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Aarti Industries shares jumped over 5% after the company secured a $150 million (about ₹1,200+ crore) multi-year contract with a global agrochemical firm.
About the deal: the company will manufacture a key ingredient used to make crop-protection chemicals. These chemicals help farmers protect crops from pests and diseases. The contract runs till 2030 and will gradually increase supply volumes.
Why it matters: India’s agriculture sector contributes around 15–17% of India’s GDP and supports nearly 45% of the country’s workforce.
But crop losses from pests, diseases, and weeds remain a big challenge. According to estimates from the Food and Agriculture Organization (FAO), pests and diseases can destroy 20–40% of global crop production every year.
Crop-protection chemicals help farmers protect crops like rice, wheat, cotton, and vegetables from insects, weeds, and fungal infections, improving yields and stabilising farm income.
Zoom out: India’s agrochemical market is worth about $6–7 billion, but it is expected to grow to $10–12 billion by 2030 as food demand rises and farming becomes more intensive. At the same time, India has become a major global supplier of agrochemical ingredients, exporting products to more than 120 countries.
