GSP Crop Science eyeing Rs 1,800 crore revenue in FY25

Mumbai: Agrochemicals manufacturer GSP Crop Science is eyeing Rs 1,800 crore in revenue in 2024-25, following its domestic as well as overseas market expansion, a top company executive has said.

"In 2022-23, our annual revenue was at Rs 1,600 crore. We are looking at Rs 1,800 crore revenue in FY25. Overall our target is to reach Rs 2,500 crore in next 3-4 years with the addition of overseas business especially in Brazil," GSP Crop Science Managing Director Bhavesh Shah told PTI.

Shah said the company is working towards reducing its dependency on China for raw materials and planning to produce intermediaries needed to develop crop solution products.

"In order to reduce our raw material dependency on China, we are planning to gradually produce intermediaries needed for manufacturing our products. We are setting up our third manufacturing unit in Dahej in Gujarat with an investment of Rs 100-110 crores. In this unit we will initially produce 4 intermediaries," he added.

The company is focusing more on research and development (R&D) and has two centres, technical and formulation, in order to reduce its dependency on China for raw materials, mainly intermediaries, and also for developing new innovative products, hah added.

He said the company has two R&D units, one for formulation in Jammu and one each for formulation and technical in Ahmedabad in Gujarat.

"Almost 7-8 per cent of our revenue is spent on R&D. We have applied for over 150 patents and we have patents for 70 products. Currently, we have two manufacturing units, one each in Ahmedabad and Vadodara and another one coming up in Dahej," he said.

The company currently employs over 1,000 workforce and will add another 200 after the completion of Dahej unit, Shah noted.

Talking about market share the company enjoys in the country, Shah said, currently it has 2-3 per cent and in another 3-4 years it will go up to 6-7 per cent with product expansion.

"We have over 50 brands in India, and we are planning to expand. With a pan-India presence, currently we have a strong foothold in the southern region of the country. We see a lot of potential in the eastern and the northeastern region of the country for expansion. Going forward in the next 2-3 years our focus will be on expanding our herbicide portfolio.

"Therefore, on the back of a growing product portfolio and market, we are expecting 6-7 per cent market share in the next 3-4 years," he added.

Meanwhile, talking about the company's exports, GSP Crop Science Global Business Head and Strategy V N Rajesh said currently the export to domestic market ratio is 15:85.

"Currently we export to nearly 60 countries mainly in Africa, Latin America and Asia Pacific. Going forward, we are planning to further expand our business in Brazil, the US and Europe, where the market is big," Rajesh said.

Recently, GSP Crop Science expanded its business in Brazil and proposes to invest about $ 2-3 million in the Latin American country.

"In Brazil, which is a highly diversified market, this is the right time for us to do both the B2B as well as the B2C business. We see a lot of potential in Brazil and in 3-4 years time we are planning to set up a formulation unit in the Latin American country. However, before that we need to first understand the regulations and complexity of the market," Rajesh added.