South Africa Agrochemicals Market Size (2024 - 2029)

The agrochemicals market size in South Africa is experiencing growth driven by several key factors, including the country's significant role in agricultural production, the increasing focus on food security and climate change, and the rising income of farmers. Despite being import-dependent for a substantial portion of its fertilizers, the demand for agrochemicals is propelled by the need to enhance production efficiency due to limited agricultural land. Economic improvements have heightened farmer awareness of agrochemical benefits, and the adoption of integrated farming practices presents further opportunities for market expansion.

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Market Size of South Africa Agrochemicals Industry

South Africa Agrochemicals Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 1.27 Billion
Market Size (2029) USD 1.53 Billion
CAGR (2024 - 2029) 3.90 %
Market Concentration Low

Major Players

South Africa Agrochemicals Market Major Players

*Disclaimer: Major Players sorted in no particular order

South Africa Agrochemicals Market Analysis

The South Africa Agrochemicals Market size is estimated at USD 1.27 billion in 2024, and is expected to reach USD 1.53 billion by 2029, growing at a CAGR of 3.9% during the forecast period (2024-2029).

  • As Africa's largest crop protection market, South Africa caters to a diverse range of farmers. These farmers operate across multiple sectors, including row crops, horticulture, citrus, nuts, and vines, spanning deciduous, subtropical, and forestry markets. Data from South Africa's Ministry of Agriculture, Land Reform, and Rural Development indicates that gross income from agricultural products hit USD 23 billion in 2022, a rise from USD 20.2 billion in 2021, translating to a 15.2% growth. This surge was largely driven by a 27.8% increase in income from field crops and a 5.8% rise in horticultural products. Such robust growth in the agricultural industry is significantly bolstering the agrochemicals market in South Africa.
  • Over the past two decades, South Africa has witnessed a decline in the land area utilized for agriculture despite its expansive territory. This trend has intensified the push for enhanced production efficiency, subsequently driving up the demand for agrochemicals. With the economy on the rise, farmers are increasingly recognizing the crucial role of agrochemicals. The potential embrace of integrated farming practices stands to amplify this market. Consequently, the quest for efficiency, underscored by agrochemicals, remains a dominant force propelling market demand.
  • Fertilizer prices across Africa diverge significantly from global rates, underscoring supply chain challenges intensified by the Russia-Ukraine conflict. South Africa's reliance on Russia for ammonium nitrate, a key ingredient in fertilizer production, poses challenges. The ongoing conflict is also affecting South Africa's fruit exports, notably citrus shipments to Russia. As growers seek alternative markets, this dynamic presents a constraint on the growth of the fertilizer segment.

South Africa Agrochemicals Industry Segmentation

Agrochemicals are commercially produced chemicals or organic compounds used in farming for crop protection and nutrition. The South African agrochemicals market is segmented by type (fertilizers, pesticides, adjuvants, and plant growth regulators) and application (grains and cereals, oilseeds, fruits and vegetables, and other applications (plantation, turf, and ornamentals and grass)). The report offers market sizing in terms of values in USD.

Type
Fertilizers
Pesticides
Adjuvants
Plant Growth Regulators
Application
Grains and Cereals
Oil seeds
Fruits and Vegetables
Fruits and Vegetables
Other Applications (Plantation, Turf, and Ornamentals and Grass)
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South Africa Agrochemicals Market Size Summary

The South African agrochemicals market is poised for growth, driven by the country's significant role in agricultural production and the increasing need for enhanced crop protection and productivity. Key factors such as the rising incidence of crop infestations and diseases, a heightened focus on food security, and the impacts of climate change are propelling the demand for agrochemicals. Despite being import-dependent for a substantial portion of its fertilizers, the market is witnessing a shift towards integrated farming practices and the adoption of biopesticides and biofertilizers. These alternatives are gaining traction due to their reduced environmental impact and ability to improve soil health, addressing issues like soil acidification caused by overuse of chemical fertilizers. The commercial farming sector, which contributes over ninety-five percent of the agricultural output, is a major consumer of these products, with crops like maize and sugar cane driving the demand for both traditional and bio-based agrochemicals.

The competitive landscape of the South African agrochemicals market is characterized by the presence of numerous international and domestic players, including industry giants such as Sasol Limited, Bayer Crop Science AG, and Syngenta AG. These companies are actively expanding their market presence and innovating to meet the specific needs of local farmers. The market's growth is further supported by strategic collaborations and product developments, such as BASF's partnership with AgBiome for biological fungicides and Syngenta's new seed treatment fungicide. As the agricultural sector seeks to increase productivity from limited arable land, the demand for agrochemicals is expected to rise, with a particular emphasis on improving yields of staple crops and enhancing soil fertility. This trend is anticipated to continue, driven by the need to boost agricultural output and ensure food security in the region.

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South Africa Agrochemicals Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

    3. 1.3 Market Restraints

    4. 1.4 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.4.1 Bargaining Power of Suppliers

      2. 1.4.2 Bargaining Power of Buyers/Consumers

      3. 1.4.3 Threat of New Entrants

      4. 1.4.4 Threat of Substitute Products

      5. 1.4.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Type

      1. 2.1.1 Fertilizers

      2. 2.1.2 Pesticides

      3. 2.1.3 Adjuvants

      4. 2.1.4 Plant Growth Regulators

    2. 2.2 Application

      1. 2.2.1 Grains and Cereals

      2. 2.2.2 Oil seeds

      3. 2.2.3 Fruits and Vegetables

      4. 2.2.4 Fruits and Vegetables

      5. 2.2.5 Other Applications (Plantation, Turf, and Ornamentals and Grass)

South Africa Agrochemicals Market Size FAQs

The South Africa Agrochemicals Market size is expected to reach USD 1.27 billion in 2024 and grow at a CAGR of 3.9% to reach USD 1.53 billion by 2029.

In 2024, the South Africa Agrochemicals Market size is expected to reach USD 1.27 billion.

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