Crop Protection Chemicals Market - Growth, Trends, and Forecast (2019 - 2024)

Market Overview

The global market for crop protection chemicals was valued at USD 48 billion in 2018, and is expected to reach USD 57.70 billion by 2024, registering a CAGR of 3.1% during the forecast period (2019 – 2024). Currently, the herbicide segment constitutes the largest market share (36%). The segment is expected to retain its position until 2024, due to the large-scale adoption of herbicide-resistant crops in North and South America.

The global crop protection chemical industry has been transforming over the years, with robust growth, coupled with changing crop mix trends and environmental regulations. Growing population, the decline in arable land, and food security are the primary focus areas for all countries and these factors are driving the demand for higher agricultural output, thus augmenting the growth of the pesticide industry, globally.

Scope of the Report

Crop protection chemicals constitute a class of agrochemicals used for preventing the destruction of crops by pests, diseases, and weeds. Synthetic pesticides form the largest category within the market for crop protection chemicals, with biopesticides accounting for a comparatively minute share.

Key Market Trends

Increasing Food Demand and Diminishing Land Area

The global population is increasing exponentially, and every day, nearly 200,000 people are contributing to the global food demand. According to the US Population Division, the global population has increased nearly fourfold in the past 100 years, and is projected to reach 9.2 billion by 2050. Supplying food to this growing population has become a global threat. By 2030, the per capita farmland is expected to decrease to 1800 m² from 2,200 m² in 2005. Various crop pests contribute to yield loss, causing global crop loss of 10-16% annually. Although the new plant technologies are continuously being developed to fight pest attacks, they are also leading to the development of new strains of pests that are difficult to kill. The amount of loss in major crops, due to fungi alone, is enough to feed nearly 9% of the global population

Asia-Pacific dominates the Global Market

Crops, like rice, soybean, wheat, barley, fruits, and vegetables, are largely grown in Japan, which has a very high usage rate of pesticides. In spite of the small population and land area, Japan was a significant market for crop protection chemicals, occupying a share of 16% of the total Asia-Pacific market in 2015. The country has the highest pesticide usage per hectare compared to any other country in the world at approx. 12 kg /hectare. 

In India, synthetic pesticides have been extensively used for alleviating the estimated 45% gross loss of crops, due to the infestation of pests and diseases. Major factors driving the Indian market include greater demand for food grains, limited availability of arable land, along with increasing exports, growth in horticulture and floriculture, and increasing public awareness regarding synthetic pesticides and biopesticides.

Competitive Landscape

The global crop protection chemicals market is highly consolidated, with various small and medium-sized companies and few big players, resulting in stiff competition in the market. Majority of the market share is occupied by seven major players, namely, Syngenta, Bayer, Monsanto, BASF, UPL, Adama, and Dow-DuPont. Companies are not only competing with regard to product quality and promotion but are also focused on strategic moves, such as mergers and acquisitions, to garner greater market shares.

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1 INTRODUCTION

1.1 Study Deliverables

1.2 Study Assumptions

1.3 Scope of the Study

2 RESEARCH METHODOLOGY

3 EXECUTIVE SUMMARY

4 MARKET DYNAMICS

4.1 Market Overview

4.1.1 Patented and Generic Pesticides

4.2 Market Drivers

4.2.1 Adoption of Biopesticides

4.2.2 Organizations Promoting Integrated Pest Management Techniques

4.2.3 Adoption of Genetically Modified (GM) Crops

4.2.4 Increasing Food Demand and Diminishing Arable Land

4.3 Market Restraints

4.3.1 Major Regions Facing Pesticide Ban

4.3.2 Low Per Capita Use of Pesticides in Several Regions

4.3.3 Increasing R&D Costs

4.3.4 Increasing Demand for Food Safety and Quality

4.4 Porter’s Five Forces Analysis

4.4.1 Bargaining Power of Suppliers

4.4.2 Bargaining Power of Buyers/Consumers

4.4.3 Threat of Substitute Products

4.4.4 Threat of New Entrants

4.4.5 Intensity of Competitive Rivalry 

5 MARKET SEGMENTATION

5.1 By Mode of Action

5.1.1 Herbicide

5.1.2 Fungicide

5.1.3 Insecticide

5.1.4 Nematicide

5.1.5 Molluscicide

5.1.6 Other Modes of Action

5.2 By Origin

5.2.1 Synthetic

5.2.2 Bio-based

5.3 By Application

5.3.1 Grains and Cereals

5.3.2 Pulses and Oilseeds

5.3.3 Fruits and Vegetables

5.3.4 Commercial Crops

5.3.5 Turf and Ornamentals

5.3.6 Other Applications

5.4 Geography

5.4.1 North America

5.4.1.1 United States

5.4.1.2 Canada

5.4.1.3 Mexico

5.4.1.4 Rest of North America

5.4.2 Europe

5.4.2.1 Spain

5.4.2.2 United Kingdom

5.4.2.3 France

5.4.2.4 Germany

5.4.2.5 Russia

5.4.2.6 Italy

5.4.2.7 Rest of Europe

5.4.3 Asia-Pacific

5.4.3.1 China

5.4.3.2 India

5.4.3.3 Japan

5.4.3.4 Australia

5.4.3.5 South Korea

5.4.3.6 Indonesia

5.4.3.7 Vietnam

5.4.3.8 Pakistan

5.4.3.9 Rest of Asia-Pacific

5.4.4 South America

5.4.4.1 Brazil

5.4.4.2 Argentina

5.4.4.3 Rest of South America

5.4.5 Africa

5.4.5.1 South Africa

5.4.5.2 Rest of Africa

6 COMPETITIVE LANDSCAPE

6.1 Most Adopted Strategies

6.2 Market Share Analysis

6.3 Company Profiles

6.3.1 BASF SE

6.3.2 Bayer CropScience AG

6.3.3 Monsanto Company

6.3.4 Arysta Life sciences

6.3.5 ADAMA Agricultural Solutions

6.3.6 Syngenta AG

6.3.7 DowDupont Inc.

6.3.8 FMC Corporation

6.3.9 Nufarm Ltd.

6.3.10 Sumitomo Chemicals

6.3.11 American Vanguard Corporation

6.3.12 ISAGRO Spa

6.3.13 Bioworks Inc.

6.3.14 Ishihara Sangyo Kaisha Ltd.

6.3.15 Marrone Bio Innovations Inc.

6.3.16 Nippon Soda

6.3.17 UPL Ltd.

7 MARKET OPPORTUNITIES AND FUTURE TRENDS

MARKET SEGMENTATION

By Mode of Action

Herbicide

Fungicide

Insecticide

Nematicide

Molluscicide

Other Modes of Action

By Origin

Synthetic

Bio-based

By Application

Grains and Cereals

Pulses and Oilseeds

Fruits and Vegetables

Commercial Crops

Turf and Ornamentals

Other Applications

Geography

North America

United States

Canada

Mexico

Rest of North America

Europe

Spain

United Kingdom

France

Germany

Russia

Italy

Rest of Europe

Asia-Pacific

China

India

Japan

Australia

South Korea

Indonesia

Vietnam

Pakistan

Rest of Asia-Pacific

South America

Brazil

Argentina

Rest of South America

Africa

South Africa

Rest of Africa