Asia Pacific Crop Protection Chemical Market Outlook, 2029

Crop protectants are the chemicals sprayed on agricultural crops to save them from drastic damage. Generally known as pesticides or agricultural chemicals, it is used extensively in traditional farming, to protect the plants against pests. Being one of the large and fastest-growing regions in the global market, without any doubt the Asia Pacific is the dominating segment in the global market. In this region, the need for increasing crop yield is due to the rise in the population which fuelled the use of pesticides. Additionally, the increasing urbanization in south-eastern countries has resulted in a decline in the availability of arable land.

This has impacted the importance of the use of pesticides which increases the average crop yields per hectare. In countries such as India, there is a significant increase in imports of insecticides from countries such as China and Germany. According to the Directorate General of Commercial Intelligence and Statistics (DGCI&S), India imported 11,095 metric tons of insecticides from China, and 1,065.9 metric tons of insecticides from Germany, in 2018-17. A significant development is the emergence of biopesticides, which are made from plants, microorganisms, and helpful insects found in nature. Biopesticides are gaining popularity because of their decreased toxicity and minimized environmental impact. Countries like China and Japan have also seen an increase in the adoption of digital agriculture technologies like precision farming and drone-based pesticide application. These technologies assist farmers in utilizing the correct quantity of pesticides, ultimately decreasing unnecessary usage and environmental pollution.

According to the research report 'Asia Pacific Crop Protection Chemical Market Overview, 2029,', the Asia Pacific Crop Protection Chemical market is anticipated to grow at more than 2.77% CAGR from 2024 to 2029. The increasing demand for agricultural products and the resultant commercialization of agriculture induced a rising use of agricultural Crop Protection Chemical in the region. The crop damage by insects is highest, followed by pathogens and weeds. Insecticides account for a prominent share in total pesticide use in the region.

Owing to an increased focus toward environmental sustainability, while maintaining the crop output, the demand for bio-insecticides in the region is expected to increase in the coming years. With companies such as Syngenta CropScience, Bayer AG, and FMC Corporation setting up their own manufacturing plants and launching products that cater to the needs of farmers in this region, the market growth for insecticides is expected to increase over the next few years. Additionally, In countries, such as India and other southeast Asian countries, the arable land per person is decreasing at an alarming rate where the use of pesticides can play an important role in increasing the average crop yields per hectare. Both government and private initiatives, which include the right usage of Crop Protection Chemical methods in terms of quantity and the right application methodology are increasing the awareness of over usage of pesticides among the farmer community in the region. In India, organic farming and non-GMO Crop Protection Chemical solutions have experienced considerable growth in development. Start-ups and tech firms are partnering with agricultural companies to develop mobile platforms that offer farmers instant pest monitoring and advice on protecting crops.

In terms of product type, the Asia Pacific market is dominated by herbicides. As in this region, agriculture is a primary economic activity, the pesticides are considered essentials, especially when the small-scale farmers try to provide off seasonal fruits and vegetables. This gave a drastic incline in the use of pesticides in the region in the last two decades. Fungi are one of the major crop loss reasons in the region, other than virus, nematodes, and bacteria which causes diseases in the plants. Herbicides are crucial for managing weeds that vie with crops for nutrients, water, and sunlight, thereby enhancing yields for crops like rice, wheat, and soybeans.

In addition, herbicide-resistant crops have been increasingly embraced in India and China, enabling farmers to utilize particular herbicides for more precise and efficient weed management. Syngenta, Bayer CropScience, and BASF play important roles as herbicide suppliers in the area. Syngenta offers a range of herbicides and caters to markets in China, India, and Southeast Asia. Glyphosate-based products from Bayer CropScience, such as Roundup, are extensively utilized in extensive agricultural activities. The Clearfield production system by BASF, which provides non-GMO herbicide-resistant crops, is well-received in countries such as Australia. Distributors like UPL Ltd. in India and Nufarm in Australia work to make these herbicides available to farmers in the region.

In terms of application, the oilseed & pulse segment tops the market share, with a slight difference from the fruits & vegetable segment. The production of wheat, rice & sorghum requires a high quantity of Crop Protection Chemical chemicals, which are also a few of the most staple crops in Asian cuisine. However, the market growth is challenged by the increasing organic farming and the use of bio-pesticides, which are less toxic. Moreover, soybeans and other oilseeds play a crucial role in providing livestock feed, which is essential for supporting the growth of the local meat industry.

Legumes, like chickpeas and lentils, are essential food items in nations like India and have a significant impact on crop rotation by enhancing soil fertility through nitrogen fixation. These plants are very vulnerable to bugs, unwanted plants, and illnesses, which is why there is a demand for strong solutions like weed killers, bug sprays, and fungus killers. Bayer CropScience, Syngenta, and BASF are top providers in the market for protecting oilseeds and pulses, offering specific products for these plants. UPL Ltd., a prominent company in India, places strong emphasis on oilseeds and pulses, offering a diverse selection of herbicides and insecticides. Companies like Nufarm in Australia and Sino-Agri in China play a role in providing farmers with necessary Crop Protection Chemical products, thus aiding in the continuous expansion of oilseed and pulse production in the area.

The Asia market is led by China, which accounted significant part of the market share in 2021. The countries of Australia, Malaysia & Thailand together accounted for less than 15% of the market share in the region. These countries now have increased awareness about the hazardous effect of pesticides, post the Green Revolution and many governments have regulated the use of pesticides and reduced subsidies since then. In order to promote bio-pesticides, the China Ministry of Agriculture introduced- Zero Growth Policy of Pesticides and Fertilizers by 2020, in the year 2015.

China, being the top producer of rice, wheat, corn, and other important crops globally, has a huge need for Crop Protection Chemical products like herbicides, insecticides, and fungicides. The need for advanced Crop Protection Chemical solutions is driven by the country's limited arable land and high population density, in order to maximize yields and fight weeds, pests, and diseases. China is a major manufacturing centre worldwide for agrochemicals, where both active ingredients and formulated products are produced in large quantities. Having a robust ability to produce domestically allows the country to have an advantage in the global market. Major producers include Sino-Agri Leading Biosciences and Jiangsu Yangnong Chemical Group, while global companies like Syngenta, currently owned by ChemChina of China, contribute to the country's dominance with innovation and global presence.

COVID-19 Impact

The pandemic majorly affected many different industry verticals in both positive and negative manner. The Crop Protection Chemical chemicals market was affected moderately by the COVID-19 pandemic as the agricultural activities were given the essential status by many governments across the region. The majority of the problem experienced was in terms of supply chain and distribution issues created by the travel restrictions in country. On top of that the economic distress created by the pandemic led to uneven buying behaviour amongst the consumer.

Major companies mentioned: Basf SE, Bayer AG, Corteva AgriSciences, FMC Corporation, Huapont Life Sciences, Nufarm, Sumitomo Chemicals, Syngenta AG, and UPL.

Considered in the report

• Geography: Asia Pacific
• Base year: 2021
• Historical year: 2018
• Forecasted year: 2029

Countries covered

• China
• Japan
• India
• Australia
• Malaysia
• Thailand

Aspects covered in the report

• Market Size by Value for the period (2018-2029F)
• Market Share by Product Type (Herbicide, Insecticide, Fungicides & Bactericides, and Others)
• Market Share by Application (Cereals & Grains, Oilseeds & Pulses, Fruits & Vegetables, and Others)
• Market Share by Region
• Market Share by Country

The approach of the report

We keep an eye on evolving markets and try to evaluate the potential of the products and services. If we find the market interesting, we start working on it and create the desired table of content, considering all aspects of the business. We start by creating separate questionnaires for C-level executives, national/regional sales personnel, company owners, dealers, distributors, and end-users. Once the questionnaires have been finalized, we start collecting the primary data (mostly through phone calls) and try to understand the market dynamics regionally or tier-wise.

This process gives us in-depth details of the market, including all present companies, the top-performing products with reasons why they dominate; we get the details of new players and their innovative approaches; market trends; dynamics; and all the small details of the market. After the collection of primary inputs, we then cross-check the same with secondary sources that include associations, trade journals, annual reports, paid databases, newspapers, magazines, press releases, government sources, etc. Then, to finalize the market, we start collecting financials of each player present in the market, including limited, private limited, and LLPs. Moreover, we perform cross-industry and cross-region analysis of the product, and based on collected primary inputs and using statistical modeling, we start forecasting the market. Once the data is verified by the data expert, the team (primary team, content team, and data team) together crosscheck the segmentations, validate the market, and then the designing team starts plotting the graphs. Once the file is ready, the content team completes the report and makes sure that all the discussed points have been covered and provides their valuable inputs in the form of strategic recommendations for new as well as existing players. The QC team then checks the overall report that includes spell check, data verification, and makes the same dispatch ready and error-free.

Intended Audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Agriculture industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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