Agro Chemical Stocks in India

Agro Chemical Stocks in India refer to shares of companies involved in producing agricultural chemicals like pesticides, fertilizers and herbicides. These companies support the agricultural sector by enhancing crop yield and protection. Investing in agrochemical stocks offers exposure to the growing agriculture industry in India.

The table below shows the agrochemical stocks in India based on the highest market capitalisation and 1-year return.

Introduction To Agro Chemicals Sector Stocks List

PI Industries Ltd

The Market Cap of PI Industries Ltd is Rs. 69,983.44 crores. The stock’s monthly return is 6.38%. Its one-year return is 27.61%. The stock is 1.03% away from its 52-week high.

PI Industries Limited is a holding company involved in the manufacturing and distribution of agricultural chemicals. The company operates in two main segments: Agro chemicals and Pharma. 

The Agrochemicals segment includes Agchem exports (CSM) and Domestic Agri Brands, while the Pharma segment focuses on contract research and development and contract manufacturing of active materials and intermediates for the pharmaceutical industry. The company provides various services such as research and development, CSM services and distribution services.  

UPL Ltd

The Market Cap of UPL Ltd is Rs. 45,772.05 crores. The stock’s monthly return is 15.87%. Its one-year return is 0.07%. The stock is 4.80% away from its 52-week high.

UPL Limited is an Indian company specializing in crop protection solutions. The company’s primary focus is on the production and sale of agrochemicals and seeds for both field crops and vegetables. 

In addition, UPL is involved in the manufacture and sale of industrial chemicals, chemical intermediates and speciality chemicals. The company operates through three main segments: Crop Protection, Seeds and Non-Agro. The Crop Protection segment includes the manufacturing and marketing of traditional agrochemical products and other agricultural-related products.  

BASF India Ltd

The Market Cap of BASF India Ltd is Rs. 29,340.09 crores. The stock’s monthly return is 11.33%. Its one-year return is 140.44%. The stock is 17.29% away from its 52-week high.

BASF India Limited is a company based in India that specializes in the production and sale of chemicals and chemical products. The company operates across six key segments: Agricultural Solutions, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care and Chemicals.

In the Agricultural Solutions segment, the company focuses on crop protection products that are seasonally dependent. The Materials segment encompasses performance materials and monomers businesses, while the Industrial Solutions segment includes dispersions, resins, additives, and performance chemicals. The Surface Technologies segment focuses on catalysts, coatings solutions, and construction chemicals. The Nutrition & Care segment consists of care chemicals, nutrition, and healthcare products. Lastly, the Chemicals segment includes petrochemicals and intermediates businesses.

Bayer CropScience Ltd

The Market Cap of Bayer CropScience Ltd is Rs. 28,471.04 crores. The stock’s monthly return is -3.40%. Its one-year return is 20.77%. The stock is 13.60% away from its 52-week high.

Bayer CropScience Limited, based in India, specializes in manufacturing, selling and distributing a range of agrochemical products including insecticides, fungicides, herbicides and corn seeds. 

The company operates within the agri-care sector and provides crop solutions for various types of crops, including cotton, fruits, millet, mustard, pulses, rice, soybeans, sugar cane, vegetables and wheat. Bayer CropScience operates through three main business areas: Crop Protection, Seeds & Traits and Digital Farming. Its Crop Protection portfolio offers a variety of chemical and biological pest management solutions, while its Seeds & Traits division develops innovative seeds and traits for farmers.  

Sumitomo Chemical India Ltd

The Market Cap of Sumitomo Chemical India Ltd is Rs. 26,866.52 crores. The stock’s monthly return is 4.19%. Its one-year return stands at 19.31%. The stock is currently 5.41% away from its 52-week high.

Sumitomo Chemical India Limited is an India-based company that is involved in manufacturing, importing, and marketing various products related to crop protection, grain fumigation, rodent control, biopesticides, environmental health, professional pest control and feed additives.

The company primarily focuses on manufacturing and selling household insecticides, agricultural pesticides, public health insecticides and animal nutrition products. It operates in two main segments – Agro Chemicals and Others, which include the environmental health division and animal nutrition division.  

Dhanuka Agritech Ltd

The Market Cap of Dhanuka Agritech Ltd is Rs. 7,241.48 crores. The stock’s monthly return is -7.99%. Over the past year, the stock has achieved a return of 101.10%. Currently, the stock is 21.21% below its 52-week high.

Dhanuka Agritech Limited, an agrochemical company based in India, specializes in manufacturing pesticides for Indian farmers. Their product range includes herbicides, fungicides, insecticides and plant growth regulators. 

The company’s distribution network spans approximately 6,500 distributors and 80,000 retailers. They operate manufacturing units in Sanand (Gujarat), Keshwana (Rajasthan) and Udhampur (J&K). Dhanuka Agritech Limited also has subsidiary companies, namely Dhanuka Agri-solutions Private Limited and Dhanuka Chemicals Private Limited.

Rallis India Ltd

The Market Cap of Rallis India Ltd is Rs. 6,581.80 crores. The stock’s monthly return is 2.31%. Its one-year return is 41.76%. The stock is currently 10.27% away from its 52-week high.

Rallis India Limited is an Indian company primarily specializing in the manufacturing and marketing of agricultural inputs. The company is involved in the production, distribution, sales and marketing of various crop protection products and field crops. 

Their range of agri-inputs includes crop protection products, plant growth nutrients, organic compost, and seed processing, offered under the Rallis Samrudh Krishi (RSK) initiative. Rallis India’s business operations cover domestic crop protection, international trade, contract manufacturing, seed processing, plant growth nutrients and agricultural services. They provide a variety of crop protection products like fungicides, herbicides, insecticides and biopesticides.  

Bharat Rasayan Ltd

The Market Cap of Bharat Rasayan Ltd is Rs. 5,826.42 crores. The stock’s monthly return is 14.95%. Its one-year return is 50.79%. The stock is 2.32% away from its 52-week high.

Bharat Rasayan Limited, an India-based company, specializes in the production of technical-grade pesticides, formulations, and intermediates. The company offers a wide range of products, including insecticides like Zeta Cypermethrin, Alphacypermethrin, Bifenthrin and Acetamiprid, herbicides such as Chlorimuron Ethyl and Clodinafop Propargyl, fungicides like Myclobutanil and Tebuconazole and various intermediates. 

The company operates manufacturing plants in Rohtak, Haryana, and Bharuch, Gujarat. The Haryana plant has an annual capacity of 4,260 metric tons and facilities for bulk packaging of formulations.

Sharda Cropchem Ltd

The Market Cap of Sharda Cropchem Ltd is Rs. 5,073.55 crores. The stock’s monthly return is 1.60%. Its one-year return is 24.34%. The stock is 13.25% away from its 52-week high.

Sharda Cropchem Limited, an Indian company specializing in agrochemicals, also operates in non-agricultural sectors. The company follows an asset-light business model and excels in developing product dossiers and obtaining registrations in various countries. 

Sharda Cropchem operates in two main segments: Agrochemicals, which offers Insecticides, Herbicides, Fungicides, and Biocides, and Non-agrochemicals, which provides Conveyor Belts, V Belts, and Timing Belts. In the agrochemical sector, their product range includes formulations and generic active ingredients for fungicides, herbicides, and insecticides to protect different crops and cater to turf and speciality markets.  

India Pesticides Ltd

The Market Cap of India Pesticides Ltd is Rs. 2,507.80 crores. The stock’s monthly return is 5.17%. Its one-year return is -22.83%. The stock is 98.27% away from its 52-week high.

India Pesticides Limited, an agrochemical company based in India, is involved in the manufacturing, selling, and distribution of insecticides, fungicides, herbicides and various other agrochemical products. The company also produces herbicide and fungicide technical and active pharmaceutical ingredients (APIs). 

Its range of technical products includes herbicides, fungicides, insecticides, and intermediates, while its formulations include a variety of products such as IPL Dollar, IPL Vardan, IPL Vecto, IPL Trim WG, IPL-Sodhit DS and more. Additionally, it offers active pharmaceutical ingredients like Anti-Fungal Drugs and Anti-Scabies Drugs.  

Looking for the Best Stocks in different sectors? Check out the following articles:

What are Agrochemical Sector Stocks?

Agrochemical sector stocks represent shares of companies involved in the production and distribution of chemicals used in agriculture. These substances include fertilizers, pesticides and herbicides, which help enhance crop yield, protect plants from pests and improve soil health.  

Investing in agrochemical stocks allows investors to tap into the agricultural industry’s growth, as global food demand continues to rise. Companies in this sector often experience fluctuating revenues based on crop prices, agricultural trends and regulatory changes, which can influence their market performance significantly.

Features Of Top Agro Chemical Stocks In India

The key features of top agrochemical stocks in India are primarily characterized by their critical role in supporting agricultural productivity through innovative solutions. These stocks benefit from government policies promoting sustainable farming practices, leading to consistent growth potential.

1. Robust Demand: Agrochemical companies experience steady demand due to their essential role in boosting crop yield, addressing pest control and improving soil health. This ensures long-term business sustainability in the Indian agricultural sector.
2. Government Support: Favorable government policies, including subsidies and incentives for agricultural innovation, drive growth in the agrochemical sector. These policies encourage research and development, improving the competitiveness of Indian agrochemical stocks.
3. Export Potential: India’s agrochemical sector has significant export potential, with companies expanding their presence in international markets. This not only diversifies revenue streams but also buffers against domestic market fluctuations, adding stability.
4. Research and Innovation: Leading agrochemical companies invest heavily in R&D to develop eco-friendly and advanced products. This focus on innovation ensures these companies remain competitive while addressing environmental concerns and evolving agricultural needs.
5. Strong Distribution Networks: Top agrochemical firms maintain strong distribution networks, reaching even the most remote agricultural areas. These networks are essential for timely product availability, which strengthens customer loyalty and enhances market penetration.

Agro Chemical Stocks Based on 6-Month Return

The table below shows the agrochemical stocks based on 6-month returns.

List of Agro Chemicals Stocks in India Based on 5-Year Net Profit Margin

The table below shows the list of agrochemicals stocks in India based on a 5-year net profit margin.

Agro Chemicals Sector Stocks Based on 1M Return

The table below shows the agrochemical sector stocks based on a 1-month return.

High Dividend Yield Agrochemical Stocks

The table below shows the high dividend yield agrochemical stocks.

Historical Performance of Top Agro Chemical Stocks NSE

The table below shows the historical performance of top agro-chemical stocks nse.

Factors To Consider When Investing in Agrochemical Stocks

The factor to consider when investing in agrochemical stocks is the overall growth of the agriculture sector. A thriving agricultural industry leads to higher demand for agrochemical products, which boosts revenue and stock performance.

1. Government Policies: Agrochemical stocks are influenced by regulations and subsidies. Favourable government policies promoting the use of pesticides and fertilizers can enhance profitability, while strict environmental regulations may increase operational costs, impacting stock performance.
2. Climate Conditions: Weather and climate play a significant role in agrochemical demand. Unpredictable weather patterns, such as droughts or heavy rains, can affect crop yields and increase the need for agrochemical products, benefiting companies in the sector.
3. Global Food Demand: Rising global food demand drives the need for agrochemical products to maximize crop yields. As populations grow and diets change, agrochemical companies benefit from the increasing requirement for fertilizers and pesticides to ensure food security.
4. Research and Development: Investment in R&D is crucial for agrochemical companies to stay competitive. Developing innovative products that are more effective and environmentally friendly can lead to a stronger market position, driving long-term stock value growth.
5. Raw Material Costs: The cost of raw materials, such as crude oil for pesticides, directly affects profit margins. Fluctuations in these input costs can significantly impact the profitability of agrochemical companies and consequently, their stock prices.

How To Invest In The Best Agro Chemical Stocks In India?

To invest in the best agrochemical stocks in India, research leading companies in the sector, evaluate their financials, and track market trends. Using a trusted trading platform like  Alice Blue, you can efficiently manage your investments and benefit from competitive brokerage rates for buying stocks in this growing industry.

Impact of Government Policies on Top Agro-Chemical Stocks

Government policies significantly influence the performance of top agrochemical stocks in India. Policies promoting agricultural growth, subsidies and rural development drive demand for agrochemicals, boosting stock values.

Regulations regarding environmental sustainability and the use of eco-friendly chemicals can also impact the sector. Stricter rules may increase production costs, affecting the profitability of leading companies.

Furthermore, policies supporting exports can create opportunities for agrochemical firms to expand globally. Favourable export regulations help companies grow their market share, positively impacting stock performance in the long term.

How Agrochemical Stocks Perform in Economic Downturns?

How do agrochemical stocks behave during economic downturns? Investors often wonder about the resilience of these stocks when faced with challenging economic conditions. Historically, agrochemical companies tend to exhibit stable demand because agricultural production remains essential, regardless of the economic climate. This consistent need can help shield these stocks from severe downturn impacts.  

Additionally, during economic slowdowns, farmers often prioritize cost-effective solutions for crop protection and yield enhancement, which may benefit well-established agrochemical firms. Consequently, while overall market volatility can be a concern, agrochemical stocks frequently demonstrate relative stability in turbulent times.

Advantages Of Investing In Agrochemical Stocks

The primary advantage of investing in agrochemical stocks is their essential role in modern agriculture. These companies produce chemicals that protect crops, ensuring higher yields, which leads to consistent demand, particularly in agricultural economies.

1. Growing Global Population: As the global population rises, food demand increases, driving the need for agrochemicals to enhance crop productivity. This sustained demand boosts the profitability of agrochemical companies and offers long-term investment potential.
2. Technological Advancements: Innovations in agrochemicals, such as eco-friendly pesticides and fertilizers, make these stocks appealing. Companies that invest in R&D for sustainable solutions benefit from growing environmental awareness, attracting investors focused on green initiatives.
3. Resilience to Economic Downturns: Agrochemical stocks tend to be less affected by economic cycles, as food production is a non-discretionary sector. This stability offers investors a reliable option during economic slowdowns, reducing overall portfolio risk.
4. Government Support: Many governments provide subsidies or incentives to agrochemical companies to ensure food security. This support creates a favourable business environment, enhancing profitability and attracting investors seeking stable, regulated growth sectors.
5. Export Opportunities: Agrochemical companies often benefit from international demand, especially in developing nations. As emerging markets continue to expand agricultural output, agrochemical exports increase, offering growth opportunities for companies with a global presence.

Risks Of Investing In Agrochemical Stocks

The main risk of investing in agrochemical stocks is the heavy reliance on weather conditions and environmental factors. Unfavourable weather patterns or climate changes can reduce crop yields, leading to a decline in agrochemical demand and stock performance.

1. Regulatory Changes: Agrochemical companies are subject to stringent regulations. Changes in environmental laws or restrictions on chemical usage can impact production costs, limit product lines and reduce profitability, affecting stock prices significantly.
2. Market Volatility: The agrochemical sector experiences high volatility due to fluctuating crop prices and agricultural demand. This can result in unstable stock prices, making it challenging for investors to predict returns and assess long-term performance.
3. Supply Chain Disruptions: Disruptions in the supply chain, such as raw material shortages or transportation delays, can affect production. This may increase costs and reduce profitability, negatively impacting stock prices in the agrochemical industry.
4. Global Competition: Agrochemical companies face intense competition globally. Competitors from regions with lower production costs can erode market share and put pressure on profit margins, making it harder for companies to maintain growth and stock value.
5. Technological Disruption: Advancements in agricultural technology, such as organic farming or precision agriculture, could reduce reliance on traditional agrochemicals. If companies fail to innovate, their products may become obsolete, leading to a decline in stock value.

Agro Chemical Stocks In India’s GDP Contribution

Agrochemical stocks in India play a significant role in boosting the agricultural sector, which is a key contributor to the country’s GDP. The agrochemical industry provides essential inputs like pesticides, herbicides and fertilizers that enhance crop productivity, ensuring a stable food supply and supporting rural livelihoods.

As agriculture contributes nearly 17-18% to India’s GDP, agrochemical companies indirectly strengthen this contribution by improving agricultural output. With a growing population and increasing food demand, the agrochemical sector remains crucial in driving India’s agricultural and economic growth.

Who Should Invest In Agrochemical Stocks?

Investing in agrochemical stocks offers unique opportunities due to the growing demand for agricultural productivity and innovation. These stocks appeal to investors seeking exposure to the agricultural sector, which benefits from global food security trends and technological advancements.

1. Long-term Growth Seekers: Those looking for steady, long-term growth may find agrochemical stocks appealing due to the sector’s essential role in increasing crop yields and improving farming efficiency.
2. Risk-Tolerant Investors: Investors with a higher risk tolerance can benefit from the volatility in agrochemical stocks, which often experience significant fluctuations based on agricultural cycles and regulatory changes.
3. Sustainable Investment Enthusiasts: Investors interested in sustainable and environmentally friendly technologies may find opportunities in companies developing eco-friendly agrochemicals, aligning with broader trends in sustainable agriculture.
4. Diversification Seekers: Investors looking to diversify their portfolios can gain exposure to the agricultural sector through agrochemical stocks, which often behave differently from other sectors like technology or finance.
5. Global Market Advocates: Those interested in global markets might invest in agrochemical stocks to capitalize on growth in emerging economies where agricultural development is rapidly advancing and creating new investment opportunities.

Top Agro Chemical Stocks in India – FAQs

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Disclaimer: The above article is written for educational purposes and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.