Agrochemicals Market Size, Share, Growth, Report 2026 to 2035

Agrochemicals Market Size and Growth 2026 to 2035

The global agrochemicals market size accounted for USD 307.23 billion in 2025 and is expected to be worth around USD 428.65 billion by 2035, exhibiting at a compound annual growth rate (CAGR) of 3.4% over the forecast period 2026 to 2035. The agrochemicals market growth is driven by the increasing demand for a reliable and continuous food supply to support an expanding global population. Farmers are being compelled to produce more food from less land due to urbanisation and industrialisation. A result of this situation is an increased demand for agricultural inputs such as fertilizers and pesticides to maximize crop yields and minimize crop losses. The effects of climate change are also resulting in an increase in the number of pests, weeds, and plant diseases. Farmers rely on agricultural chemicals to protect their crops from those dangers. Additionally, government-controlled agricultural support programs and subsidies increase the demand for agricultural chemicals in many developing and developed regions.

Another driver for the growth of the agrochemicals market is the focus on quality and profit. Farmers want high yields with better resistance against environmental stress (e.g., drought) and pest infestations. Agrochemicals improve soil fertility, stimulate plant growth, and protect crops throughout the various production stages. Continued Research and Development in the area of agricultural chemicals by the industry is providing more targeted and effective products to improve crop yields and prevent loss. The move to commercial agriculture, export-driven agricultural products, and worldwide food distribution will continue to fuel the long-term growth of the agrochemicals market.

Report Highlights

• By Region, Asia-Pacific has accounted for the highest revenue share of 43.6% in 2025.
• By Product, the Fertilizers segment generated the maximum revenue share of 51.4% in 2025.
• By Application, the Cereals & Grains segment dominated the market with a revenue share of 52.3% in 2025.

How Advances in Formulations Accelerate Agrochemicals Market Growth?

The increasing sophistication of the formulation process employed by agrochemical manufacturers has led to an increase in the agrochemicals industry. New controlled-release formulations or nano-formulations based on nano-particles have allowed fertilizers and pesticides to supply their active ingredients over time, thus improving the operational efficiency of these products and lowering their environmental effects through reduced waste. For example, polymer-coated slow-release fertilizers are used to maintain a constant supply of nutrient delivery over an extended time frame while maintaining a high level of quality yield.

Additionally, agrochemical manufacturers and research institutions, such as The Institute of Pesticide Formulation Technology in India, are developing new formulations that have improved solubility, enhanced leaf adhesion, and targeted delivery of active ingredients. This means that newer pesticide and fungicide formulations stick better to the leaves of plants so that the active ingredient has a higher efficacy with lower application rates. With increased efficacy and lower application rates, these new formulations will result in improved reliability for the end-user, reduced waste, and decreased use of agricultural chemicals at a lower cost. Therefore, these improvements promote the increased adoption of agricultural chemicals and growth of the global agricultural chemicals market.

Indian Agrochemicals Industry Production

The Indian chemical industry has shown an upward production trend from INR 254 billion in FY2017 and projected to reach INR 782 billion by the end of FY2026. According to projected figures, domestic production (Indian production for sale within India) will grow from INR 111 billion in FY2017 to almost INR 251 billion by the end of FY2026, while export production will increase at a much faster rate, growing from INR 143 billion in FY2017 and projected to reach INR 531 billion at the end of FY2026.

Total production increased year-on-year between FY2020 and FY2021, when it reached a total production of INR 399 billion then projected to grow to INR 449 billion during FY2022, reaching a projected INR 577 billion by the end of FY2024. Industry CAGR from FY2017 to FY2021 was 12% and projected to have a CAGR increase of 14% over the next five years from FY2021 to FY2026. Exports comprise an increasing portion of total production, with the share of exports increasing from approximately 56% in FY2017 to approximately 68% by FY2026, reinforcing India's position as a growing global producer of agrochemicals.

Recent Major Milestones

1. Surge in zero-residue pesticide formulations

The introduction of "zero-residue" pesticide and agrochemical products that quickly break down after use on crops or in soils. This has greatly increased consumer, regulatory and export acceptance and demand for these products in high-quality markets such as the EU and Japan. The increased acceptance of these products will boost usage rates, thus stimulating the growth of the entire agri-chemical industry.

2. Launch of advanced herbicides and fungicides in key markets (e.g. India)

In India, as of 2025, there will be numerous advanced herbicides and fungicides introduced into the regions of expanding agriculture (paddy rice, cotton, maize, soybean, etc.), that will enable farmers to better protect their yields from pests while decreasing their need for manually weeding their crops. These advanced herbicides and fungicides provide significant improvements in crop protection effectiveness and stability of yield leading farmers to make more investments into chemically-aided agriculture, driving significant growth of the agrochemicals market.

3. Growing integration of biotech, AI and sustainable chemistry in agrochemical R&D

The trend toward collaboration among biotech companies, agrochemical manufacturers, and technology-oriented start-ups is enabling many new environmentally conscious approaches to the production of agrochemicals. These include bio-pesticides and bio-fertilizers, as well as precision agriculture-compatible chemistries. This collaboration aligns with rising consumer demand for sustainability and mounting regulatory requirements regarding safety. As a result, a larger pool of farmers and markets will have access to agrochemical products, enabling continued growth in the agriculture sector.

4. Regulatory reforms and streamlined approval processes for new agrochemical solutions

The shift towards regulatory reform and the development of streamlining policies for approving new products is already creating a great deal of momentum in this space. Regulatory reforms provide faster paths to approval for biotechnology-enabled agrochemical products, enabling companies to get new products onto the market sooner and allowing them to expand their product lines. As registered products become approved faster and with less unpredictability, more companies will feel comfortable investing in R&D to create new products, which will significantly increase the number of products available to farmers and grow the overall agrochemical sector.

Report Scope

Market Dynamics

Market Drivers

• Rising global food demand: The growing population is a major driver of increased demand for food and agricultural produce. The availability of land for farming continues to decline as urbanisation and industrialisation continue to take place, resulting in pressure on farmers to produce more crop on less land, in less time. The use of agrochemicals, including fertilizers, insecticides, herbicides, and fungicides, has increased crop yield and prevented crop losses. This increasing dependence on agrochemicals for maintaining stable and high food production represents a significant driver of the agrochemical industry.
• Adoption of modern farming practices: Modern techniques of agriculture (like precision agriculture, greenhouse farming, large scale mechanical farming), are being increasingly adopted in many areas of the planet. The use of such advanced techniques often requires the use of efficient and reliable agrochemical products to maximise yield and reduce crop losses. Farmers also have greater awareness of the need to increase their productivity and improve the quality of crops to make more profit. Therefore, increased use of premium fertilizers and crop protection chemicals is a significant factor in the growth of the agrochemical industry.

Market Restraints

• Strict environmental regulations: Due to pollution of the environment and damages posed to humans by pesticides and fertilizers, many countries are now passing stricter laws on the use. Soil degradation, water pollution, and damage done to pollinators such as bees have created serious concerns regarding health and environmental resources. As a result, product bans, restrictions to be put on how much of the product can be used, and a longer amount of time needed for approvals have been put in place. These regulations slow product launch times and therefore restrict the growth of the agrochemical industry, particularly in developed countries.
• Growing preference for organic farming: The consumer interest in healthy living and environmental sustainability has been increasing. As a result, the demand for organic food products is on the rise. As consumers have turned to organic foods, farmers are adopting organic farming methods to meet the growing demand. The expansion of organic farming means that the need for synthetic agricultural chemicals will decrease in many parts of the world.

Market Opportunities

• Growth of bio-based agrochemicals: Rising awareness of climate change issues has increased public demand for new environmentally friendly farming products. As consumers become more aware of their impact on the planet, they are turning to biologically derived agricultural inputs like bio-fertilizers and bio-pesticides, in place of traditional chemicals. As a result of this shift towards sustainability, agrochemical firms are investing heavily into the expansion of this emerging sector, which presents considerable growth potential, especially within developed markets.
• Expansion in developing countries: The rapid population growth and escalating demand for food throughout Asia, Africa, and Latin America has resulted in increased governmental support for modern agricultural practices, primarily through financial aid and education programs for growers. Many farmers are now transitioning from reliance upon chemical fertilizers and pesticides toward using biotechnological products to enhance crop yields. The increase in modern farming practices across these regions represents a tremendous opportunity for agrochemical producers to capitalize on.

Market Challenges

• Resistance development in pests and weeds: The increasing and excessive usage of the same chemicals has led to the development of resistance by pests and weeds. Once resistance exists within a population, agrochemical effectiveness declines and some farmers may need to apply greater quantities of the agrochemical or switch to other products in order to achieve satisfactory results, often resulting in increased production costs for farmers and added pressure on agrochemical manufacturers to continually innovate new products. Resistance management is now one of the biggest technical challenges faced within the industry.
• Supply chain and raw material volatility: The agrochemical industry relies primarily on raw materials, such as petrochemicals and minerals (which have fluctuating prices due to geopolitical issues and global supply chain issues). Global supply chain disruptions, as well as other events (including transportation delays and disruptions to energy supplies) have made it much more difficult and costly for the agrochemical industry to produce and distribute products to customers. As a result of this, there have been numerous uncertainties and challenges for the agrochemical industry with respect to sustainable market growth.

Regional Analysis

The agrochemicals market is segmented into various regions, including North America, Europe, Asia-Pacific, and LAMEA. Here is a brief overview of each region:

North America Agrochemicals Market: Precision Farming and Regulatory Innovation Accelerating Growth

The North America agrochemicals market size reached at USD 77.11 billion in 2025 and is predicted to grow around USD 107.59 billion by 2035. The North America is driven by technological advancements, high productivity farming and a high level of regulatory oversight. Fertilizers are the largest product category in the North America market. However, there is a growing interest in innovative formulations, improved efficiency products and environmentally-friendly (green) products. The need for increased productivity per acre and higher-quality input products is driving stable growth in the market overall.

Recent Developments:

• In June of 2025, FMC Corporation and Corteva Agriscience signed a strategic agreement to expand the use of fluindapyr fungicide technology for U.S.-based corn and soybean growers.
• Regulatory agencies (e.g., the Environment Protection Agency or EPA) are speeding up the regulatory approval processes for microbial-based and low-toxicity-based products that allows for innovation to flourish.

Asia-Pacific Agrochemicals Market: Rapid Agricultural Modernization and Food Demand Fueling market

The Asia-Pacific agrochemicals market size accounted for USD 133.95 billion in 2025 and is forecasted to hit around USD 186.89 billion by 2035. The Asia Pacific region is the largest consumer of agrochemicals because of its growing population, the amount of arable land being reduced, and a strong push to use modern farming methods to produce more food. For example, many countries such as India, China and Indonesia are heavily reliant on fertilizers and crop protection products to help them maintain crop yields and feed their populations. In addition, government subsidization, the growth of commercial farms and the implementation of precise farming methods are assisting market expansion.

Recent Developments:

• A new herbicide “Brucia” developed by UPL Limited (India) to control weeds in maize crops was launched in August 2025.
• Chinese manufacturers are working on increasing the purity of active ingredients, thereby complying with increasingly stricter residue limits, and decreasing the dependence on foreign imports.
• As bio-based and low toxicity products receive regulatory approvals throughout the area, their popularity is increasing.

Europe Agrochemicals Market: Sustainability Mandates and Food Security Concerns Shaping Market

The Europe agrochemicals market size estimated at USD 68.82 billion in 2025 and is projected to surpass around USD 96.02 billion by 2035. Europe market is steadily increasing, regulatory and sustainability issues continue to impact the market's development. Farmers and manufacturers in Europe have established sophisticated agricultural systems aimed at producing high-quality foods and maintaining environmental integrity. In response to stringent EU requirements, farmers and manufacturers are gravitating towards new agricultural chemical products that conform to required specifications. The European market is experiencing a growth in demand for highly efficient, low-residue inputs; however, as evidenced by the market's overall growth rate, the growth of the total market will continue to be slower than other global markets.

Recent Developments:

• On July 2025, an article reported on the fact that 14% of EU pesticide usage is illegal, primarily in Greece. This has led to an increase in regulatory enforcement along with the demand for regulated products.
• Syngenta Group anticipates that the crop protection market will reach stabilization in 2025 and has decided to invest heavily into R&D and innovation.

Agrochemicals Market Share, By Region, 2025 (%)

LAMEA Agrochemicals Market: Export-Oriented Agriculture and Crop Intensification Boosting Market

The LAMEA agrochemicals market size valued at USD 27.34 billion in 2025 and is anticipated to reach around USD 38.15 billion by 2035. The growth of Latin America's agrochemical industry is directly related to the growth of commercial agriculture. There is an increase in the demand for high-quality agricultural products such as soybean, corn and fiber as part of the global demand. The adoption of new, innovative agriculture practices combined with the need to manage pests and diseases caused by diversity of climate will contribute to this growth in the usage of agrochemicals in the future.

Recent Developments:

• UPL (India) announced a growth strategy in Brazil & invested in their Salto de Pirapora facility (Brazil) annually investing about USD 100 million in Latin America research & industrial projects.
• The Region has started to adopt digital agriculture & precision agriculture for exportable fruits and vegetables which will create an increased demand for specialized agrochemical inputs.

Segmental Analysis

The agrochemicals market is segmented into product, application, and region.

Product Analysis

Fertilizers are the largest and most important segment, because they provide nutrients to plants and improve soil fertility. Global farmers rely on nitrogen, phosphorus and potassium-based fertilizers to grow healthier crops and ensure stable food supplies. Fertiliser use is particularly high in large-scale farming operations in countries such as China, India, and the USA, so the large market share of fertilizers remains strong. Governments provide an ongoing level of government support for fertilizers in terms of subsidised pricing and education and awareness building activities.

Agrochemicals Market Share, By Product, 2025 (%)

The crop protection chemical segment, which includes insecticides, herbicides, and fungicides, is the fastest growing segment due to increased pests and climate change, as well as the potential for higher incidence rates of crop disease attacks, which increases the risk of crop loss to farmers. More advanced protection solutions are being developed and marketed than ever before (specifically targeting pests with lower toxicity), and agriculture is becoming increasingly commercialised (i.e., agriculture that is primarily conducted for export purposes), resulting in higher demand for crop protection chemicals and more rapid adoption of this product segment.

Application Analysis

Cereal and grain crops dominate the application segment as these are staple crops which are eaten by millions of people around the world, including rice, wheat and maize. Cereal and grain crops occupy the largest share of arable land in agriculture, and thus they require continuous application of fertilizers and other crop protection chemicals to produce high levels of yield. Governments also place great emphasis on developing cereal production systems in many countries, as these cereals can serve as food security for their populations. Cereal and grain crops are the largest crop types within the agrochemical sector.

Agrochemicals Market Share, By Application, 2025 (%)

Fruits and vegetables are the fastest-growing application segment of agrochemical market. Growth in this segment stems from consumer demand for nutritious and high quality fresh fruits and vegetables. In order to maintain fruit and vegetable quality, visual appeal and shelf-life, more agrochemical inputs than ever before must be used in growing fruits and vegetables. Fruits and vegetables are considered high-value crops, and thus the increased use of agrochemical crop protection solutions for these products has been associated with an increase in pest and disease activity on these crops. Additionally, increasing greenhouse farming, and increasing fresh produce export markets have created demand growth for agrochemical inputs for the growth of this segment.

Agrochemicals Market Top Companies

• BASF SE
• Corteva Inc.
• Bayer AG
• Syngenta Group
• Dow Inc.
• Nufarm Ltd
• FMC Corporation
• Nutrien Ltd
• Yara International ASA
• The Archer-Daniels-Midland Company
• Sumitomo Chemical Co. Ltd
• Arysta Lifesciences Corporation

Recent Developments

• On March 25, 2025, Syngenta Group announced its acquisition of a genetic resource bank from Novartis, which will support the development of a new range of biologically based products for protecting crops from pests. This acquisition gives Syngenta access to a variety of natural products, including a variety of genetic material collected from the environment, as well as to a pilot fermentation facility located in Basel, Switzerland, as well as to a group of scientists specializing in biomolecular chemistry.
• On March 2025, BASF SE India reported a year to date increase in its Agricultural Solutions segment of India 15% for the nine month period, and a 13% increase in sales for the quarter ended September 30, compared with the same period last year. This increase is attributed to higher sales volume, despite increases in input costs.
• On May 12, 2025, Bayer ag announced that it would reorganize its Crop Science Division in Germany, and close down operations at its Frankfurt am Main location by the end of 2028. Bayer intends to consolidate and rationalize all production and to strengthen its Monheim, Germany facility as a research and development center for crop protection products.

Market Segmentation

By Product

• Fertilizers
  
  • Phosphatic
  • Nitrogenous
  • Potassic
  • Secondary Fertilizers (Calcium, Magnesium, and Sulfur Fertilizers)
  • Others
• Crop Protection Chemicals
  
  • Insecticides
  • Herbicides
  • Fungicides
  • Others
• Plant Growth Regulators
• Others

By Application

• Cereals & Grains
• Fruits & Vegetables
• Oilseeds & Pulses
• Others

By Region

• North America
• APAC
• Europe
• LAMEA