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Africa agrochemicals market set to reach $15B by 2031, driven by climate change and rising food demand

Africa agrochemicals market set to reach $15B by 2031, driven by climate change and rising food demand
Wednesday, 15 April 2026 18:56
  • Africa agrochemicals market to reach $15.08 billion by 2031

  • Growth driven by pests, food demand, government subsidies

  • Fertilizers dominate; affordability, counterfeits remain key challenges

The African agrochemicals market is projected to grow from $12.21 billion in 2025 to $15.08 billion by 2031, at a compound annual growth rate (CAGR) of 4.32%, according to a report published in late January by research and consulting firm Mordor Intelligence.

The report, titled “Africa agrochemicals market size and share analysis: growth trends and forecast, 2026–2031,” indicates that this expansion will be driven by several factors, including rising pest and disease pressure linked to climate change, increasing food demand from population growth, and government subsidy programs that improve access for smallholder farmers.

Shifting weather patterns have accelerated the spread of invasive pests such as the fall armyworm (Spodoptera frugiperda) across several African countries, significantly reducing maize yields. Infestations of striga, also known as witchweed, continue to damage crops in cereal-producing regions, prompting farmers to adopt integrated chemical control strategies.

Kenya, Ghana, and Ethiopia have established emergency response protocols, while regional organizations are coordinating pest surveillance networks. Agricultural companies have accelerated the development of precision insecticides targeting pest larvae, and digital monitoring platforms now provide real-time alerts to farmers.

Rising food demand is also driving government investment in domestic fertilizer production. At the same time, rural outmigration is reducing the agricultural workforce, increasing reliance on pesticides and herbicides.

Governments and financial institutions are increasingly rolling out subsidy programs to support the use of fertilizers and pesticides. One example is the Africa Fertilizer Financing Mechanism, a fund managed by the African Development Bank (AfDB) Group. Tanzania has introduced a credit guarantee system that has facilitated fertilizer trade and improved supply chain efficiency. The use of electronic voucher systems and mobile wallets has also reduced distribution inefficiencies and shortened delivery times.

Several countries, including Ghana, Kenya, and Tanzania, have implemented warehouse receipt systems. These allow farmers to use stored crops as collateral for loans, helping them manage cash flow between harvest and planting seasons while freeing up working capital to purchase inputs. Banks accept maize, sorghum, and rice as collateral, providing farmers with access to financing for crop protection products. This system helps lower rural interest rates, boosts sales for agrochemical retailers, and reduces post-harvest losses.

Fertilizers dominate the market

The adoption of precision agriculture, which improves agrochemical efficiency, and the emergence of local private-label distribution chains are also strengthening last-mile delivery.

The report shows that fertilizers accounted for 50.55% of the African agrochemicals market in 2025. These products address widespread soil nutrient deficiencies and support agricultural productivity across diverse agro-ecological zones. Nitrogen-based fertilizers remain essential for cereal production, while phosphate and potassium products are increasingly used in balanced nutrient programs.

However, plant growth regulators are expected to post the fastest growth, with a CAGR of 6.8% over the 2026–2031 period, driven by increasing demand for products that enhance stress tolerance, root development, and yield potential.

Pesticides continue to represent a significant share of usage across Africa, with herbicides dominating the segment due to labor shortages and the spread of resistant weeds. Demand for insecticides is rising in response to climate-driven pest outbreaks, while fungicide use is expanding in horticultural regions. Adjuvants, although a smaller segment, are gaining importance as precision spraying technologies require more advanced formulations to improve leaf coverage and simplify tank mixing.

Geographically, South Africa accounted for 17.72% of the African agrochemicals market in 2025, supported by advanced logistics networks, agricultural extension services, and access to credit. Ethiopia is expected to gain momentum in the coming years, driven by government initiatives aimed at achieving fertilizer self-sufficiency through strategic partnerships and local ammonia production. The country is projected to record the fastest growth rate through 2031, at 6.49%.

The five leading companies—Bayer AG, BASF, Corteva Agriscience, UPL Limited, and Syngenta Group—held a combined 44.2% market share in 2024. This moderate level of concentration points to opportunities for local startups and regional players focused on innovation and expansion. One example is Kenya-based agri-fintech firm Apollo Agriculture, which integrates financial services and agronomy to reach smallholder farmers directly, capturing last-mile margins often overlooked by multinational firms.

The report notes that key constraints on market growth include the limited affordability of agrochemicals for smallholder farmers, particularly in landlocked countries where transport costs can account for up to 50% of retail prices. Additional challenges include the proliferation of counterfeit products, which undermines farmer confidence, and lengthy registration processes for new products due to outdated pesticide regulations and limited institutional capacity.

Walid Kéfi

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