India’s agrochemical sector stands at a decisive crossroads, rich with promise yet burdened by regulatory, structural, and operational fault lines. Agrochemicals have long shielded crops from pests, diseases, and weeds. Yet, the industry remains mired in fragmented guidelines, substandard products, and lax post-registration oversight.

The way forward demands more than incremental fixes. It requires stronger policies, sharper regulations, and streamlined procedures. Equally, it calls for bold adoption of digital tools, blockchain, traceability platforms, and advanced monitoring systems, to build transparency, accountability, and trust.

Global best practices offer crucial direction. Independent third-party audits can plug systemic gaps. Focused skilling and training initiatives can professionalize the workforce and raise industry standards. Together, these steps can reshape the sector into a resilient and competitive force.

In an exclusive conversation with Rajeev Ranjan, Partner – Technology & Transformation and Food & Agribusiness, Deloitte Touche Tohmatsu India LLP, The Interview World examines these imperatives in depth. Rajeev outlines the challenges, highlights the opportunities, and underscores the technological interventions required to propel India’s agrochemical industry onto the global stage. The following insights capture the essence of his compelling vision.

Q: Could you share the key insights and major findings from your research on the agrochemical industry, and what implications they hold for the sector’s future?

A: What emerges clearly is this: India’s regulatory framework and existing policies have created critical gaps. These weaknesses appear in three areas: registration of agrochemicals, post-registration monitoring, and the unchecked presence of substandard products in the market.

Yes, India has made commendable progress in adopting agrochemicals to protect crops from pests, diseases, and weeds. Yet, progress alone cannot mask the shortcomings. The system still falters where oversight should be strongest.

Therefore, decisive interventions are imperative. Policy must be sharpened. Regulation must be enforced with rigor. Procedures must be streamlined to close loopholes and ensure accountability. Only then can the sector balance adoption with integrity, efficiency, and safety.

Q: What were the key data sources, methodologies, and inputs that shaped your in-depth research on the agrochemical industry?

A: We have drawn extensively from global experiences, studying how other countries and even adjacent industries tackle similar challenges. The lesson is unmistakable: India must streamline its regulatory maze. Today, nearly 47 separate guidelines govern the sector. This sprawling list must be consolidated into a concise, comprehensive framework: clear, practical, and enforceable.

Such reform cannot stand alone. It must be anchored in digital infrastructure. The CROP Portal has already been launched, while IPMS is in the proposal stage, and the government’s pesticide management system holds significant potential to transform regulatory oversight. By digitizing databases, they can give both central and state authorities a unified source of truth. This common platform would not only eliminate duplication but also enable effective use of information for risk assessment of both products and companies.

With risk-rating at the core, enforcement becomes smarter. Sampling from markets can be prioritized. Audits at manufacturing plants can be scheduled more strategically. In essence, oversight shifts from reactive to predictive, targeting interventions where they matter most.

This integrated approach, streamlined guidelines, supported by digital traceability and risk-based monitoring, can bridge systemic gaps and drive accountability across the agrochemical value chain.

Q: How are emerging technologies shaping the usability and adaptability of the agrochemical industry?

A: Technology and digitization now play a decisive role in ensuring product traceability across the agrochemical market. The seed industry already offers a proven model. QR codes are actively used to track authenticity and movement. The agrochemical sector can adopt the same with equal effectiveness.

Looking ahead, blockchain technology can take traceability even further. By creating tamper-proof, transparent records, it can guarantee accountability at every stage of the supply chain. Together, these tools can transform oversight, restore trust, and safeguard farmers from counterfeit or substandard products.

Q: What mechanisms are in place to enable independent auditing of this system by third-party auditors, and how can its integrity be ensured?

A: Third-party audits can play a pivotal role in strengthening oversight. Today, more than 3,000 manufacturers remain registered in India, even after the Central Insecticides Board (CIB) completed its KYC process. Auditing such a vast number of facilities is far beyond the capacity of existing mechanisms. It demands a large, coordinated ecosystem and a pool of trained professionals.

This is where third-party audits become indispensable. By leveraging independent expertise, the system can expand its reach, ensure compliance at scale, and uphold quality standards across the manufacturing landscape.

Q: How is skilling and training being addressed for agrochemical professionals involved in the process, and what initiatives are in place to build their capabilities?

A: Existing inspectors must undergo continuous upskilling and training to remain effective. Currently, both central and state laboratories lack the capacity to conduct the volume of testing required within reasonable timelines. This shortfall undermines timely oversight and compromises quality assurance.

Addressing this gap demands robust investment in infrastructure. Laboratories must be modernized, equipped, and expanded to meet regulatory needs. Simultaneously, inspectors need sustained training programs to ensure they can leverage new technologies and protocols effectively. Strengthening both human and institutional capacity is essential for a credible, efficient, and accountable agrochemical ecosystem.

Q: What specific interventions or policy measures are needed from the government to strengthen the agrochemical industry’s indigenization?

A: When it comes to “Make in India,” targeted government support is crucial, particularly through the Production-Linked Incentive (PLI) scheme for select chemical families. In comparison to China, India currently lacks cost competitiveness in these critical molecules. Yet, these chemicals are vital for Indian farmers and the broader agricultural ecosystem.

To achieve self-reliance, India must strategically support domestic production in these chemical segments. Such intervention not only strengthens the supply chain but also creates an opportunity to expand India’s global agrochemical market share, which today hovers around 10%. With focused government backing and decisive industry action, India can realistically aim to capture 20% of the global market, mirroring the success achieved in the pharmaceutical sector.

This approach combines industrial policy with strategic incentives, empowering local manufacturers, securing essential inputs for farmers, and positioning India as a global leader in agrochemicals.

Digital Transformation and Policy Interventions Can Bolster India’s Agrochemical Industry – Deloitte Report
Digital Transformation and Policy Interventions Can Bolster India’s Agrochemical Industry – Deloitte Report

1 Comment

  • This made me rethink some of my assumptions. Really valuable post.

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