Observations on the Indian Rice Pesticide Market in the Context of Rising Global Rice Prices

Rice, the world's most important food crop and a primary source of food for more than half of the world's population, has a long way to go in disease prevention and control in the context of increasingly severe food security issues.

On the one hand, with the rapid development of economy and society, the various uncertainties brought to food security by the continuous growth of global population are becoming an unavoidable problem. On the other hand, rice diseases, as an important factor affecting grain yield, are increasingly becoming an important obstacle to the sustainable development of global agriculture.

In September last year, factors such as the Russia-Ukraine war caused India's exports of broken rice used for livestock feed to increase to more than 43 times that of 2019, and the government was forced to issue an export ban. Afterwards, heavy rains caused poor rice harvests in some parts of the world. Therefore, the Indian government announced in July this year that it would ban the export of rice except for some high-end varieties.

On August 25, the Indian Ministry of Finance issued another notice announcing that it would impose a 20% export tariff on parboiled rice from now on. This means that India has banned the export of all non-basmati varieties of rice, which account for 80% of exports. India is the world's largest rice exporter, accounting for about 40% of the world's total exports. India's ban on rice exports has a greater impact on global rice prices.

History of rice in India

Rice is one of the most important food crops in India, which is the second largest rice producer after China. Most of the rice is planted before Iftar, and a small part is planted in the summer. India's rice production is greatly affected by monsoon climate factors. Currently, only 59% of India's rice fields can ensure irrigation. The altitude and climate conditions for rice cultivation vary greatly. The rice cultivation range in India ranges from 8 degrees north latitude to 35 degrees north latitude, and the highest altitude in the planting area can reach 3,000 meters.

Major Rice production states in India are Indo- Gangetic and other River side states like West Bengal, Uttar Pradesh, Bihar, Punjab, Haryana, Odisha, Chhattisgarh, Andhra Pradesh, Telangana, Tamil Nadu, Kerala, Assam, etc. Punjab has made excellent prosperity in Rice cultivation during the last 60 years since the Green revolution began in 1960’s in India. Punjab and Chhattisgarh are the Rice Bowl of India.

Among Indian rice varieties, there is a unique existence called basmati rice. Basmati rice is also known as the pearl of rice. These special characteristics make it more expensive in the international market.

Basmati rice is pure, nourishing and easy to digest. The unique fragrance and flavour of basmati is due to the presence of a chemical compound called 2-acetyl-1-pyrroline which makes it unmatched to any other aromatic rice in the world. Basmati rice is characterized by extralong, superfine slender grains having a length to breadth ratio of more than 3.5, sweet taste, soft and fluffy texture, delicate curvature, superior aroma, unique flavour and an extra elongation with least breadth-wise swelling on cooking. India is the major producer of basmati rice in the world by constituting more than 70 per cent of the total world basmati rice production followed by Pakistan.

Rice diseases, insect pestsand weeds in India

Statistics show that the average yield loss caused by rice diseases can reach 10%-15%. In addition to directly causing yield loss, it also directly leads to a decrease in the quality of the rice produced. The resulting mildew, rot, etc. have a negative impact on the nutritional value of the rice. This has had a huge negative impact, and the decline in related indicators has further affected normal trade and share in the world grain market. At present, the main diseases of rice in India are rice blast, bacterial leaf blight, sheath blight, smut and brown spot.

Brown spot caused by Helminthosporium oryzae accounts for 5% yield loss worldwide annually. Adversely affected fields show yield loss as high as 45%.

The disease is of historic significance and a devasting outbroke in the Bengal Province during 1943 ended as the Great Bengal Famine resulting in starvation and an estimated demise of 2.1 to 3 million people. Brown spot is still devastating on looking the present scenario of damage to rice. Different approaches have been adopted ranging from the use of brown spot resistant rice cultivars, chemical ameliorations and biological control measures for the management of the disease. But, still the disease seems to be chronic and adverse in the current scenario.

Secondly, pests can also have a huge impact on rice production. The annual loss of Indian rice due to pest problems is between 10-30%, and the annual loss is estimated to be as high as 260 billion US dollars. At present, the main pests of rice in India are Yellow stem borer, Brown plant hopper, Leaf folder, Gundhi bug and Gall midge.

Weeds are also the main problem that limits the growth and yield of rice. Weeds generally grow faster than rice and absorb nutrients and available water earlier than rice, thus inhibiting the growth of rice. Effective control of weeds can make rice The output increased by 85.5%. At present, the main weeds in Indian rice are Echinochloa crusgalli, Cyperus rotundus and Weedy rice.

New products launched for rice in the past year

According to statistics from AgroPages, a total of 8 products have been launched on the market between 2022 and August 2023 (Note: product screening criteria: rice as a target crop in the companies’ external publicity or trial demonstrations), involving 8 companies and 11 active ingredients (Table 1).

Table 1: New products launched for rice in India between January 2022 and August 2023
(According to AgroPages incomplete statistics)

Orchestra

"Benzpyrimoxan", the active ingredient of Orchestra® discovered and developed by Nihon Nohyaku, inhibits molting of nymphs of plant hoppers and leaf hoppers and reduces the pest population in paddy fields. Benzpyrimoxan is presumed to have a novel mode of action since it is observed to express high insecticidal activity against the pest population with reduced sensitivity to existing insecticides.

Novixid™

The product effectively controls weeds that are tolerant to ALS (Acetolactate synthase), ACCase (Acetyl- coenzyme A carboxylase), and HPPD (Hydroxyphenylpyruvate dioxygenase) HPPD inhibitor herbicides as well. It also has a favorable toxicology and ecotoxicology profile which benefits soil health and the environment. This makes Novixid™ a distinctive product that performs across variable conditions and water management environments effectively.

Imagine

Imagine is a new insecticide with unique biological properties and long residual control. Its suspension formulation provides quick and effective control against BPH. Extensive performance trials have shown that Imagine protects rice yields from the damage of BPH and enhances crop health, helping farmers with economic benefits and productivity. Imagine is also effective on insect populations resistant to existing insecticides.

Vistara

Vistara (Chlorantraniliprole 0.4% GR) prevents the build-up of shoot borer and stem borer populations in paddy and sugarcane and protects the growers from incurring losses due to low crop yield and thereby maximizing output. It is safe for the environment due to its low dosage.

SA-IMIDAN

SA-IMIDAN (Phosmet 50 % WP) is a broad spectrum, environment friendly insecticide and safe for friendly pests. This product will help farmers ensure the greatest and healthiest yield. The Crops on which this pesticide is applied are Chili, Cotton and Rice and the Common Name of Pest which are controlled by this insecticide are Aphids, Thrips, Fruit Borer, Jassids, Aphids, Whitefly, Bollworm, Yellow Stem, Borer (Scirpophagaincertulas), Leaf folder (Cnaphalocrocis medinalis).

Novlect™

Novlect™ rice herbicide’s unique combination of Rinskor® active has proven very beneficial in effective weed management including Direct Seeded Rice (DSR). It has a favourable toxicology and ecotoxicology profile which benefits soil health and the environment. Its advanced formulation allows for easy handling, mixing, and application, making Novlect™ a distinctive product that performs effectively across variable weather conditions and water management environments. The product effectively controls weeds that are resistant to ALS (Acetolactate synthase), ACCase (Acetylcoenzyme A carboxylase), and HPPD (Hydroxyphenylpyruvate dioxygenase) HPPD inhibitor herbicides as well.

ENTAZIA™

ENTAZIA™ biofungicide marks a significant stride forward in FMC India's mission to transform agriculture and address the evolving needs of farmers with biological solutions. This innovative product leverages the natural capabilities of Bacillus subtilis to control bacterial leaf blight, one of the most serious diseases of rice. By activating the crop's defense system against plant pathogens, ENTAZIA™ biofungicide acts to prevent and control bacterial leaf blight, while staying harmless to natural predators and parasites.

According to statistical analysis by the crop science team of S&P Global Commodity Insights. In 2022, herbicides, insecticides, and fungicides will account for 47.20%, 24.97%, and 24.96% of the crop pesticide market respectively. Looking at single rice products, India has launched 2 herbicide products in the past year, accounting for 25%; 5 insecticide products, accounting for 62.5%; and 1 fungicide product, accounting for 12.5%. In general, the rice products launched in India have local characteristics. From the perspective of product type, Indian rice has a strong demand for insect pests.

From a company perspective, the four major multinational companies appear three times, accounting for 37.5%. From the perspective of active ingredients, there are three compound products that are still under patent period, accounting for 37.5%. Among them, it can be seen that Japanese companies have a deep focus on India in terms of active ingredients. Nichino India has launched the new insecticide Orchestra (benzpyrimoxan) in Hyderabad, India. It can be used to control rice brown planthopper (BPH), one of the devastating pests that causes huge losses to farmers. This product is jointly researched and developed by Nichino India and Japan and will be launched in Japan and India.

In addition to Nichino India, UPL has signed an exclusive global commercial agreement for Flupyrimin with Meiji Pesticide Co., Ltd. This agreement does not include Japan, South Korea and Chinese Taiwan, and is a non-exclusive agreement in mainland China.

Future Outlook for India's Rice Pesticide Sector

Food security concerns amidst growing population and incomes in India will mandate steady enhancements in rice productivity and production. With rice occupying 44 million hectares, the crop protection chemical and biopesticide sectors have pivotal roles to play in sustaining intensification while promoting ecological sustainability. Industry analysis indicates continued vibrancy in the short to medium terms, based on several positive drivers:

Global rice trade growth and high prices to incentivize maximizing Indian rice supplies and quality, subject to Government trade policies and inflation control. High-technology seeds, precision farming, better storage to aid productivity gains.

Increasing pesticide use expected on rice, facilitated by growing farmer access, higher affluence, horticulture expansion displacing less remunerative cereals, and climate change exacerbating existing biotic stresses.

Intensified research by Indian and multinational agrichemical firms to develop novel active ingredients, combinations, formulations and biological solutions tailored to local rice ecosystems and farmer needs. Registration of newer chemistries and biopesticides to expand options.

Patent expiries of major older active ingredients and generics growth resulting in competitive prices, thereby increasing farmer adoption across India’s rice growing regions. Widespread distribution networks play a key role.

Developments in information, drone, remote sensing and communication technologies to aid delivery of tailored crop advisories and channels for purchasing inputs. Digitalization enhancing efficiency across production-to-consumption value chains.

Government incentives and infrastructure investments supportive of agriculture sector, though policy consistency needs improvement. Gradual uptake of crop insurance expected to mitigate production risks.

Contract farming, custom hiring centers, farmer producer organizations promoting mechanization, direct farmer-market linkages, economies of scale in procuring inputs and services.

To summarize, India’s rice pesticide industry seems strategically poised to register steady expansion in the coming years, underpinned by rhyzomatic growth in rice output, evolving pest pressures, and rising utilization intensity. However, longterm sustainability and food system resilience will call for complementary, science-based integrated pest management. Prudent regulation and farmer education are vital to ensure judicious and effective application of pesticides along with biopesticides, fungi-resistant genetic lines and agroecological methods as key components of diversified, futureoriented plant protection strategies for rice farming across India.