Crop Protection Chemicals Market Size, Share & Trends Analysis Report By Product (Insecticides, Biopesticides), By Application (Fruits & Vegetables, Cereals & Grains), By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global crop protection chemicals market size was valued at USD 43.24 billion in 2022 and is expected to expand at a compounded annual growth rate (CAGR) of 5.6% from 2023 to 2030. This is attributed to the growing need for food security due to the increasing global population along with rising awareness of crop protection for healthy yields. The agricultural industry is driven by the rising demand for food due to the increasing population, this is likely to propel the growth of the product market during the forecast period. According to Economic Survey, the agricultural and allied industry exhibited the most resiliency to COVID-19 as it reported a growth of 3.6% in 2020-21, and 3.9% in 2021-22 in India. The agricultural sector of the U.S. contributed over 5.0% of the total country’s GDP due to the rising demand for food in the country, according to the U.S. Department of Agriculture. This factor is likely to fuel the demand for the crop protection chemicals market globally over the forecast period.

2021: USD 6.2 billion Government and food-related regulatory bodies in different countries have been introducing benefit plans for farmers, where farmers can generate a decent income without any external challenges. Benefits like crop insurance assistance programs allow farmers to insure themselves against crop losses due to natural causes such as floods, droughts, and more. This has been elevating farmers’ confidence to produce more, thereby, augmenting the demand for crop protection chemicals.

Crop protection chemicals are a mixture of numerous chemicals, which possess harmful and toxic elements that may pollute the environment. These chemicals can lead to many health issues such as cancer, skin infection, lung infection, and others. Thus, governments have issued extensive guidelines for its use and consumption in crop fields. However, many research activities are underway to discover a less harmful substitute to crop protection chemicals such as pesticides. This may inhibit the growth of the crop protection chemicals market across the globe.

The U.S. is the largest consumer of crop protection chemicals in North America. This is attributed to the increasing production of wheat, corn, and soy due to the favorable climate. The U.S., being among the top ten food-producing countries worldwide with a major production of maize, sorghum, soybean, blueberry, soybean, and almond, is driving the demand for the product market. According to Frontiers, an open journal, in 2019, the total crop acreage was majorly dominated by soy, corn, and wheat, comprising a total of 210.96 billion planted acres covering around 64.7% of the harvested cropland.

Product Insights

The herbicides segment is expected to dominate the global market with a revenue share of over 44.2% in 2022. This is attributed to the fact that herbicides are used to eliminate different varieties of unwanted weeds destroying the crop yield. According to research done by the Food and Agriculture Organization, in 2019, approximately 2 million tons of herbicide were used globally, which was double the number of insecticides consumed worldwide in 2019. These herbicides are used during the autumn vegetation period to improve agriculture.

Insecticides are also anticipated to witness growth in the product segment over the forecast period. This is attributed to the fact that it is mostly used in the agricultural sector for a wide variety of food crops to control early germination pest attacks and protect the crops from various types of insects, such as Japanese beetles, aphids, and leafhoppers, and over 100 other species of insects.

Biopesticides is another product expected to witness the fastest growth over the forecast period. This is attributed to the fact that biopesticides are naturally more non-toxic in comparison to commonly found pesticides. In addition to that, it mostly affects only the target pest and its closely related organisms whereas, traditional pesticides also affect organisms like birds, insects, and mammal species and harm the environment in the process.

Application Insights

The cereals and grains segment dominated the market with a revenue share of over 41.9% in 2022. This is attributed to the rising consumption of cereal and grains like corn, rice, oats, wheat, sorghum, and barley in different regions such as North America and Asia Pacific. According to the data released by World Bank, the agricultural land in North America has increased from 4,627,040 square km in 2015 to 4,635,537 square km in 2020, with average cereal productivity of 1.44 t ha-1 in 2018. According to the U.S. Department of Agriculture, in 2022, the production of grains in North America witnessed an upward trend from 437,578 thousand metric tons in 2018/2019 to 454,922 thousand metric tons in 2021/2022. Thus, this increasing productivity of cereals & grains is resulting in to increase in demand for crop protection chemicals required for better yield.

The oilseeds and pulses segment is also anticipated to witness growth during the forecasted period owing to the increasing focus of farmers on oilseeds production. According to a report published by the United States Department of Agriculture (USDA), global oilseed production was up 1 million thousand tons in 2020/2021 owing to the revision of soybean harvest in Brazil in 2021.

The fruits and vegetables segment is expected to witness the fastest growth over the forecast period. This is attributed to the increasing health consciousness among consumers toward consuming fresh fruits and vegetables. Thus, globally rising health awareness among consumers is driving the fruits and vegetables demand, which, in turn, is expected to propel the product market.

Regional Insights

Central and South America was the dominating region and accounted for a revenue share of over 32.4% in 2022. This growth is attributed to the fact that the market for crop protection chemicals in this region was dominated by Brazil in 2022, owing to the large-scale production of soybean, pulses, and sugarcane which require the use of crop protection chemicals for better yield.

The agriculture sector accounts for half of the GDP of countries in Central & South America including Argentina, Bolivia Belize, Haiti, Dominica, Paraguay, and Ecuador. As the agriculture sector is a key contributor to the GDP of the countries in the region, it leads to increased consumption of fungicides, herbicides, insecticides, and bio-pesticides in Central & South America.

According to the Organization for Economic Co-operation and Development (OECD) and the Food and Agricultural Organization (FAO), Asia Pacific is the largest producer of agricultural commodities and is expected to account for 53% of the global output of agricultural products and fish by 2030. The arable land in the region is shrinking and the food demand is increasing owing to the increasing population in the region. Thus, farmers are increasingly utilizing crop protection products and fertilizers to enhance their yield.

The growing agricultural industry, advancement in farming practices, and increased awareness of healthy eating are some of the major factors driving the demand for crop protection chemicals in Europe. The market is majorly driven by the increasing need to improve crop yield and production efficiency due to the increasing population and diminishing farmlands. Countries such as Germany, France, the UK, and Italy were the major contributors to the regional market growth in 2020. However, countries such as Spain, Bulgaria, and Romania, among others have witnessed rapid growth in agriculture on account of increasing investments in the agricultural sector and better water preservation techniques.

Key Companies & Market Share Insights

Most companies are focusing on improving their presence in emerging as well as potential markets such as Asia Pacific and Central & South America by entering into strategic collaborations and establishing new plants. For instance, In October 2020, Nufarm Ltd combined Australian and New Zealand businesses with Asia businesses to create an Asia Pacific business. Asia Pacific business incorporates crop protection operations in Australia, New Zealand, and South-East Asia. This was made to improve the supply chain, efficiency, and manufacturing capabilities, and develop opportunities across the region. Some of the prominent players in the global crop protection chemicals market include:

• American Vanguard Corp

• Dow Chemical Company

• Arysta LifeSciences Corporation

• Bayer AG

• BASF SE

• FMC Corporation

• Corteva

• Chr. Hansen Holding A/S

• Bioworks

• Syngenta Group

Crop Protection Chemicals Market Report Scope 

Global Crop Protection Chemicals Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global crop protection chemicals market report based on product, application, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Herbicides

    • By Product

      • Selective

      • Non-selective

    • By Active Ingredients

      • Glyphosate

      • Atrazine

      • 2,4-D

      • Others

  • Fungicides

    • By Active Ingredients

      • Chlorathalonil

      • Sulfur

      • PCNB

      • Maneb

      • Others

  • Insecticides

    • By Active Ingredients

      • Malathion

      • Carbaryl

      • Chlorpyrifos

      • Others

  • Biopesticides

  • Others

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Cereals & Grains

  • Oilseeds & Pulses

  • Fruits & Vegetables

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • Spain

    • Italy

    • U.K.

    • Eastern Europe

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

    • Indonesia

    • Thailand

    • Australia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • South Africa