Regular Update
ATM News Network: The International Monetary Fund (IMF) estimates that the world economy will
grow by 6.1% in 2021 post-Covid, with developed countries growing by 5.2% and developing
countries by 6.8%. All these pace India leading the global growth with a growth rate of 8.9%.
However, rising inflation, the Russia-Ukraine war and the food crisis are pushing the world to the
brink of recession with rapidly rising interest rates. In this background, the stability of the financial
market is being threatened. The IMF has predicted that growth in global and some regional
economies will slow in 2022. But still, the 8.2% growth forecast for India is maintained. Agriculture is
an important sector along with manufacturing, industry and service sectors that contribute to the
growth of India's economy.
According to the Economic Survey 2021-2024, agriculture and allied sectors have proven to be the
most resilient in recovering from the Covid-19 shock. The agriculture sector has recorded a growth
of 3.6 percent in 2020-21 and 3.9 percent in 2021-22. Agrochemicals have contributed to India's
economic development directly through industrial expansion and indirectly through advances in
agricultural production.
Agrochemical production and exports have increased significantly in recent decades. This trend is
expected to continue. Although the pandemic has affected the economy in all walks of life, the
Indian agrochemical industry is considered to be one of the industries that have successfully
weathered the pandemic. It has overcome supply chain issues, changing demand patterns and
economic crises. The Indian agrochemical industry is valued at US$ 4.1 billion. It is expected to grow
at a rate of 8.3% to reach USD 8.1 billion by 2025.
The companies on the list this year 2021-22 are the same as compared to last year except for the
change in their rankings. The minimum turnover of listed companies is Rs 1284.56 crores. Which is
Rs 239.5 crore additional than the financial year 2020-21. UPL, the world's fifth-largest agrochemical
company, topped the list with sales of Rs 41,390 crore, showing a growth rate of nearly 20%.
There are 11 companies with sales above Rs 2,000 crore and eight companies with sales between Rs
1,000 crore-2,000 crore. The total revenue of the pesticide business of the top 20 companies
increased by 18.88% in the financial year 2021-22 compared to the previous year. This increase is
5.5% higher than the growth rate of 13.45% in FY 2020-21-2019-20. The growth rate of these
companies has increased.
From the point of view of individual companies, 19 other companies with similar sales, excluding
agrochemicals, have experienced varying degrees of financial prosperity. Among them, 12
companies have achieved double-digit growth and seven companies have achieved single-digit
growth. In particular, Sarada Cropchem, Tagros Chemicals, Meghmani Group and NACL Industries
have welcomed over 30% growth.
Indian companies have accelerated the pace of bringing new products to the market in the last two
years. Which has already contributed to their revenue. Many companies have mentioned this in
their annual reports for 2021-22.
An analysis of the performance of these companies during the financial year 2021-22 shows that the
main factors contributing to the remarkable growth of these companies are the continued expansion
of overseas markets, increase in export and domestic market share, increase in production capacity
of existing factories and construction of new factories as well as the continuous introduction of new
products.s
