India’s agrochemical industry is set to take a big leap in the next four years! Yes, you heard it right. According to a new report, agrochemical exports could cross Rs 80,000 crore if the government gives the industry a little more support.
What is the whole matter?
According to a recent report by Agro Chem Federation of India (ACFI) and EY, India is already a big exporter of agricultural chemicals. Last year itself, the country had sent agricultural chemicals worth Rs 43,223 crore abroad. But the report says that if the government takes some special steps, then this figure can increase even more.
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- Making licensing easier: The government needs to simplify the process of obtaining a license.
- Improvement in infrastructure: Better infrastructure is needed for storage and sales.
- Promotion of bio-pesticides: Organic fertilizers and pesticides will have to be promoted.
- Easier registration for new molecules: The process for bringing new types of agrochemicals to market needs to be simplified.
- International trade agreements: Trade agreements will have to be made with other countries.
- Investment promotion: The government will have to come up with more schemes to attract foreign investment.
- Reducing GST: The GST on agrochemicals should be reduced.
Why is it so important?
- Agricultural production: Agrochemicals help in increasing the yield of crops.
- Employment: This industry provides employment to lakhs of people.
- Economic growth: Export of agrochemicals strengthens the economy of the country.
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What are the challenges?
- Dependence on generic molecules: India is mostly dependent on old types of agrochemicals.
- Low consumption: Indian farmers still use agrochemicals in small quantities.
- Dependence on imports: India still has to buy many agrochemicals from other countries.
Way forward
ACFI believes that if the government addresses these challenges, India can become the largest producer and exporter of agrochemicals. This will not only increase the income of farmers but will also strengthen the country’s economy.
