Australia Agrochemicals Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 7.80 Billion |
| Market Size (2029) | USD 9.20 Billion |
| CAGR (2024 - 2029) | 3.50 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Australia Agrochemicals Market Analysis
The Australia Agrochemicals Market size is estimated at USD 7.80 billion in 2024, and is expected to reach USD 9.20 billion by 2029, at a CAGR of 3.5% during the forecast period (2024-2029).
The agrochemicals market in Australia is crucial for the agricultural sector, focusing on crop protection, pest management, and boosting overall productivity. The market has grown steadily in recent years due to rising food demand and the need to maximize yields from extensive cultivated lands. The Australian Bureau of Statistics reported that the crop production area in Australia increased from 25.2 million hectares in 2021 to 25.6 million hectares in 2022. This growth in agricultural land reflects the need to meet the rising food demand, leading to higher demand for efficient pest control and fertilization methods.
Government support significantly contributes to market growth. The Australian Government has allocated USD 25.7 million over eleven years (2014-2025) to help farmers access safe and effective agricultural and veterinary (agvet) chemicals, aiding food production for Australia and the world. Additionally, the fertilizer market is becoming a key factor in enhancing agricultural productivity in the country. However, overuse and reliance on agrochemicals have led to resistance in weeds and insects, necessitating the use of more potent agrochemicals. This situation has increased the adoption of biological agrochemicals in the country. Therefore, the growing demand, coupled with government support and the rising importance of bio-based agrochemicals, is driving market growth during the forecast period.
Australia Agrochemicals Market Trends
Growing Fertilizer Usage Supports the market
- Australia's agricultural industry relies heavily on fertilizers, making them a vital part of the national economy. Fertilizer Australia, the leading industry association, represents manufacturers, importers, distributors, and related service industries. Members of Fertilizer Australia supply more than 95% of the fertilizers used in the country. These fertilizers, essential for providing plant nutrients, contribute approximately USD 8 billion to Australia's GDP. This high GDP of the contribution aids the growth of the segment.
- Due to limited domestic manufacturing capacity, Australia depends significantly on imports to meet its agricultural needs. For instance, nitrogen fertilizer imports increased by 18% from 2020 to 2023. Additionally, the rising cost of fertilizer usage for cropping systems has led to higher consumption. According to the Australian Bureau of Agricultural and Resource Economics (ABARES), the average cost of fertilizer for cropping farms rose from USD 138.6 thousand in 2022 to USD 222.4 thousand in 2023. These factors enhance the value of fertilizer consumption, supporting market growth.
- Data from the International Fertilizer Association (IFASTAT) indicates that fertilizer consumption in Australia grew during the study period, increasing from 2.5 million metric tons in 2019 to 2.7 million metric tons in 2022. Urea, the most commonly used nitrogen fertilizer, is particularly favored for crops such as wheat, cotton, and sugarcane. The significant contribution to GDP, coupled with rising imports and increasing consumption, drives market growth.
Declining Grain and Cereal Production Boosts Agrochemical Use
- In Australia, cereals are a crucial component of a healthy diet. The country grows major cereals such as wheat, barley, oats, canary, and triticale. These crops often suffer yield losses due to pests like cutworms, armyworms, mites, helicoverpa, and aphids. Barley, like other cereals, is vulnerable to a variety of insect pests. In the northern growing region of Australia, aphids are the main pest affecting barley. Research shows that aphid feeding significantly reduces barley yields in this area. For instance, according to FAO, Australia's barley production decreased from 14.6 million metric tons in 2021 to 14.3 million metric tons in 2022. This year-on-year decline in barley and other cereal production, caused by pest damage, is driving increased demand for crop-protection chemicals, thereby boosting market growth.
- Supportive initiatives promoting the use of agrochemicals, such as fertilizers in cereals and grains, are major drivers of market growth. The Grains Research and Development Corporation (GRDC) has invested USD 17.2 million in a four-year project led by the University of Melbourne, in collaboration with several research organizations. This project focuses on using enhanced-efficiency nitrogen fertilizers in the grains industry to reduce GHG emissions and improve Nitrogen Use Efficiency (NUE). The project will run for four years, with results expected to be available to growers by 2028. Therefore, the decreasing production of cereals due to pest infestations and these supportive initiatives are driving market growth during the forecast period.
Australia Agrochemicals Industry Overview
The Australian agrochemicals market is consolidated with major players, including BASF SE, Nufarm Ltd, Yara International, ADAMA Agricultural Solutions and Bayer Crop Science AG. These major players in the industry are heavily investing in R&D for new product launches to increase their market share. They are expanding their business activities by focusing on new product launches, partnerships, and investments, which further helps them enhance their sales in the country.
Australia Agrochemicals Market Leaders
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Nufarm Ltd
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Yara international
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Bayer Crop Science AG
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BASF SE
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ADAMA Agricultural Solutions
*Disclaimer: Major Players sorted in no particular order
Australia Agrochemicals Market News
- September 2024: Albaugh, a global leader in crop protection solutions, has officially registered its SPIROMAX 240 SC Insecticide in Australia. This achievement underscores Albaugh's expansion into the Australian agricultural market and reaffirms our dedication to delivering high-quality and cost-effective crop protection products to Australian farmers.
- May 2024: BASF has introduced its innovative insecticide, Cimegra, in Australia. This product features a new active ingredient, Broflanilide, developed using BASF's proprietary technology. Cimegra offers robust and prolonged protection against resilient insect pests, catering to a diverse range of crops.
Australia Agrochemicals Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Increasing Adoption of Biopesticides
4.2.2 Rising Area Under Agriculture
4.2.3 Growing Supportive Initiatives
4.3 Market Restraints
4.3.1 Regulatory Restrictions on Chemical Product Usage
4.3.2 High Cost of the Inputs
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Product Type
5.1.1 Fertilizers
5.1.2 Pesticides
5.1.3 Adjuvants
5.1.4 Plant Growth Regulators
5.2 Application
5.2.1 Grains and Cereals
5.2.2 Pulses and Oilseeds
5.2.3 Fruits and Vegetables
5.2.4 Commercial Crops
5.2.5 Other Applications
6. COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Bayer Crop Science AG
6.3.2 Syngenta International AG
6.3.3 BASF SE
6.3.4 Corteva Agriscience
6.3.5 ADAMA Agricultural Solutions
6.3.6 FMC Corporation
6.3.7 Nufarm Ltd
6.3.8 Yara international
6.3.9 Nutrien Ltd
6.3.10 ICL Speciality Fertilizers
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Australia Agrochemicals Industry Segmentation
Agrochemicals are engineered chemical or biological formulations that improve crop quality and yield while preventing crop deterioration from insects, pest infestation, and disease. The Australian agrochemicals market is segmented by Product Type (Fertilizers, Pesticides, Adjuvants, and Plant Growth Regulators) and Application (Grains and Cereals, Pulses and Oilseeds, Fruits and Vegetables, Commercial crops, and Other Applications). The report offers market estimation and forecasts in value (USD) for the above-mentioned segments.
| Product Type | |
| Fertilizers | |
| Pesticides | |
| Adjuvants | |
| Plant Growth Regulators |
| Application | |
| Grains and Cereals | |
| Pulses and Oilseeds | |
| Fruits and Vegetables | |
| Commercial Crops | |
| Other Applications |
Australia Agrochemicals Market Research FAQs
How big is the Australia Agrochemicals Market?
The Australia Agrochemicals Market size is expected to reach USD 7.80 billion in 2024 and grow at a CAGR of 3.5% to reach USD 9.20 billion by 2029.
What is the current Australia Agrochemicals Market size?
In 2024, the Australia Agrochemicals Market size is expected to reach USD 7.80 billion.
Who are the key players in Australia Agrochemicals Market?
Nufarm Ltd, Yara international, Bayer Crop Science AG, BASF SE and ADAMA Agricultural Solutions are the major companies operating in the Australia Agrochemicals Market.
What years does this Australia Agrochemicals Market cover, and what was the market size in 2023?
In 2023, the Australia Agrochemicals Market size was estimated at USD 7.53 billion. The report covers the Australia Agrochemicals Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Australia Agrochemicals Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Australia Agrochemicals Industry Report
The Australia Agricultural Chemical market is meticulously analyzed in the report, covering key segments such as fertilizers, pesticides, adjuvants, and plant growth regulators. This market analysis highlights the applications across various crops including grains and cereals, pulses and oilseeds, fruits and vegetables, and commercial crops. The industry report provides a comprehensive market outlook, offering insights into market share and market size.
The industry analysis is supported by extensive industry research and industry statistics, providing a detailed market overview. The market forecast and market predictions are based on historical data and future market trends, ensuring a robust market review. The report also includes a report pdf for further reference.
Key industry information such as industry sales, industry size, and industry trends are discussed, along with market data and market growth. The report highlights the market leaders and their contributions to the market value. The market segmentation is detailed, offering insights into the market's structure and dynamics.
The industry outlook and market outlook are promising, with a positive growth rate anticipated. The report example provided offers a glimpse into the industry reports and research companies involved in this sector. The report also emphasizes the importance of industry reports and industry statistics in understanding the market value and trends.
Overall, the report provides a thorough market review, covering all aspects from market segmentation to market forecast, ensuring a comprehensive understanding of the Australia Agricultural Chemical market.
Australia Agrochemicals Market Report Snapshots
