CropLife 100: Fungicides Trending Up

Goss Wilt Corn

Although no ag retailer would characterize it this way, the crop inputs marketplace is much like a race. Each year, the various input categories inevitably vie for a finite amount of grower-customer dollars. In some years, all categories enjoy value growth (as they did in 2010). Still, even in these years, some categories don’t keep pace with overall market growth and lose market share. It seems these racers are also one or two steps behind the rest of the pack.

In 2010, the runner behind position was held by the crop protection product category. For the year, according to CropLife 100 survey responders, crop protection sales did improve 3% to $6.6 billion. But, since this rate of growth lagged behind the overall market’s of 9%, crop protection once again saw its share of total revenues fall, down 2% to 32%.

For those observers that closely follow the fortunes of the crop protection market, this turn of events has become the norm. During the early years of the 21st century, the category was the dollars leader among CropLife 100 retailers for crop inputs. In fact, as recently as 2002, the crop protection product category accounted for almost half of all crop inputs/services sales at 49%.

Since that high-water mark, however, market share for the category has been on a slow, but steady, decline. Fertilizer finally surpassed crop protection as the top earning crop input/service category in 2006. And it’s been downhill from there. Whereas $1 out of every $2 spent by grower-customers at the ag retail level went to buy crop protection products back in the early 2000s, this number has dropped to less than $1 out of every $3 spent today.

Fun For Fungicides

If there has been an exceptional bright spot for the crop protection category recently, it would be the performance of the fungicides segment. Traditionally, fungicides have tended to lag behind its herbicide and insecticide in terms of market performance and awareness.

But that has changed in recent years. Thanks to heavy promotion of plant science and preventive application by crop protection manufacturers, the fungicides segment has enjoyed steady growth the past few seasons. For example, in the 2009 CropLife 100 survey, 46% of respondents said that their year-over-year fungicides sales had improved 1% to 5% from 2008.

The news was even better in 2010. According to this year’s survey, 62% of respondents saw increased fungicide sales. Better still, only 22% reported a sales loss in this segment, down by half from the 2009 survey.

The reason for this growth seems to tie back to increasing grower-customer awareness on the benefits of preventive fungicide use. When our survey asked respondents to characterize their customers’ attitudes toward preventive fungicide use on corn and soybeans, 15% said they understand the benefits of such a program and actively seek application work for it. Another 47% said that their grower-customers understand these benefits, but still need an “aggressive sell” from retailers to actually sign up for fungicide application work. Only 5% of respondents indicted their customers still didn’t understand or appreciate the benefits of preventive fungicide application.

For the herbicides segment, the news in 2010 was much worse. In the 2009 CropLife 100 survey, a sizable 68% of respondents said their herbicide sales for the year were up 1% to 5%, with another 22% reporting a sales decline. In 2010, however, only 36% of ag retailers saw their herbicides revenue improve. The majority, 46%, had sales decreases of 1% to 5%.

For this segment, the drop in glyphosate prices that occurred during 2009 could be negatively impacting the numbers. Or it could be that the growing glyphosate resistance problem isn’t as widespread as believed. When CropLife 100 retailers were asked to describe weed resistance in their regions of the country, only 30% said it was a major problem. The majority, 44%, described it as only “a minor problem” in their territories. Thirteen percent of respondents said glyphosate resistant weeds were not a problem at all.

In the final crop protection segment, insecticides, 2010 looked a whole lot like 2009. In both years, 42% of CropLife 100 retailers said their insecticide sales increased 1% to 5%. The only change was that 33% reported a sales decrease in 2010, whereas the figure for 2009 was 35%.

Leave a Reply

Fungicides Stories

FungicidesSudden Death Syndrome, Brown Stem Rot Reported In Indiana Soybeans
September 3, 2014
Farmers and retailers should be watching for symptoms of these two diseases over the next few weeks as they are best managed through preventative methods. Read More
FungicidesResearchers Target Soybean Disease With Genetic Resistance Study
August 6, 2014
University of Illinois researchers will share new information on controlling sudden death syndrome through genetic resistance at this year's Agronomy Day. Read More
Soybean field
FungicidesValent Launches New Seed Protection Fungicide For Soybeans
July 16, 2014
The INTEGO SUITE System contains the first new, novel seed protection fungicide chemistry registered in 30 years by the EPA for protection against Pythium and Phytophthora. Read More
FungicidesNew Players May Make Pest Headlines In Corn, Soybean
April 1, 2014
The usual insects and diseases took a bit of a break in 2013, but other culprits surfaced — and could return. Read More

Trending Articles

Equipment2014 Product Of The Year Voting
September 19, 2014
Many new products were introduced to the ag retail marketplace this year. From this group, CropLife IRON and its consulting partners have selected five finalists for the Product of the Year award. Please cast your vote today to help us determine the winner. Read More
FertilizerFall Fertility 2014: Forecasting Fertilizer Use
September 7, 2014
Great crops this year have tapped the soil, and fall work is definitely called for, but how challenging will that get? Read More
CropLife 100CHS To Build $3 Billion Fertilizer Plant In North Dakota
September 5, 2014
The fertilizer plant in Spiritwood will be the single largest investment in CHS history, as well as the single largest private investment project ever undertaken in North Dakota. Read More
EquipmentNew Holland Acquires Miller-St. Nazianz
September 3, 2014
The assets of Miller acquired as part of the transaction will become part of New Holland Agriculture, a CNH Industrial brand, building on a successful four-year partnership between the two companies. Read More
CropLife 100Pinnacle Acquires East Kansas Chemical
September 2, 2014
Ranked 82nd on the CropLife 100, East Kansas Chemical will operate as part of Pinnacle's Performance Agriculture brand. Read More
MAGIE 2014 ShowStopper
EquipmentJohn Deere Again Wins MAGIE ShowStopper Award
August 25, 2014
For the second consecutive year, John Deere was honored at the Midwest AG Industries Exposition (MAGIE) for its new R4045 sprayer. Read More

Latest News

FertilizerFertilizer Outlook And Technology Conference Set For No…
September 30, 2014
Conference participants can expect to gain perspective on the outlook for agriculture and major fertilizer materials and inputs from industry experts. Read More
MicronutrientsVerdesian Acquires Micronutrient Supplier
September 30, 2014
Verdesian Life Sciences has acquired QC Corp., a producer and supplier of granular and dry micronutrients and ferrous sulfate products. Read More
Eric SfiligojHearing From Young Ag Voices
September 30, 2014
Potential future leaders in ag retail had the chance to shine at the recent Mid America CropLife Association meeting. Read More
Crop InputsSyngenta Appoints New Chief Operating Officer
September 29, 2014
Jon Parr will succeed retiring COO John Atkin at the end of the year. Read More
CropLife 100South Dakota Wheat Growers To Add Grain-Agronomy Facili…
September 26, 2014
Planned to be constructed in Kennebec, the facility will be located along the soon-to-be rehabilitated line of heavy-rail service from Chamberlain to Presho. Read More
CropLife 100GROWMARK Announces Vice President Appointments
September 25, 2014
Two individuals have been appointed Vice President positions on the GROWMARK executive team. Read More
FertilizerFertilizer Industry Organizations Join Global Alliance …
September 25, 2014
The Fertilizer Institute, the International Plant Nutrition Institute and the International Fertilizer Industry Association are encouraging the industry to promote the proper use of fertilizer products to minimize their environmental impact. Read More
Precision AgARA Organized Precision Forum Hits Capitol Hill
September 24, 2014
The Coalition for the Advancement of Precision Agriculture (CAPA) hosted its inaugural Precision Ag Forum, Sept. 18, in Washington, D.C. Read More
FertilizerFactors To Consider When Placing Fertilizer With Seed
September 24, 2014
The type of crop, fertilizer source, row spacing and soil environment all affect how much fertilizer can be safely applied with seed. Read More
FertilizerSidedressing Manure Into Corn Has Promising Results
September 24, 2014
Applying manure to growing crops can boost yields, reduce nutrient losses and give livestock producers another window of time to apply manure to farm fields. Read More
FertilizerWhen To Sample Manure For Analysis
September 24, 2014
Because the goal is to collect a sample that represents the manure actually being applied, the best time to sample is during loading or field application. Here's why. Read More
Syngenta
Seed/BiotechSyngenta Faces Second Lawsuit Over Agrisure Viptera Cor…
September 23, 2014
A second company has sued Syngenta AG over sales of genetically modified corn seed not approved by China. Read More
StewardshipCover Crops Field Guide For Farmers Expanded
September 23, 2014
Farmers interested in planting cover crops to improve soil health now have an updated and expanded resource in the second edition of the Midwest Cover Crops Field Guide. Read More
HerbicidesArysta LifeScience Launches Contest For Wheat Growers
September 23, 2014
The Flush after Flush Photo Finish contest encourages farmers across the U.S. to participate through Instagram or Twitter using the hashtag #FlushAfterFlush. Read More
FertilizerCF Industries Confirms Merger Of Equals Discussions Wit…
September 23, 2014
CF Industries Holdings, Inc. has confirmed that it is in preliminary discussions with Yara International regarding a potential merger of equals transaction. Read More
StewardshipProgram To Examine Ag-Related Practices, Policies To Pr…
September 22, 2014
A panel discussion on October 14 will include a significant discussion on key issues and solutions related to all aspects of harmful algal blooms. Read More
Eric SfiligojIt’s Product Of The Year Voting Season
September 22, 2014
Readers of CropLife IRON will choose 2014’s best new product over the next month. Read More
Palmer pigweed in soybean stubble
HerbicidesValent To Discontinue Gangster Herbicide
September 22, 2014
Valent will discontinue Gangster Herbicide after the 2015 growing season as growers can now deploy Fierce XLT herbicide in soybeans. Read More