Business & Policy

ACFI Seeks ₹7,500 Crore Scheme for Crop Protection

Published: September 19, 2026
Author: HFT

The Agro Chem Federation of India (ACFI) has asked the government to support the crop protection industry.

ACFI has proposed a ₹5,000-7,500 crore support scheme. The scheme would boost local agrochemical production. It would help India produce more technicals and intermediates. It would also support new and existing plants.

ACFI seeks long-term support

ACFI wants a clear policy for the industry. It has proposed support for seven to eight years. The first two to three years could support new plants. The next years could support production. The scheme should cover both large firms and MSMEs.

It should also cover new and existing plants.

ACFI and KPMG release report

ACFI and KPMG have released a new report. It is titled “Redefining Indian Crop Protection through Innovation: From Scale to Science.” The report looks at the future of India’s crop protection sector.

It focuses on local production and research. It also looks at industry costs.

The report says India needs stronger local supply chains.

Report suggests financial support

The report lists several support measures. It suggests a 5-8% incentive on higher sales. It also suggests 30-40% support for industrial electricity.

The report also seeks support for shared CETP use. Capital grants could support specialised research.

Shared facilities could also help manufacturers.

Manufacturing parks proposed

ACFI and KPMG have proposed agrochemical manufacturing parks. These parks could provide shared utilities.

They could also provide common environmental facilities. This could help companies reduce costs.

The report also calls for long-term finance. It supports local production of key intermediates.

More focus on research

The report says India needs more than new factories. It also needs more research and product development.

The report highlights biological crop protection. It also highlights advanced formulations.

Regulatory science is another focus area. Digital agriculture is also part of the report.

Biological products offer scope

The report sees scope for biological crop protection in India. India has a large agricultural sector.

It also has rich biodiversity. The country has strong scientific talent. India also has fermentation expertise.

However, more testing will be needed. The report calls for better pilot plants.

It also seeks stronger field-testing networks. GLP laboratories are also needed.

The report seeks better residue testing facilities. It also calls for better formulation facilities.

Simpler approvals needed

ACFI has also proposed a single-window approval system. The system could use one digital platform. It could cover Centre and state approvals.

The report also seeks clear approval timelines. It wants clearer rules for biological products.

Farmer needs remain important

ACFI Chairman Rahul Dhanuka said farmer needs should remain central. He highlighted innovation and local capabilities. He also stressed strong supply chains.

Digitalisation and sustainable farming were also highlighted. He said new solutions should be practical and accessible.

Experts discuss agricultural innovation

ACFI held a panel discussion after its AGM. The session was titled “The Invisible Revolution: How Innovation is Feeding India.”

Experts from government, industry and academia joined the event. They discussed technology in Indian agriculture.

They also discussed safety and sustainability.Dr Vishal Chaudhary, Scientist to the Government of India, called for more research. He also called for stronger public-private partnerships.

Dr Sweety Behera, Director, FSSAI, discussed safety and sustainability. Dr Kavya Dashora, Professor at IIT Delhi, discussed nanotechnology.

Other speakers discussed biotechnology and digital tools. They also discussed seeds and crop nutrition.

India aims to strengthen the sector

The report says India can build a stronger crop protection industry. However, growth will need more than new factories.

Research and product development will also matter. Better testing systems will also be needed.

Clear approval rules will be important too. The report calls for action from government and industry.

Researchers, investors and farmers also have a role. The aim is to move new ideas from research to farms.a

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