Latin America Crop Protection Chemicals Market by Type (Synthetic [Herbicides, Insecticides, Fungicides], Biological), Form (Liquid, Solid), Mode of Application (Foliar Spray, Seed Treatment, Soil Treatment), and Crop Type - Forecast to 2030

The Latin America Crop Protection Chemicals Market is expected to reach $26.04 billion by 2030, at a CAGR of 2.6% from 2023 to 2030. In terms of volume, the market is expected to reach 3,681,637.4 tons by 2030, at a CAGR of 2.2% from 2023 to 2030. The growing need to enhance crop yield and quality, the increasing demand for cost-effective crop protection solutions, the growing awareness about environmental safety, and the decrease in arable land are driving the growth of the Latin America crop protection chemicals market. Additionally, emerging economies in Latin America and the growing emphasis on integrated pest management strategies are expected to offer significant growth opportunities for market players.

Key Players

The report includes a competitive landscape based on an extensive assessment of the key growth strategies adopted by leading market participants in the Latin America crop protection chemicals market between 2020 and 2023. The key players profiled in this Latin America crop protection chemicals market study are BASF SE (Germany), Bayer AG (Germany), Corteva, Inc. (U.S.), FMC Corporation (U.S.), Novozymes A/S (Denmark), Nufarm Limited (Australia), Syngenta AG (Switzerland), UPL Limited (India), Sumitomo Chemical Co., Ltd. (Japan), American Vanguard Corporation (U.S.), and Gowan Company LLC (U.S.).

Rapidly Decreasing Arable Land to Boost the Growth of the Latin America Crop Protection Chemicals Market

Arable land is one of the most important resources for agricultural production. Over the years, numerous cultivation techniques have emerged, resulting in the overutilization of land resources. This increased usage and constantly increasing demand for food have led to land exploitation, resulting in the degradation of land quality and a decrease in quantity.

According to the Global Assessment of Human-induced Soil Degradation (GLASOD) published by the United Nations Food and Agricultural Organization (FAO), Latin America and Africa have the highest proportion of degraded agricultural land. Countries with their economies largely dependent on agriculture have registered negative trends in land availability. This decrease is mainly attributed to diversifying cultivable land for non-agricultural purposes, including construction, industries, and other development activities.

Moreover, in Latin America, land degradation is one of the most pressing environmental problems and will continue to worsen without rapid remedial action. In Latin America, about 16 million square kilometers of land will be degraded each year in Latin America if current trends continue (Source: United Nations Convention to Combat Desertification, 2022). When land is degraded, soil carbon and nitrous oxide are released into the atmosphere, making land degradation a significant contributor to climate change.

According to TheWorldCounts, by 2050, Latin America will have more than 762 million mouths to feed, an increase of around 17% from 2020 (654 million). This increase in food demand is expected to exert immense pressure on the depleting arable land. Therefore, it is imperative to increase agricultural production with the help of conventional and nonconventional crop protection tools. Crop protection chemicals help to protect crops from insects & pathogens, increasing crop yield and quality. Using seed treatment chemicals before sowing enables precise and efficient protection of the seeds and resulting seedlings during the early stages of growth.

Seed protection chemicals are used on germinating seeds and eliminate the need to apply products over entire fields; this reduces soil depletion due to off-target exposure and limits animals and humans from exposure to crop protection products. Thus, the growing food demand in Latin America, coupled with the decline in agricultural land, is expected to boost the demand for crop protection chemicals, driving the growth of this market.

Rising Demand for Low-Cost Crop Protection Solutions to Drive the Growth of the Latin America Crop Protection Chemicals Market

Crop protection chemicals play a crucial role in maintaining plant health and ensuring sustainable yields. They offer farmers effective and sustainable methods to safeguard their crops from the time of planting to harvest. The growing demand for cost-effective crop protection solutions can be attributed to several factors, including concerns related to food security, accessibility for small-scale farmers, the growing emphasis on sustainable agriculture practices, the impact of climate change, advancements in technology and innovation, and government policies and support.

Food Security: With the growing global population, there is a demand for increased food production. To meet this demand, farmers need effective and affordable crop protection solutions that can combat pests, diseases, and weeds that significantly reduce crop yields.

Accessibility for Small-scale Farmers: Small-scale farmers constitute a substantial part of the agricultural workforce in many developing countries like Brazil, Mexico, Argentina, and Chile. These farmers frequently face financial constraints and are unable to invest in costly crop protection products. Therefore, affordable solutions like synthetic crop protection products play a vital role in ensuring that smallholder farmers can access and utilize effective crop protection methods.

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Emphasis on Sustainable Agricultural Practices: There is a growing emphasis on sustainable agricultural practices that minimize environmental impacts. Sustainable agriculture is based on using biological pesticides and alternative methods such as integrated pest management (IPM) techniques.

Climate Change Impacts: Climate change poses additional challenges for agriculture, as it can spread new pests and diseases. Affordable crop protection solutions help farmers adapt to changing climatic conditions and mitigate the risks associated with these challenges.

Technological Advances and Innovation: Advances in technology and innovation have the potential to revolutionize crop protection practices. Developing low-cost, easy-to-use technologies, such as biological controls, precision agriculture tools, and digital solutions, can provide cost-effective alternatives to conventional crop protection methods.

Government Support and Policy: Governments and agricultural organizations play a crucial role in promoting the development and adoption of low-cost crop protection solutions. Supportive policies, subsidies, and research funding can encourage the development of innovative and affordable solutions for farmers.

Thus, addressing the rising demand for low-cost crop protection solutions is essential for sustainable agriculture, food security, and farmers' livelihood, particularly in developing countries. Continued research, technological advancements, and collaborations among stakeholders are key to meeting this demand and ensuring the availability of low-cost crop protection solutions.

Key Findings in the Latin America Crop Protection Chemicals Market Study:

In 2023, the Synthetic Crop Protection Chemicals Segment to Dominate the Latin America Crop Protection Chemicals Market

Based on type, in 2023, the synthetic crop protection chemicals segment is expected to account for the larger share of the Latin America crop protection chemicals market. The large market share of this segment is attributed to its increasing use in developing countries, ease of availability, high efficiency, and lower cost than biological products.

However, the biological crop protection chemicals segment is projected to witness significant growth during the forecast period of 2023–2030. The growth of this segment is mainly driven by the increasing adoption of organic farming, growing environmental and public health concerns regarding the use of chemical crop protection products, high demand for chemical residue-free agricultural products, and the initiatives by governments worldwide to promote the use of biological crop protection products.

In 2023, the Liquid Segment to Dominate the Latin America Crop Protection Chemicals Market

Based on form, in 2023, the liquid segment is expected to account for the larger share of the Latin America crop protection chemicals market. The significant market share of this segment can be attributed to the benefits offered by liquid crop protection chemicals, such as uniform and easy application, higher efficacy, and longer effective duration (up to 6 months) compared to the dry form (up to 3 months).

The Seed Treatment Segment to Witness Highest Demand During the Forecast Period

Based on mode of application, in 2023, the foliar spray segment is expected to account for the largest share of the Latin America crop protection chemicals market. The large market share of this segment is attributed to the benefits offered by foliar spray application, such as high efficiency, uniform distribution of chemicals, and minimal to no wastage of crop protection chemicals.

However, the seed treatment segment is projected to register significant growth during the forecast period of 2023–2030. The growth of this segment is mainly driven by the increased germination and uniform seedling emergence, safety, and pest resistance advantages associated with the use of seed treatment techniques. In this method, microbial pesticides are often applied alongside chemical pesticides, as chemical pesticides provide early-season control, and microbial pesticides provide extended control.

In 2023, the Fruits & Vegetables Segment to Dominate the Latin America Crop Protection Chemicals Market

Based on crop type, in 2023, the fruits & vegetables segment is expected to account for the largest share of the Latin America crop protection chemicals market. The large market share of this segment is attributed to the increasing fruit & vegetable production in Latin America, the growing demand for chemical residue-free organic fruits & vegetables, and the increasing financial losses due to diseases affecting fruit & vegetable crops.

In 2023, Brazil is Expected to Dominate the Latin America Crop Protection Chemicals Market

Based on geography, the Latin America crop protection chemicals market is segmented into Brazil, Mexico, Argentina, Chile, Colombia, Uruguay, Peru, and the Rest of Latin America. In 2023, Brazil is expected to account for the largest share of the Latin America crop protection chemicals market. Brazil’s significant market share is attributed to its growing economy, increasing population, vast agricultural area, modernization of farming, limited availability of arable land, high agrochemical consumption, and expanding land coverage under organic cultivation.

Scope of the Report:

Latin America Crop Protection Chemicals Market Assessment, by Type

• Synthetic Crop Protection Chemicals
  • Herbicides
    • Glyphosates
      • Potassium Glyphosate
      • Isopropylamine Glyphosate
      • Other Salts of Glyphosate
    • Acetochlor
    • 2,4-D
    • Atrazine
    • Other Herbicides
  • Insecticides
    • Organophosphates
    • Pyrethroids
    • Carbamates
    • Organochlorides
    • Other Insecticides
  • Fungicides
    • Triazole
    • Strobilurins
    • Chloronitriles
    • Dithiocarbamates
    • Phenylamides
    • Benzimidazoles
    • Other Fungicides
  • Other Synthetic Crop Protection Chemicals
• Biological Crop Protection Chemicals
  • Bioinsecticides
  • Biofungicides
  • Bionematicides
  • Bioherbicides
  • Other Biological Crop Protection Chemicals

Latin America Crop Protection Chemicals Market Assessment, by Form            

• Liquid
• Dry

Latin America Crop Protection Chemicals Market Assessment, by Mode of Application 

• Foliar Spray
• Seed Treatment
• Soil Treatment
• Other Modes of Application

Latin America Crop Protection Chemicals Market Assessment, by Crop Type

• Fruits & Vegetables
• Cereals & Grains
  • Maize/Corn
  • Wheat
  • Other Cereals & Grains 
• Oilseeds & Pulses
• Other Crops 

Latin America Crop Protection Chemicals Market Assessment, by Geography

• Brazil
• Mexico
• Argentina
• Chile
• Colombia
• Uruguay
• Peru
• Rest of Latin America (RoLATAM)

Key Questions Answered in the Report: