Chinese expert analyzes pesticide export structure to the US

India accounts for 19% of pesticide imports in the United States. At the same time, Indian pesticide exports are in clear competition with China. PPP imports from India amount to about $1.1 billion. As soon as the 50% tariff on Indian goods comes into effect in the United States, the pesticide industry will face unprecedented difficulties. This is what Chinese analyst and Deputy General Director of AgroPages Erwin Xue is sure of.
He notes that the US pesticide market is the second largest in the world. In 2023, it reached a volume of $10.7 billion, of which $5.9 billion came from imports. At the same time, India plays a key role in the pesticide import market in the United States.
In 2024, Chinese exports took first place in the US inputs market with a share of 42%, and the export value reached $2.5 billion. It is followed by India with a share of 19%.
In comparison, the Netherlands and Germany, which are the main exporters of conventional pesticides, account for only 11% and 5% respectively.
The structure of exports reflects India’s key position in the pesticide value chain (technical products account for 72% of exports), as China mainly exports generic conventional pesticides in large volumes and at low prices, such as glyphosate and glufosinate, most of which had patents expired before 2005. In contrast, India offers a more diverse product range.
A peculiarity of Indian pesticide exports is that about 40% of the exported products and molecules are patented by Indian companies, which is in sharp contrast to pesticide exports from China.
Among India’s top exports to the US, pyroxasulfone tops the list at US$ 167 million, with a patent expiring in 2026.
Sulfoxaflor exports were worth US$ 39.8 million, with a patent expiring in 2027.
These patented molecules are mainly supplied by PI Industries and Deccan Fine Chemicals.
In terms of generic pesticides, Indian companies are also doing well. Metribuzin exports were worth US$ 68.2 million, while bifenthrin and dicamba were worth US$ 67.2 million and US$ 66 million, respectively. The generic segment is dominated by UPL, Atul and Rallis.
Indian pesticide manufacturers have a significant presence in the US market due to several advantages:
- they have accumulated extensive experience in producing complex, proprietary molecules;
- all major companies are accredited in the international quality control system;
- competitive prices compared to European and American companies.
Once the 50 percent duty on Indian pesticides comes into effect, it will be a serious blow to Indian crop protection exports. In terms of pricing, the current average price of Indian pesticides in the US market is $23,400 per tonne, and after the introduction of the 50 percent duty, it will increase to $35,100.
Since the price of Chinese products is only $12,400 per tonne, Indian pesticides will lose their price competitive advantage to a large extent, the expert says.
The 50 percent duty is expected to reduce the total volume of pesticide exports from India to the US by 40-60%. How will this affect the work of leading Indian pesticide companies?
Read also
Ukrainian farmers threshed over 33 mln tons of grain
Farmers, traders ‘flying blind’ as US shutdown blocks key crop data
Ukraine promises to quickly finalize the procedure for duty-free export of rapesee...
Favorable weather in major grain exporting countries and forecasts of reduced prec...
Rising vegetable oil prices and falling euro exchange rate support rapeseed quotes
Write to us
Our manager will contact you soon