Argo-Chemical Industry Can Grow Past 9%, Chinese Competition Not Hard To Surpass: Niti Aayog Member

Niti Aayog member Ramesh Chand highlighted that India's exports have crossed $5 billion and even surpassed China, according to different data sources.

The Niti Aayog member said despite economic and production disruptions, the domestic agrochemical industry had shown impressive growth between 2017-18 and 2022-23. 

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Niti Aayog member Ramesh Chand said India's agro-chemical industry has the potential to grow more than the current 9 per cent notwithstanding the competition from China. The Niti Aayog member speaking during the sixth annual general meeting of the Agro Chem Federation of India (ACFI) on Wednesday said despite economic and production disruptions, the domestic agrochemical industry had shown impressive growth between 2017-18 and 2022-23. 

"The agrochemical industry has achieved a miracle growth of 9 per cent... much of this growth rate has happened during the Covid-19 pandemic years when the production activities were seriously disrupted," he said, as reported by PTI.

Chand highlighted that India's exports have crossed $5 billion and even surpassed China according to different data sources. If India can achieve a 9 per cent growth rate in the absence of a favourable China factor, the China competition is not as hard as it was in the past, he said.

"We can easily raise this growth rate from 9 per cent to anything in the realm of reality," he added.

Further, the member of the government think tank Niti Aayog asked the industry leaders to come out with a document on the ease of doing business.

As per the report, he highlighted that many Western countries are shifting from agrochemicals to biopesticides, something the domestic industry needs to pay attention to. 

"I have seen it in many countries. The Netherlands hardly sells any agro-chemicals. The entire West is going in that direction. I think in the long run this (Indian) industry is required to pay attention to this aspect," he said.

To boost exports, he said Indian companies should prioritise responsible business practices aligned with Environmental, Social, and Governance (ESG) principles. The agrochemical industry should innovate to reduce pollution and create a document outlining business-friendly compliance procedures, he noted.