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Weak Monsoon Cuts India's Farm-Input Demand, Rallis Says
India's rainy season has been weaker and less regular than usual this year.
This matters because farmers need rain to grow crops.
Many farmers are unsure whether they will get a full harvest.
Because of this uncertainty, they are spending less on seeds, fertilisers and pesticides.
Rallis India says demand for weed killers and fungicides has been especially weak.
Other farm-input companies have reported similar problems.
India's monsoon normally provides much of the country's yearly rainfall.
Rallis India also says there are too many companies competing in the farm-input market.
India's monsoon rainfall was 15% below average as of September 21, according to Barclays.
Rallis India CEO Gyanendra Shukla said farmers are reducing spending because harvest prospects are uncertain.
Demand for crop-protection products, fertilisers and seeds is expected to weaken, particularly for herbicides and fungicides.
Dhanuka Agritech and Godrej Agrovet have also attributed weak crop-protection demand to erratic rainfall.
Shukla said India's farm-input sector is overcrowded and may be ripe for consolidation.
- Who
- Farmers, Rallis India Managing Director and CEO Gyanendra Shukla, and other farm-input companies including Dhanuka Agritech and Godrej Agrovet.
- What
- Weak and erratic monsoon rainfall is reducing demand for pesticides, fertilisers and seeds in India.
- Where
- India.
- When
- The report was published on September 23, 2026; rainfall figures cited were measured through September 21, 2026.
- Why
- Farmers are uncertain about achieving full harvests and are therefore reducing spending on agricultural inputs.
Key facts
- Monsoon period
- June-September
- Rainfall share
- The monsoon accounts for nearly 70% of India's annual rainfall.
- Rainfall deficit
- Rainfall was 15% below average as of September 21, according to Barclays.
- Affected products
- Pesticides, fertilisers, seeds, herbicides and fungicides.
- Summer crops
- Rice, soybeans and cotton are typically sown from June as monsoon rains arrive.
- Winter crops
- Wheat and rapeseed are planted from October after the monsoon retreats.
- Industry concern
- Rallis India said low barriers to entry have created an overcrowded farm-input market.
Quotes
Gyanendra Shukla
Managing Director and CEO of Rallis India
“There will be compression in the overall use of crop protection products, fertilisers and seed”
thehindubusinessline.com
“Farmers are not very certain of full harvest as they would have anticipated.”
thehindubusinessline.com
Sources
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