Pesticide firms seek sops to cut China import

Vijay C Roy/Sukhmeet Bhasin

Tribune News Service

Chandigarh/Bathinda, June 30

The anti-China rhetoric is unlikely to benefit pesticide manufacturers dependent on China for raw materials unless they are provided support by the government.

According to the manufacturers, they need at least two years to become self-sufficient provided the government supports them with a special package.

The industry is dependent on China for 30% intermediates, raw materials and technical grade pesticides that are manufacturing use products. The size of the Indian pesticide industry is over Rs 42,000 crore, out of which Rs 22,000 crore comes from exports. In the northern region, there are around 200 units and 2,800 across the country.

On being asked whether the industry is prepared if the government bans imports from China or imposes high tariffs, Pradip Dave, president, Pesticides Manufacturers & Formulators Association of India, and chairman, Aimco Pesticides Ltd., said, “Indian and Chinese industry are working together for the past many years and have established a trade channel that facilitates the supply of raw material and technical grade products. If the higher tariffs are imposed, it will increase prices of pesticide formulations used for plant protection and public health.”

The alternative is to locally develop technologies for the production of intermediates and technical grade products to avoid dependency on import.

To become self-sufficient, the Indian pesticide industry has been seeking support from the government as extended to the pharma industry.

Beopar Mandal Punjab president Amit Kapoor said: “If the government supports traders, provides incentives to boost domestic manufacturing and impose heavy taxes on Chinese products in India, then only we will be able to compete with Chinese products”.