Agrochemicals Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Global Agrochemicals Market Trends and Insights

Rising Incidence of Herbicide-Resistant Weeds Fuels Demand for Premium Herbicides

Palmer amaranth infestations now span 31 United States states, and glyphosate-resistant ryegrass covers more than 2 million hectares in Australia. Growers are substituting generic glyphosate with premium Group 15 and Group 27 chemistries, commanding 40–60% price uplifts. Revenue per treated hectare is rising even as acreage stays flat, rewarding portfolios that rotate multiple modes of action within a season. Trait-herbicide bundles such as Corteva’s Enlist E3 soybean, which reached 35% of U.S. soybean acres in 2025, illustrate how integrated solutions secure recurring sales and temper resistance evolution. Regulators are tightening stewardship rules that formalize rotation and refuge planting, increasing demand for multi-site chemistry access. Growers, therefore, prioritize suppliers able to deliver complete resistance-management programs^{[1]Source: Weed Science Society of America, “Herbicide Resistance in U.S. Row Crops,” wssa.net}. 

Precision Agriculture and Data Subscription Models Scale Globally

Input-as-a-Service contracts convert one-time input purchases into recurring revenue and data loops. Corteva’s Granular platform guided 60 million acres in 2025, while Yara’s Atfarm advised 1.2 million hectares in Europe, cutting nitrogen waste by 12% and spawning carbon credits priced at EUR 25 per metric ton (USD 27 per metric ton). Smartphone penetration in India and Indonesia is extending similar services to smallholders, and telematics are embedding Bayer’s Climate FieldView across 4 million farms worldwide. Control of prescription data lets incumbents steer seed, fertilizer, and crop-protection mix, positioning platforms as profit centers equal in importance to active-ingredient pipelines.

Controlled-Release and Inhibitor-Coated Fertilizers Gain Mainstream Adoption

Polymer-coated urea and dual-inhibitor blends are transitioning from niche products to broader adoption as factors such as labor constraints, runoff regulations, and yield requirements converge. Nutrien Ltd. reported significant growth in ESN (Environmentally Smart Nitrogen) sales in 2025 compared to 2024, driven by demand from the United States corn and Canadian canola markets. ICL Group’s eqo.x platform, implemented across Europe and the Asia-Pacific region, achieved notable improvements in wheat and rice yields. Policy initiatives, including the United States Environmental Protection Agency (EPA) Chesapeake Bay nitrogen cap and China’s 40% fertilizer-efficiency target, are positioning coated products as risk mitigation tools for distributors undergoing stewardship audits. Consequently, Companies with advanced coating technologies can maintain price stability during volatile commodity cycles.

Carbon-Credit Monetization of Nitrogen-Efficiency Products

Enhanced-efficiency fertilizers qualify for verified emission reductions valued at USD 15–40 per metric ton of CO₂ equivalent. Nutrien piloted the practice over 500,000 United States corn acres in 2025, pairing Environmentally Smart Nitrogen (ESN) controlled-release urea with on-farm verification and selling credits to Microsoft and Cargill at USD 32 per metric ton, delivering USD 8–12 per acre back to growers. Yara’s YaraVera stabilizer cut N₂O emissions by 38% in Iowa trials and secured ISO 14064 verification, converting compliance into brand premium. The economics prove that environmental attributes, once externalities, now represent cash flows shared among supplier, farmer, and buyer, reshaping marketing language around nutrient products^{[3]Source: Nutrien Ltd., “Carbon Program Overview,” nutrien.com}.

Accelerating Phase-Outs of High-Toxicity Actives in the European Union, Brazil, and China

European Union proposals to retire 12 additional neonics and organophosphates by 2027, Brazil’s reclassification of paraquat as “extremely toxic,” and China’s ban on 41 pesticide actives are shrinking registrant portfolios. Portfolio churn shortens effective patent lives for replacement molecules, forcing companies to accelerate product launches or pivot into biologicals to protect revenue. Smaller formulators, unable to fund reformulation, are exiting segments, further concentrating market power among diversified incumbents that can spread compliance costs^{[2]Source: European Commission, “Sustainable Use of Pesticides Regulation,” ec.europa.eu}.

Volatile Glyphosate Pricing Squeezes Formulator Margins

Chinese technical-grade glyphosate rose from USD 4.20 per kilogram in January 2025 to USD 6.80 per kilogram by December 2025 after environmental shutdowns and speculative restocking. South American and Asian formulators, sourcing 70% of supply from China, saw 15 to 25% margin erosion because retail price lists lagged spot spikes. Nufarm’s 2025 gross margin dropped 19% as procurement costs outpaced selling-price recoveries. The volatility is accelerating exits by small formulators and steering portfolios toward higher-margin specialty herbicides.

Segment Analysis

By Product Type: Fertilizers Anchor Revenue, Plant Growth Regulators Lead Innovation

Fertilizers dominated the agrochemicals market in 2025, holding 75% of revenue. Nitrogenous grades urea, ammonium nitrate, and Urea Ammonium Nitrate (UAN) solutions remain indispensable in cereal production across Asia-Pacific and North America. In contrast, plant growth regulators are forecast to post the fastest expansion at 13.0% CAGR, propelled by applications that synchronize flowering and extend shelf life in fruits and vegetables. Herbicides constitute a significant portion of pesticide value, reshaping product portfolios in regions with stringent zero-residue mandates. Adjuvants, though a small share, generate outsize strategic value because they reduce spray rates by up to 25%, preserving efficacy while easing regulatory pressure. Corteva Agriscience’s ProGibb, a gibberellin-based regulator, recorded significant revenue in 2025, reflecting increasing demand for yield-enhancement molecules beyond traditional fertilizer expenditures. The agrochemicals market size for fertilizers is projected to grow steadily, with discretionary growth likely to center on high-margin regulators and other products that align with sustainability initiatives.

The ongoing phase-out of toxic active ingredients and the increasing preference for coated formulations enable companies to integrate fertilizer and crop protection solutions. Firms offering nutrient efficiency alongside pest control can cross-sell within the same acreage, strengthening relationships with channel partners and capturing additional market share. These trends allow agrochemical companies to maintain profitability despite fluctuations in commodity fertilizer cycles. Additionally, companies that validate environmental performance through third-party protocols are securing pricing premiums, indicating a long-term shift away from volume-based competition.

Note: Segment shares of all individual segments available upon report purchase

By Crop Type: Grains and Cereals Dominate, Fruits and Vegetables Accelerate

Grains and cereals accounted for 53.5% of the agrochemicals market share in 2025. Covering extensive areas of crops such as wheat, rice, corn, and sorghum, this segment utilized the largest volumes of nitrogen fertilizers and herbicides, driven by the use of mechanized broadcast equipment that ensures uniform application. In the United States, glyphosate-tolerant corn and soybean programs contributed to increased input spending, with trait-herbicide bundles, such as Corteva Agriscience’s Enlist E3, being widely adopted in U.S. soybean cultivation, thereby sustaining demand for complementary chemical products. In the Asia-Pacific region, the adoption of controlled-release urea and inhibitor coatings, such as ICL Group’s eqo.x, improved rice yields, reflecting the influence of nutrient-efficiency policies in promoting premium formulations.

Fruits and vegetables, while representing a smaller share of the agrochemicals market, are growing at a faster rate with a 7.4% through 2031, driven by export-oriented growers seeking residue-compliant premiums. Producers in countries such as Kenya, Ethiopia, Peru, and Vietnam are utilizing plant growth regulators and specialty fungicides to meet European supermarket standards. For instance, Corteva Agriscience’s ProGibb is anticipated to see significant demand by optimizing flowering in table grapes and citrus. Pulses and oilseeds account for a notable portion of market revenue, with Argentine farmers reducing herbicide costs per hectare by transitioning to generic dicamba and glyphosate blends after patent expirations. Wheat growers in Europe and Australia are increasingly adopting BASF and Bosch spot-spraying systems, which significantly reduce herbicide usage, demonstrating the cost-saving potential of sensor-based technologies even in large-scale cereal production. While grains and cereals will continue to lead in terms of volume, fruits and vegetables offer higher margins, encouraging specialty formulators to focus on environmentally certified chemistries combined with precision-application solutions.

Note: Segment shares of all individual segments available upon report purchase

Geography Analysis

Asia-Pacific accounted for 53% of the agrochemicals market share in 2025 and is projected to grow at a CAGR of 6.6% through 2031. Key factors supporting baseline demand include China’s zero-growth fertilizer mandate, which aims to stabilize fertilizer usage while maintaining agricultural productivity, and India’s subsidized urea program, which ensures affordability for farmers and sustains demand. Additionally, Japan’s precision agriculture platforms demonstrate how carbon monetization initiatives can incentivize the adoption of premium agricultural inputs, further driving market growth in the region. These developments position Asia-Pacific as a critical driver of the global agrochemicals market.

In Africa, digital advisory services are increasingly being adopted to enhance yields among smallholder farmers, addressing challenges such as restricted access to traditional inputs and climate variability. Egypt and South Africa stand out as anchor markets due to their well-developed irrigation infrastructure and focus on export-oriented horticulture, which supports higher-value crop production. Meanwhile, South America’s market growth is primarily driven by Brazil’s expanding soybean and corn acreage, supported by favorable climatic conditions and government policies, and Argentina’s export-oriented agricultural practices, which emphasize competitiveness in global markets.

In North America, market growth reflects the challenges of mature acreage and the impact of litigation, yet advancements in data platforms and carbon programs are creating new service revenue opportunities for agrochemical companies. Europe's market growth is the slowest among regions, hindered by the Farm to Fork pesticide-reduction targets. However, the region is becoming a leader in adopting low-carbon fertilizers, supported by regulatory initiatives like the Carbon Border Adjustment Mechanism (CBAM). The Middle East is capitalizing on its low-cost natural gas resources to produce ammonia for export while actively exploring blue and green ammonia production pathways. These regional trends highlight that while Asia-Pacific dominates in absolute sales, Africa and South America offer significant growth opportunities, shaping expansion strategies in the agrochemicals market.