According to a new report published by Allied Market Research, titled, "Agrochemicals Market by Type: Global Opportunity Analysis and Industry Forecast, 2019-2026," the global market size is expected to garner $336.4 billion by 2026, registering a CAGR of 4.2% during the period from 2019 to 2026. Asia-Pacific held more than half of the share in the global agrochemicals market in 2018, and is expected to continue its dominance during the forecast period.
The major factors driving the global agrochemicals market include high population and subsequent increase in the demand for food, soil degradation, limited agricultural land, and increase in awareness in the consumers regarding the benefits of agrochemicals. However, the agrochemicals market growth may be hampered by the potential harms of using synthetic pesticides such as 2, 4-D and atrazine herbicide. Agrochemicals when used in higher concentration result in surface water pollution and adversely affect the environment. Thus, the production of bio-based fertilizers and pesticides have created numerous opportunities for the key market players.
The fertilizers segment generated the maximum revenue and accounted for the highest volume share of the global agrochemicals market. This is attributed to the problems arising from high population and soil degradation. The major type of fertilizer used to enhance the crop productivity is nitrogenous fertilizers, accounting for around two-thirds of the total synthetic fertilizers market. Moreover, herbicides occupied over half of the synthetic pesticides market in 2018.
In 2018, Asia-Pacific dominated the global agrochemicals market with more than half of the share, both in terms of revenue and volume. This was attributed to the high percentage of land available for agricultural activities and the high extent of agricultural activities in highly populated countries such as India, China, and others. The high population of these areas increase the demand for food crops, which in turn contributes to the growth of agrochemicals market.
Key Findings of the Agrochemicals Market :
- Asia-Pacific dominated the global agrochemicals market in 2018, accounting for over half of the share, both in terms of revenue and volume
- In 2018, fertilizers accounted for majority of the global agrochemicals market share and is expected to maintain its lead throughout the forecast period
- India is the fastest growing segment in the Asia-Pacific market
- In 2018, the pesticides market accounted for one-fourth of the share in the North America agrochemicals market and is expected to occupy one-third share of the market at the end of forecast period
- LAMEA is expected to grow at the fastest rate during the forecast period
- The bio-pesticides segment is anticipated to grow due to the increasing use of bio-based alternatives
The key players of agrochemicals market profiled in this report are Agrium Inc., Bayer AG, BASF SE, Dow AgroSciences LLC, E. I. du Pont Nemours and Company, Monsanto Company, Sumitomo Chemical Co., Syngenta AG, The Mosaic Co., and Yara International ASA.