As China’s Crop Protection Wavers Opportunities Abound

With uncertainty comes opportunity.

And these days the crop protection market is full of uncertainty. According to a report from Rabobank, the confusing situation in China is expected to continue to cast shadows over the market.


“A stalemate in China’s agrichemical market is expected this year, as rising raw material costs drive up active ingredient costs, but low agricultural product prices boost downstream demand,” according to the report.

Increased demand combined with rising costs and the ongoing environmental crackdown on manufacturers in China is making sourcing more difficult. And let’s not forget the Trade War between the U.S. and China. Put all that together and many companies are rethinking their supply chains.

There are two ways to solve problems. First, like Apple, you can solve a problem that people didn’t even know they had. When Steve Jobs announced the first iPhone, no one knew they needed a smartphone. Now we can’t seem to live without them. The second way to solve a problem is more traditional – find the solution to an issue facing your customers.

It’s the companies that can find clarity in the chaos and that can provide solutions to their customers that will have an advantage when the situation settles down. Of course, that’s the hard part. The next couple of years should prove rather interesting for the industry.

New technology, biological products, precision agriculture, and changing regulations will continue to hit the industry at a rapid-fire pace. Many companies seek to be the one-stop shop for all their customer’s needs. That will grow more difficult as the offerings grow more diverse. Partnerships will become increasing important.

One thing is assured. The next few years should be interesting. Feel free to share your thoughts – tell me if I’m right or wrong. Please reach out at [email protected].