Dhanuka Agritech Eyes Rs 2,000-Crore Revenue In FY26, Bolstered By Bayer AG Deal
Dhanuka Agritech chairman downplayed concerns over the impact of US tariffs, suggesting that India would remain competitive compared to China.
Agrochemical company Dhanuka Agritech is on track to achieve a topline of Rs 2,000 crore in fiscal year 2026 and Rs 2,300 crore in fiscal 2027, driven by its acquisition of marketing and distribution rights for two fungicides— Iprovalicarb and Triadimenol— from German pharmaceutical giant Bayer AG in a Rs 165-crore deal, according to Chairman MK Dhanuka.
“We expect 15% growth from our existing business, with an additional 2% from the Bayer acquisition. Indian sales will start reflecting in Dhanuka’s books in FY26, while overseas sales of Iprovalicarb and Triadimenol will be accounted for once registrations are transferred to our name. Overall, we anticipate around 17% growth, bringing our revenue from Rs 2,000 crore this year to Rs 2,300 crore next year,” he told NDTV Profit.
Dhanuka’s agreement with Bayer allows it to market these fungicides in over 20 countries across Latin America, Europe, the Middle East, Africa, and Asia. When the deal was announced, the company projected an Ebitda margin of 12% to 15% once these products were fully integrated into its portfolio. Iprovalicarb is used to combat Oomycetes diseases in horticultural crops, while Triadimenol serves as a seed treatment fungicide for cereals, cotton, and coffee.
Elaborating on Dhanuka’s export ambitions, the top executive emphasised that the bulk of revenues would stem from demand in Europe and East Asia.
“Until last year, Dhanuka was a purely domestic company. We have only recently ventured into exports and are still at a niche stage in the segment. Even Bayer’s products are not registered in the US; their primary markets are in Europe and Asia. Thus, our major business growth will come from these regions,” he explained.
MK Dhanuka also downplayed concerns over potential tariff impacts from the US, suggesting that India would remain competitive compared to China.
“We don’t expect US tariffs to affect Dhanuka's business. However, if tariffs are imposed on Indian imports of technical-grade pesticides, there could be some impact. That said, the US is targeting China with steeper tariffs, which should keep India relatively cost-competitive in the long run,” he said.
Shares of Dhanuka Agritech ended Wednesday's session 6.85% higher at Rs 1,337.9 on the NSE. In comparison, the benchmark Nifty50 index closed up by 0.72%.
