochemicals that are formulated in a way that makes them easy to handle and apply.

Market Scope

Market Dynamics

Precision agriculture is a farming management system that uses information and communication technologies to improve the efficiency and sustainability of crop production. Agrochemicals can be used in conjunction with precision agriculture to improve the targeting and accuracy of agrochemical applications, that possess a lucrative scope for boosting the growth of agrochemical market.

According to the US Department of Agriculture (USDA), the use of precision agriculture technologies in the US has increased from 15% of farms in 2010 to 35% of farms in 2022.

The European Commission estimates that the use of precision agriculture technologies in the EU will increase from 20% of farms in 2020 to 35% of farms in 2027.

The Australian government estimates that the use of precision agriculture technologies in Australia will increase from 10% of farms in 2015 to 25% of farms in 2030.

Precision agriculture allows farmers to target agrochemical applications more precisely, which can lead to increased demand for specialty agrochemicals that are designed to address specific pests, diseases, or nutrient deficiencies.

Precision agriculture can also help farmers to reduce their overall use of agrochemicals, as they can apply agrochemicals more efficiently and avoid over-application. This can lead to increased demand for agrochemicals that are more concentrated and effective.

The growing adoption of precision agriculture is creating new opportunities for agrochemical companies to develop new products and services. For example, agrochemical companies can develop new agrochemical formulations that are specifically designed for use with precision agriculture technologies.

Bayer AG has developed a new agrochemical formulation that is specifically designed for use with precision agriculture sprayers. The new formulation is more concentrated and effective, which allows farmers to reduce their overall use of agrochemicals.

Market Product Type Analysis

Fertilizers are the largest product segment of the agrochemical market, accounting for 69% of the total market share. This is because fertilizers are essential for crop growth and development, and they are used in large quantities by farmers around the world. Fertilizers provide plants with the nutrients they need to grow and produce high yields.

Crop protection chemicals are the second largest product segment of the agrochemical industry, accounting for 22% of the total market share. Crop protection chemicals are used to protect crops from pests, diseases, and weeds. Crop protection chemicals can be used to prevent crop damage, or they can be used to treat crops that have already been damaged.

Plant growth regulators are the third largest product segment of the agrochemical market, accounting for 7% of the total market share. Plant growth regulators are used to regulate the growth and development of plants. Plant growth regulators can be used to promote plant growth, delay plant growth, or induce flowering.

Market Application Analysis

Cereal and grains are the largest application segment of the agrochemical market, accounting for 45% of the total market share. This is due to the fact that cereal and grains are the most widely grown crops in the world, and they are used to produce a variety of food products, including bread, pasta, and rice. Agrochemicals are used on cereal and grains to improve crop yields, protect plants from pests and diseases, and enhance the quality of the harvested crop.

Oilseeds and pulses are the second largest application segment of the market, accounting for 25% of the total market share. Oilseeds and pulses are important sources of vegetable oil and protein, and they are grown in many parts of the world. Agrochemicals are used on oilseeds and pulses to improve crop yields, protect plants from pests and diseases, and enhance the quality of the harvested crop.

Fruits and vegetables are the third largest application segment of the agrochemical industry, accounting for 20% of the total market share. Fruits and vegetables are important sources of vitamins, minerals, and antioxidants. Agrochemicals are used on fruits and vegetables to improve crop yields, protect plants from pests and diseases, and enhance the quality of the harvested crop.

Market Regional Analysis

Asia Pacific is the largest shareholder within agrochemical market, accounting for 35% of the global market share. This is due to a number of factors, including the region's large and growing population, its increasing demand for food, and its favorable agricultural conditions.

North America is the second largest market for agrochemicals, accounting for 25% of the global market share. North American farmers are early adopters of new technologies and are willing to invest in agrochemicals to improve their crop yields and protect their crops from pests and diseases.

Europe is the third largest market for agrochemicals, accounting for 20% of the global market share. European farmers are also early adopters of new technologies and are increasingly focused on sustainable agricultural practices. Agrochemicals can help farmers to reduce their environmental impact and produce high-quality crops.

Latin America is the fourth largest market for agrochemicals, accounting for 15% of the global market share. Latin American farmers are increasingly using agrochemicals to improve their crop yields and protect their crops from pests and diseases.

The Middle East & Africa region is the smallest market for agrochemicals, accounting for 5% of the global market share. However, this market is growing rapidly, due to the region's growing population and its increasing demand for food.

Competitive Analysis

The top four companies, Bayer AG, BASF SE, DowDuPont, and Syngenta Group, control over 70% of the global agrochemical market. These companies are all major players in the development, production, and sale of agrochemicals, including herbicides, insecticides, fungicides, and fertilizers.

Nutrien and Yara International are two other major players in the agrochemical market, specializing in fertilizers. These companies are also involved in the production and sale of other agricultural products, such as seeds and crop protection products.

Research Report Following Segments:

Market, By Product

·         Fertilizer

o Nitrogenous

o   Phosphatic

o   Potassic

o   Secondary Fertilizers (Calcium, Magnesium, and Sulfur Fertilizers)

o   Others

·         Crop Protection Chemicals

o   Herbicides

o   Insecticides

o   Fungicides

o   Others

o   Plant Growth Regulators

·         Others

Market, By Application

·         Cereal & Grains

·         Oilseeds & Pulses

·         Fruits & Vegetables

·         Others