Global Agrochemical Market Recovers as Fertilizer Prices Fall 30–35% YoY, Demand Strengthens

MUMBAI, India - Jan. 13, 2026 - PRLog -- The global agrochemical industry is entering a recovery phase as fertilizer supply chains stabilize and sustainable crop solutions gain traction. According to Makreo Research's Global Agrochemical Market study, demand is rebounding across key agricultural economies, supported by improved affordability and growing biological crop protection adoption.

Asia Pacific and North America Anchor Market Scale, While Developing Regions Drive Growth
Asia Pacific and North America together account for nearly 66% of global agrochemical consumption, driven by high agricultural output and advanced input use. However, future growth is shifting toward Latin America, South Asia, and Africa, where rising food demand and expanding cultivation are driving increased agrochemical adoption.

Fertilizer Consumption Recovers Following Supply Chain Disruptions
After two years of contraction caused by geopolitical instability and logistics bottlenecks, global fertilizer consumption has returned to growth. Usage increased 4.3% in 2023 and 2.5% in 2024, with a further 2.2% rise projected in 2025.
Fertilizer affordability has improved significantly, as prices for urea, phosphate, and potash declined by 30–35% YoY in 2024, easing cost pressures on farmers and restoring application rates.

Regional Capacity and Trade Realignments Support Supply Stability
Global nutrient production capacity is sufficient to meet demand through 2027. Nitrogen supply has improved through revised export routes, phosphorus trade is adapting to geopolitical constraints, and potassium availability is strengthening due to new capacity additions across West Asia, Africa, and China. Between 2021 and 2024, the fertilizer segment recorded a 4.07% CAGR, driven by supply normalization.

Emerging Economies Lead Incremental Demand
Between 2024 and 2028, Latin America and South Asia are expected to contribute 3–4 million tonnes each in incremental nutrient demand. Africa, while accounting for only 4% of global market share, is projected to witness the fastest percentage growth, expanding nearly 25%, supported by improved fertilizer access and cultivation expansion.

Biological Crop Protection Gains Strategic Importance
The global biopesticides market reached USD 4.5 billion in 2023, expanding at an 8.6% annual rate, driven by stricter regulations, climate-related pest pressures, and international support programs. China's net-zero pesticide growth target by 2025 and its goal of producing 1 million tonnes of biopesticides by 2050 highlight a sustained shift toward safer crop protection solutions.

Agrochemical Market Outlook Remains Positive
According to Makreo Research, the Global Agrochemical Market Size and Forecast (2020–2030) (https://www.makreo.com/report/global-agrochemical-market-...) will continue expanding through the decade, supported by stabilized pricing, emerging market demand, rapid biological adoption, and innovation-led product portfolios. The next growth phase will focus on higher yields, lower emissions, and smarter chemical use, reshaping competitiveness across the global agricultural value chain.