AGROCHEMICALS AND FERTILIZER INDUSTRY

PRESENTED BY,1. Pravin Sawant

Overview of sector. Sector size and Growth rate. Major companies. Sector size & growth rate Major companies Supply chain International trade Challenges of industries Conclusion Reference

CONTENT

AGROCHEMICALS

A chemicals which is used in agriculture production such chemicals are called as “Agrochemicals”

Pesticides InsecticidesWeedicidesFungicidesNematicidesGrowth hormones

OVERVIEW OF SECTOR

FERTILIZERS A nutrients which is essential or to increasing growth of plant called as “Fertilizers”

Nitrogenous fertilizers

Phosphorous fertilizers

Potash fertilizers

Bio-Fertilizers

Size of the Industry57 large fertilizers plants and 65medium- and small-sized chemical fertilizer production units in India producing urea, DAP, Complex fertilizer, Ammonium Sulphate (AS) and Calcium Ammonium Nitrate (CAN)

Geographical distribution Cochin, Chennai, Kerala

Output per annum 121.10 lakh MT a year

Percentage in world market It ranks third in the world of Fertilizer production

Market capitalization 25% to the GDP

INDIAN FERTILIZER INDUSTRY

Scope• India is the third largest producer and consumer of fertilizer

in the world.• Indian fertilizer industry started in 1906 with SSP production

facility at Ranipet near Chennai. • The private sector produced 44.73 % of nitrogenous fertilizers

and 62.08 % of phosphatic fertilizers in 2012-13. • Total production of fertilizers in india-121.10 lakh MT a year.• In the case of phosphatic fertilizers, the raw materials and

intermediates are imported in large scale. • The requirement of potash (K) is met entirely through imports.

No fertilizer unit of India has any reserve of potash.

GROWTH RATE OF FARTILIZER & AGRO-CHEMICALS

COMPANY TURNOVERSYGENTA 2500 CR.DOW AGRO SCE. 5000 CR.

BAYER 9494 CR.BASF 73326 CR.

ZUARI 4250 CR.

COMPANY TURNOVERNATIONAL FARTILIZER, LTD. 8519 CR. RASHTRIY CHEMICAL FARTILIZER (RCF). 6661.64 CR.

COMPANY

FARTILIZER

AGRO CHEMICAL

GUJRAT STATE PVT, LTD. 5325 CR.

DEEPAK FARTILIZER & PETRO CHEM, 700 CR.

SUPPY CHAIN

Antagonistic & synergetic of effect different nutrient

Antagonistic effect

Increase Decrease synergeticIncrease Decrease

effectN

K

MG

MO

ZN

B

FE

NCA

S

Deficiency of micro nutrient

Major Challenges

• Gap between demand and supply• Greater dependency of country on imports( also

feedstock)• Unable reduce burden of government in subsidiary

rates• Infrastructural bottlenecks• Uncertainties in government policies• Small size of older plants

Conclusion•In India, the deficit N will progressively increase from 2007-08 to 2010-11.It expected to reduce significantly during 2012-13 and 2013-14.

•The deficit of P & K will continue to increase.

• global supply demand balance of N will increase until 2007-08. The global, surplus of N is expected to increase from 2012-13 due to commissioning of new project.

•Supply demand balance of P & K may remain tight.

•Realistic demand and production forecast is essential for macro planning and decision making.

•Over estimation leads to glut and under estimation causes scarcity.

References www.indianmirror.com/fertilizer-industry www.dreamstime.com Industry report,Tata Rallis Estimates www.dow.sciences.com www.b&ksecuritiesIndia.com www.indian department of commerce.in