Pesticide. Indian Pesticides Industry. Steel. Pesticides. otel. The. Tractor. oal. nking Express Service. Shipping. Wheeler Tyre.

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1 inum Banking Cement Cotton & Cotton Ya Construction Educat Chlor-Alkali CRAMS Crude Oil Gems & J Natural Gas Pipe Telecom-Wireless Power Gener anganese Ore Pharmaceutical Refining & Marketing ight Transport Commercial Vehicle omponent Business Process Management (BPM) arel oal Shipping Wheeler Tyre ble Energy Sources Renewable Energy Sources Two Wheeler n Made Fibre Paper Housing Finance Passenger Vehicl Hospital Roads & Highways Zinc & L Shipbuilding Aluminum nking Express Service Steel Two Wheeler Gems & Jewellery Express Service Cr Passenger Vehicle CRAMS otel ads Freight Transport ed December 2013 Sugar Tractor Reta Telecom Tower Seed Steel Cotton & Cotton Yarn Tracto Pesticide Natural Gas

2 Rising population along with limited area for cultivation has put enormous pressure on the agriculture sector in the country to provide food for population. India has around 140 million hectares of gross cultivable land of which about 50 million hectares of land is sowed twice during the year (Kharif and Rabi seasons). Over the years, farmers have learnt modern techniques of farming which has led to increased dependence on chemicals to enhance crop production. (a widely used crop protection product) are one of the major inputs that have significantly contributed to increase in the agricultural output to ensure food security. During FY08-FY13 period, the domestic pesticide market (in volume terms) has grown at a CAGR of about 5 per cent. Focus towards increasing usage of farm produce would continue to boost pesticides demand in near to medium term Favourable rainfall this fiscal fuelled rise in gross sown area and thereby aiding growth in pesticides demand In India, agriculture continues to remain significantly influenced by rainfall, inspite of various projects for water distribution taken by central government as well as various state governments since independence. quantum of rainfall, its timing and geographical distribution are key for the success of agriculture season in India. For example delay in arrival of rains and sluggish south-west monsoon led to below par rainfall in India last fiscal. As more than 2/3rd of the pesticides is consumed by kharif crops, (especially cotton, rice, etc.), impact on kharif crop production due to sluggish rainfall in FY13, pulled down the pesticides consumption by around 6 per cent. Nevertheless, FY14 has been encouraging for kharif production as the rainfall levels across all the key agriculture states has been healthy. Conversely to the global average where herbicides are the dominant segment, crop protection market is dominated by insecticides. Due to climatic condition and crop type, India is more prone towards insect attack. Further easy availability and ignorance amongst farmers, as they use insecticides for all kinds of crop problem made insecticides most demanded product in the domestic crop protection industry. However, rising popularity of genetically modified crops and increasing usage of IPM techniques during the last 3-4 years has fueled structural changes in the domestic pesticides industry. CARE Research believes increasing awareness about different crop infectivity and availability of remedies for specific problem has led to increasing usage of different crop protection products like fungicides, herbicides, weedicides, etc. Emerging crop protection techniques aiding to structural changes in industry Exports will continue to provide cushion to the pesticide industry During FY08 - FY13 period, exports of pesticide from India grew at a CAGR of around 8 per cent in volume terms. In FY13, pesticide exports from the country were estimated at about 110,000 tonnes. This gradual rise in the exports can be mainly attributed to gradual shift in the production base of high pollutant chemicals from US and European countries to developing countries in Asia. Further, successful absorption and development of new process technologies in many pesticides products, coupled with inherent low cost advantage, India become one of the major producing countries of pesticides in the world in last few years.

3 Outlook on Domestic pesticide market growth Table of Contents Section- I CARE Research's Outlook Benefit of healthy rainfall on the pesticide consumption Pesticide categories which will drive consumption growth Investments in industry towards capacity expansion Growth prospects of industry topline and key profitability indicators Basics Basic understanding on pesticides Classification of pesticides structure A brief understanding on bio-pesticides Demand Drivers Overview of agriculture Overview of pesticide industry Shifting consumption pattern in the industry Overview on global crop protection market Alternative Techniques of Crop-Protection Integrated Pest Management Biopesticides Genetically Modified Crops Government Regulations Regulatory Framework Trade Scenario Overview on exports growth Key exports destinations Segmental mix in exports Overview on imports growth Segmental mix in imports Cost and Margins Cost analysis Margins Section- II Section United Phosphorus Ltd. Rallis India Ltd. Bayer Crop Science Ltd. BASF India Ltd. Porters Five Force Model SWOT Analysis SECTION- III Company Scan Section- IV Annexures

4 Outlook Registration Process Insecticides registered under section 9 of the Insecticide Act, 1968 List of pesticides/pesticide formulations banned in India List of pesticides restricted for use in India Pesticide restricted for use in India refused for registration Types of pesticides & pests they control Area under use of chemical and biopesticides in India Expected pesticide capacity addition in India MRL value of pesticides on food commodities Comparison between overall pesticides consumption and consumption per hectare for key states Information on production share and utilization levels of key pesticides products Key financial indicators Basics Demand Types of formulations Comparison between chemical pesticides and biopesticides State wise pesticides consumption (in tonnes) Alternative Techniques of Crop-Protection Biopesticide registered for usage Consumption of Biopesticide in India State wise acreage under BT cotton Cost and Margins Top Players: Raw Material Cost as % of Sales List of Tables Section- I CARE Research's Outlook Section- II Section Top Players: Selling and Distribution Cost as % of Sales Top Players: Employee Cost as % of Sales Table of Contents Outlook Outlook on domestic pesticides consumption (Technical grade) Trend in rainfall and its influence on pesticides consumption Trend in segment wise pesticides production Trend in area under cultivation for conventional cotton and BT cotton crop Outlook on pesticides exports (Technical Grade) Outlook on industry revenue List of Graphs Section- I CARE Research's Outlook

5 Demand Trend in sector wise GDP contribution Trend in food grains production Trend in pesticides production Segment wise current consumption estimates Segment wise share in pesticides production Table of Contents Crop wise estimated consumption of pesticides Section- II Section Estimated crop-wise current consumption of insecticides Estimated crop-wise current consumption of herbicides Estimated state wise current consumption of herbicides Estimated crop-wise current consumption of fungicides Estimated state wise current consumption of fungicides Trend of global crop protection market Global agrochemical market Alternative Techniques Of Crop-protection Insecticide usage for cotton as percentage of total Consumption of Bio-pesticide in India State wise acreage under Bt cotton Consumption of Bio-pesticide in India Cost and Margins Raw Material Cost as % of Sales Selling and Distribution Cost as % of Sales Employee Cost as % of Sales Trend of aggregate sales, PBIDT Margin and PAT Margin Pesticide

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