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PANUPS: Global Market Grows



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                         P A N U P S
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                   Pesticide Action Network
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March 17, 1997

Global Pesticide Market Grows in 1996

According to a recently released report, global agrochemical 
sales grew by 5.5% to US$30,560 million at the end-user 
level in 1996. Growth in real terms is estimated to be 
approximately 2.2% when the effects of inflation and 
currency factors are taken into consideration. This is the 
third consecutive year that sales have risen. Sales 
increased 4.3% and 5.1% in real terms in 1995 and 1994 
respectively. Pesticide sales data is compiled annually by 
Allan Woodburn Associates, consultants based in Edinburgh, 
Scotland.

Latin America had the largest increase in sales -- a 16% 
increase in dollar terms, accounting for one third of global 
sales growth. Latin America accounted for 10.4% of global 
agrochemical sales in 1996, up from 9.4% in 1995. Much of 
this growth was due to higher sales in Brazil and Argentina. 
The value of Argentina's pesticide imports was up over 12% 
in 1996, which amounted to a 34% increase in volume.

North America continues to be the world's largest regional 
market and increased 6.8% to US$8,856 million in 1996. 
Growth of agrochemical sales in this region have increased 
an average of about 6% per year during the 1990s. The non-
crop pesticide sector which grew by 11% accounted for the 
largest part of the increase. Sales of agricultural 
pesticides increased by approximately 6%, with herbicide use 
increasing by 10%.

Western Europe accounted for over 26% of world agrochemical 
sales in 1996. Annual pesticide sales in Western Europe have 
increased from approximately US$3.7 million in 1985 to 
US$7.6 million in 1995. Substitution of older active 
ingredients with newer, lower dose products has helped to 
maintain profits while volume sales have dropped in many 
countries.

Pesticide sales in Japan dropped 2% (in Yen) in 1996. The 
market in other Asian countries, however, continued to grow, 
most notably in China and South Korea.

Woodburn Associates predict that the global agrochemical 
market will increase an average of 1.6% per year in real 
terms over the next five years to approximately US$33,150 
million in 2001 (in 1996 dollars).

World agrochemical sales by region in 1996

Asia                 24.5%
Latin America        10.4%
North America        29.4%
Western Europe       26.2%
Rest of world         9.5%

Source: Agrow: World Crop Protection News, December 13, 
1996, February 14 and February 28, 1997.
Contact: PANNA

  
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