Report: Crop Protection Industry Sales Remain Strong In 2013

Affected by prolonged rainfall, weed resistance issues and higher manufacturing costs, the U.S. crop protection industry remained strong in 2013, posting an 8.2% increase over the previous year. Net manufacturers’ sales within the crop protection industry total $9.2 billion, according to the recently published Crop Protection Manufacturers Report: A Strategic Market Analysis of the U.S. Crop Protection Industry by worldwide consulting and research firm Kline & Co.

In anticipation of a healthy planting season, corn growers purchased high inventories of herbicides but excessive spring wetness in the Corn Belt and throughout the country caused almost 2 million acres to remain fallow and deferred spring planting, forcing some corn growers to switch to short maturity soybean varieties. The wet conditions reduced insect pressure, causing the insecticide segment to decline at a double-digit percentage while promoting disease pressure and modestly increasing fungicide sales. However, many growers halted or did not start fungicide applications as the wet weather was soon replaced by the summer time droughts. The plant growth regulators segment declines slightly as it heavily targets the cotton markets where acres planted decrease almost 16% in 2013.

“The wet weather conditions were ideal for growers to utilize the value of seed treatments. The feedback from growers planting treated seed was that they saw very good control when faced with additional pressure from disease and insects,” comments Joseph Prochaska, Project Manager at Kline’s Agriculture and Specialty Pesticides Practice. “Both Bayer and Syngenta saw excellent market share gains as their recent product introductions performed very well during the year.”

“With high commodity grain prices still warranting maximum crop production, major crop acres planted during the year declined just 1.2% from the previous year. Despite the decline in planted acres, growth within the crop protection market came in part from factors outside of planted acres,” adds Prochaska. The major growth drivers included weed resistance issues, increased prices due to higher manufacturing costs and major research-based manufacturer leverage of integrated strategies within its seed business. As a result of weed resistance issues and higher manufacturing costs, the industry witnesses glyphosate prices climb from an average of $9.50 per gallon in 2012 to $11.50 per gallon in 2013.

While the growing biological market within crop protection remains a hot topic of discussion, it has been pushed aside by the weed resistance problems that continued to persist in 2013. Consequently, herbicide use rate applications grew 10-20% to combat resistant weeds. According to the report, growers are formulating their own mixtures and looking for new and innovative solutions from manufacturers to target resistant weeds. As a result, manufacturers are developing new formulations with multiple modes of action and products that combine with new herbicide-resistant traits that aim to combat this persistent problem. Strategic alliances and partnerships are being formed for development of these new formulations that can best solve the resistance issue.

Kline’s Crop Protection Manufacturers Report covers the 2013 marketing year for the U.S. crop protection industry. The study provides an extensive review of the sales and trends affecting the crop protection chemical industry along with extensive profiles, including individual product sales, of the leading 20 companies which supply over 97% of the total industry sales.

Kline will be hosting a complimentary Webinar on key findings from the Crop Protection Manufacturers Report: A Strategic Market Analysis of the U.S. Crop Protection Industry on Wednesday, June 4, 2014 at 9 a.m. ET. Register for the event here.

Topics: ,

Leave a Reply

Crop Inputs Stories
Crop InputsPlatform Specialty Products To Acquire Arysta LifeScience
October 20, 2014
Once the acquisition is complete, Platform Specialty Products will combine Arysta LifeScience with previously acquired companies Agriphar and Chemtura Crop Solutions. Read More
MicronutrientsMicronutrients Going Macro
September 9, 2014
Between 2014’s fantastic growing conditions and a heightened awareness on plant nutrition, the major players in micronutrients are gearing up for another big year. 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
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
Top 100 Articles
CropLife 100Cooperative CHS Returns $518 Million To Owners
February 23, 2015
The 2015 cash return to owners is based on CHS net income of $1.1 billion, the company's second highest on record. Read More
corn field
CropLife 100The Andersons’ Humic DG Now Available In Canada
February 13, 2015
The Andersons, Inc. Turf & Specialty Group has announced its Humic DG product is now available to customers in the Canadian turf, agriculture and horticulture markets. Read More
Farmer on tablet
CropLife 100Southern States Co-op: An Inside Look At Our Aerial Imagery Program
February 8, 2015
Now is as good a time as any to explore the basics of what a retail aerial imagery program looks like today. Read More
CropLife 100Wilbur-Ellis Inks Satellite Imagery Agreement
February 3, 2015
Wilbur-Ellis Company has reached an agreement with Planet Labs to bring satellite imagery to the AgVerdict software platform. Read More
CropLife 100The Andersons Starts Venture Capital Subsidiary
January 26, 2015
The Andersons has established Maumee Ventures, a venture capital subsidiary designed to foster promising innovations that strategically align with the company’s core businesses. Read More
CropLife 100CHS Partners With Northern Partners Coop On Fertilizer Warehouse
January 21, 2015
In addition, the two companies will form a joint venture to build and operate a grain barge loading facility that will handle corn, soybeans and wheat for export through the CHS terminal at Myrtle Grove, LA. Read More
Latest News
Luckey Farmers, Inc.’s Berkey Farm Center
Industry NewsLuckey Farmers’ Berkey Branch Certified In 4R Nut…
February 26, 2015
The 4R Nutrient Stewardship Certification Program has announced Luckey Farmers Inc.’s Berkey Farm Center in northwest Ohio has been added to its growing list of nutrient service providers to achieve certified status. Read More
Crop InputsWinField Unveiling NutriVision Technology, Ascend Dry F…
February 24, 2015
New for 2015 are NutriVision Technology, a unique tool for monitoring in-season plant nutrient availability, and Ascend WSG plant growth regulator, a new dry formulation of Ascend plant growth regulator. Read More
FertilizerNew Formulation Of NutriSphere-N Protects High Volume U…
February 24, 2015
Verdesian Life Sciences is launching NutriSphere-N HVTM, a new polymer formulation of the proven NutriSphere-N Nitrogen Fertilizer Manager that protects high-volume applications of UAN. Read More
EquipmentIowa Ag Secretary Northey Names Hagie Water Quality Lea…
February 24, 2015
Iowa Secretary of Agriculture Bill Northey has named Hagie Mfg. as a recipient of the Secretary’s Water Quality Initiative (WQI) Leader Award. Read More
FungicidesEvito Fungicide Gives Canadian Wheat Growers New Diseas…
February 24, 2015
EVITO fungicide from Arysta LifeScience North America gives Canadian wheat and barley growers a new option for disease control. Read More
Eric SfiligojThe Commodity Classic Turns 20
February 23, 2015
Two decades in, this annual gathering of all things agriculture has become a must-see event. Read More
CropLife 100Cooperative CHS Returns $518 Million To Owners
February 23, 2015
The 2015 cash return to owners is based on CHS net income of $1.1 billion, the company's second highest on record. Read More
ManagementCropLife Retail Week: On The Road Edition
February 20, 2015
Editors Paul Schrimpf and Eric Sfiligoj discuss their recent trips to the National Farm Machinery Show in Louisville and the Read More
Crop InputsLand O’Lakes Acquires FLM+ Assets
February 19, 2015
FLM+ will become a wholly owned subsidiary of Land O'Lakes, Inc., and the company will retain its employee base after closing of the deal, which is scheduled for the second quarter of the year. Read More
Seed/BiotechUnited Suppliers, Stine Seed Form Marketing Alliance
February 19, 2015
The new alliance will greatly expand sales opportunities for Stine Seed with the United Supplier Seed Link Owners. Read More
Crop InputsVilsack To Deliver Commodity Classic Keynote Address
February 19, 2015
The secretary will deliver a keynote address to several thousand farmers and ag allies during the event's General Session, to be held Friday, February 27, in Phoenix, AZ. Read More
Crop InputsSoybean Storage Tips
February 19, 2015
On-farm storage of soybeans requires some special considerations compared to corn. Read More
Monsanto Sign
Crop InputsBioAg Alliance Delivers Promising Field Trial Results
February 19, 2015
In its first full year of field trials, the BioAg Alliance reported that the top 10 microbial strains tested in corn and soybeans showed very promising results. Read More
National Farm Machinery Show overview
EquipmentNational Farm Machinery Show Attendance Up By 16K
February 18, 2015
The 2015 event saw the second highest attendance total of all time as 310,589 attendees that included exhibitors and agribusiness professionals traveled to the Kentucky Exposition Center to participate in the nation’s largest indoor ag trade show. Read More
EquipmentHagie Captures Three 2015 AE50 Awards
February 18, 2015
Hagie Mfg.’s Cover Crop Interseeder (CCI), High Speed Toolbar (HsTB) and STS with Tracks were presented with 2015 AE50 outstanding innovations awards at the 2015 ASABE Agricultural Equipment Technology Conference in Louisville, KY. Read More
CPS Truck door
ManagementOhio AgriBusiness Association Announces New And Re-Elec…
February 17, 2015
Crop Production Services, The Andersons among agribusinesses represented on OABA's 2015 Board of Directors. Read More
Crop InputsPlatform Specialty Products Finalizes Arysta Acquisitio…
February 17, 2015
The closing of this acquisition marks Platform’s third acquisition within the agrochemicals operating segment following the acquisitions of the Agriphar Group and Chemtura AgroSolutions in 2014. Read More
National Farm Machinery Show 50th Anniversary
Eric SfiligojThe National Farm Machinery Show Turns 50
February 17, 2015
The largest indoor farm trade show continues to impress visitors after five decades. Read More