New Delhi:  India Emerges as Second Largest Agrochemical Exporter, Aims to Double Exports.

According to recent data from the WTO, India has achieved a remarkable feat, becoming the second-largest exporter of agrochemicals in the world in 2022. With exports valued at $5.5 billion, India has surpassed the USA, which recorded exports worth $5.4 billion. China holds the top position in agrochemical exports with a staggering $11.1 billion.

This outstanding performance in the agrochemical sector has led to a valuable trade surplus of Rs. 28,908 crores ($3.5 billion) for India in FY 2022-23. The success on the export front can be attributed to the Indian industry's technical expertise in swiftly introducing post-patent products at competitive prices in both domestic and global markets.

India has emerged as a key player in agrochemical markets across the globe, with the USA being the largest buyer of Indian-made agrochemicals, followed by Brazil and Japan. Remarkably, Indian-made agrochemicals are now utilized in more than 140 countries worldwide.

The global agrochemicals market is estimated to be worth $78 billion, with approximately 75% of it comprising post-patent products. India is rapidly establishing itself as a preferred global hub for sourcing post-patent agrochemicals.

Chlorantraniliprole (CTPR), the world's largest-selling insecticide with annual sales of approximately Rs. 13,000 crores, was previously imported by India until recently. Now, many Indian companies have successfully introduced indigenously manufactured CTPR in the market. With its low-cost manufacturing, the Indian industry aims to tap into the global CTPR market.

To further enhance domestic production and reduce imports, the Agrochemical Industry body, Crop Care Federation of India (CCFI), has put forth recommendations to the Government of India. The proposals are designed to discourage the import of ready-to-use pesticide formulations.

Mr. Deepak Shah, Chairman of CCFI, has expressed caution regarding India's ongoing Free Trade Agreements (FTAs) negotiations with the European Union, United Kingdom, and other countries. He emphasizes the importance of not granting any Trade-Related Aspects of Intellectual Property Rights (TRIPS) plus measures, such as data exclusivity, to western multinational companies, as it could negatively impact the growth of the Indian agrochemical and pharmaceutical industries.

Mr. Shah further stated, "In recent years, Indian companies have made significant investments in establishing larger and more advanced production facilities to cater to both domestic and global markets. Backward integration, capacity expansion, and new registrations will undoubtedly foster the growth of the Indian agrochemical industry. With the right policy support, we are confident that our industry's exports will double in the next three years, reaching an impressive $10 billion."

To attract more investments in the agrochemical sector, CCFI has presented representations to the Ministry of Commerce and Ministry of Finance, highlighting the necessity to revise the customs duty and create a more conducive environment for growth.

India's agrochemical industry has shown remarkable growth and potential in the global market. With strategic measures and policy support, it is well on its way to becoming a dominant force in the international agrochemical trade.

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