UK agrochemical market to increase at a CAGR of 1.1% through 2018-19

Press Release   •   Aug 19, 2013 12:21 BST

The UK agrochemical market has been forecast to increase at a compound annual growth rate (CAGR) 1.1% over the next five years, rising from a value of £1.1 billion in 2013-14, to reach a total of £1.2 billion in 2018-19.

The United Kingdom agrochemical manufacturing industry has been prevented from coming a cropper by dependable downstream agriculture over the past five years.

Chemical pesticides are an integral part of the UK's agriculture sector, boosting production and productivity. Over the years, the use and importance of pesticides has increased gradually, while the industry's product profile has evolved in line with technological advancements and changing land use.

Producers have strengthened product ranges by providing intricately targeted options that treat specific crops and pests. The performance of the industry relies on a range of factors, the most important of which has historically been the level of agricultural output and income.

Over the past few years the parameters of the regulatory framework governing the operating backdrop of the industry have become more and more encompassing, and are now having a significant effect on industry performance.

Increasingly stringent restrictions have led to the removal of a large number of active ingredients available for use in the UK crop protection market, a development that is expected to continue.

This has had marked implications for industry participants, as have the escalating costs associated with bringing new active ingredients to market.

Over the next five years, similar variables will affect the industry and restrain growth. Consolidation will be the mark of this mature industry, and regulation and public concern surrounding pesticides will intensify. This combination is expected to yield a more subdued rate of growth.

For more information on the UK agrochemical market, see the latest research: UK Agrochemical Market

Follow us on Twitter @CandMResearch issues news updates and report summaries covering all major industries and sectors. The service provides additional client monitoring and timely alerts to breaking industry and sector news leading the day's business headlines. News articles, written by our staff, contain additional analyst insight, providing value added insight for our readers. News updates and real-time alerts on newly-released market reports are also available from our Facebook page, Twitter feed @CandMResearch and RSS links. We also welcome inquiries from business journalists and the news media.