Pesticide sales in Peru projected at $310 million in 2024

Agricultural pesticide sales in Peru are expected to reach US$310 million this year, according to Rubén Carrasco, Executive Director of Cultivida. Cultivida is a private, non-profit, and unionized civil association representing Peru's agricultural industry. 

If this projection is confirmed, the result would represent a 10% growth compared to the previous year. According to Carrasco, this growth would be driven by agricultural exports, which in the first half of 2024 registered an increase in value of nearly 12% (totalling US$ 4,309 million).

Rubén Carrasco pointed out that the most sold class of pesticides are insecticides due to Peru's climatic conditions, which account for 35% of the total, followed by fungicides, with 30%.

″In tropical countries, herbicides represent between 60% and 70% of the market, but in Peru, since modern agriculture has developed in deserts, there are not many herbicides to use,″ he said.

Despite sustained growth, the sector faces significant challenges due to the illegal trade of agricultural inputs, including unregistered, counterfeit, adulterated, and smuggled products. In this regard, Carrasco states that smuggled products have the highest incidence, representing 10% of the total pesticide market. According to Cultivida data, illegally sold products account for an average of $30 million out of the $300 million in annual sales, while adulterated products represent 4%.

The executive also explained that the smuggled products mostly come from Ecuador. In that country, pesticides are exempt from Value Added Tax (VAT) and enter our country through the northern coast, creating market distortions and harming the competitiveness of legal products. In this sense, he indicated that increased inspection frequency is being sought and that these harmful actions should be penalized.

Carrasco explained that these products mainly affect family farming, where technology and knowledge still need to be improved. In the regions with the most development, agro-export companies acquire their products from large and reliable suppliers because they have high management standards and requirements.

″Cultivida runs an awareness campaign with farmers, explaining the benefits of purchasing their products from safe stores that guarantee proper origin,″ he said in conclusion.

(Editing by Leonardo Gottems, reporter for AgroPages)

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