India’s organic agriculture landscape is poised for a transformative shift, as the country’s organic fertiliser market is projected to grow from US$581 million in 2024 to a projected valuation of US$935 million by 2031.
This strong growth trajectory, driven by a compound annual growth rate (CAGR) of 7%, reflects the accelerating nationwide push toward sustainable farming practices and reduced reliance on chemical inputs.The shift is not merely statistical—it reflects deeper changes in India’s farming ethos. As consumer demand for chemical-free produce rises across urban and rural markets alike, farmers are being incentivised to switch to organic methods. That transition, in turn, is fuelling demand for organic fertilisers derived from plant- and animal-based sources. What was once a niche market is now becoming a mainstream pillar in India’s agricultural economy.
The surge in adoption is particularly prominent in North India, with Punjab, Uttar Pradesh, and Haryana emerging as front-runners. These states, already active in India’s Green Revolution history, are now redefining their future through an organic lens. North India is anticipated to account for 44% of the market share by 2031, making it the nation’s most lucrative regional market for organic fertiliser manufacturers.Much of this momentum stems from national policy support. Flagship government programmes such as Paramparagat Krishi Vikas Yojana (PKVY) and the National Mission on Sustainable Agriculture (NMSA) are injecting capital, training, and subsidies into the organic farming ecosystem. These efforts are reshaping how small and medium farmers approach land management, crop rotation, and soil restoration.
Market data also underscores the strategic potential of the farming segment, which is expected to command 68% of the market share by the end of 2024. This dominance is logical—crop cultivation accounts for a large proportion of India’s rural economy, and the need to retain soil fertility without polluting groundwater is more urgent than ever.Plant-based fertilisers, in particular, are forecast to grow at a CAGR of 7.1% during the forecast period. Their popularity is rooted in their ease of availability, lower odour profile, and compatibility with existing farming techniques. Unlike animal-based inputs, they are also perceived as more environmentally neutral—an important factor for states facing groundwater depletion and soil degradation.
However, challenges persist. Organic fertilisers remain costlier to produce and distribute, and many rural farmers lack awareness or access to reliable supply chains. Without targeted investment in education, infrastructure, and market incentives, the pace of adoption could slow. Yet, industry analysts suggest that rising health consciousness and environmental awareness may tip the scales.The growing base of urban consumers seeking organic food is also altering the economics. Retail demand is increasingly influencing supply decisions on the farm, reversing a decades-long top-down approach in Indian agriculture. With urban consumption rising, even smaller producers are seeing value in switching to organic inputs, creating a ripple effect across the supply chain.
India’s organic fertiliser market is not just a statistical opportunity—it is an environmental and public health imperative. If managed well, this growth could align economic opportunity with ecological responsibility, putting Indian agriculture on a path that is both sustainable and scalable.
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