Enhancement of crop production can only be achieved by using quality agricul ture inputs which can transform agriculture, improve farm productivity, achieve food security and bring environmental sustainability. The global seed market is expected to expand as demand for food will grow on the back of a growing world population. The seed market worldwide has seen a significant shift in farming practices where farmers are increasingly buying commercially produced enhanced seed varieties as against using seeds from the last harvest due to advantages of higher yield, improved nutritional quality, reduced crop damage and better disease resistance. The Indian seed industry has undergone significant restructuring due to support from the government over the last many years. A rapid advancement in seed technology has strengthened the seed industry in the area of research and development, supply chain management and quality assurance. A growing food grain production in the country is due to rising disposable income, commercialisation of agriculture and growing awareness among farmers regarding the use of certified seeds. Cotton, vegetables and maize hold the maximum share of revenue among crops with large-scale adoption of BT cotton seeds being the driving force behind the share of increasing cotton cultivation. On the other hand, vegetables and maize contribute a decent share and also witness high hybridisation and seed replacement values. Irrigation is an area of major concern in our country driven by depleting water levels and uneven rainfall. Hence, there is a growing demand for mechanised irrigation systems that can address farm water needs. Solutions like sprinkler and drip irrigation systems are likely to drive the growth in this segment over the years. Fertilisers are an important agricultural input for maximising yields and improving fertility and have played a key role in the success of India’s green revolution and self-reliance in food grain production. India is the world’s second largest consumer of fertilisers. The bio-stimulant and nutrient market plays a crucial role in crop nutrition and is used to increase crop yield, bring efficiencies in water consumption and enhance crop quality. Crop protection chemicals play a major role in increasing agriculture productivity by reducing plant diseases, weeds, and other pests that damage agriculture crops. Crop protection comprises of insecticides, fungicides bio pesticides and herbicides .There are immense opportunities for the Indian market with China shutting down capacities and many agrochemicals going off-patent in the next few years. Tropical climatic conditions and high production of paddy, cotton, sugarcane and other cereals should also drive consumption of insecticides in the country. Meanwhile, the government is also looking to double farmers’ income by 2022 and working towards addressing necessary needs across the agri-value chain. Rallis India is India’s largest agro chemical company and a part of the Tata Group. The Rallis stock is quoting at Rs 234 on the Indian bourses and analysts are betting on the stock to appreciate by 15% in the next five months’ time frame.
Rajiv Kapoor is a share broker, certified mutual fund expert and MDRT insurance agent.