biostimulant-industry-says-its-needs-reforms-not-subsidies

India’s biostimulant industry has asked for an urgent intervention by the government to safeguard it from regulatory bottlenecks and incoming US tariffs, so that its local workforce supporting a ₹40,000 crore-industry may thrive.

The National Biostimulant Industry Federation (NBIF) on Sunday apprised the Prime Minister Narendra Modi’s office of the major issues grappling the industry and proposed a series of policy reforms.

"The industry doesn't need subsidies. What it needs is clear, science-driven, and industry-aligned regulation," said NBIF President, Rajit Choksi, as he enumerated the problems engulfing the industry, including regulatory ambiguity and delays in product approvals under India's Fertiliser Control Order, with no dedicated testing protocols for natural substances like seaweed and humic acid.

Biostimulants are substances or microorganisms applied to plants, seeds, or the soil that enhance natural physiological processes to improve nutrient uptake, nutrient use efficiency, stress tolerance, growth, and crop quality.

 

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India possesses significant natural advantages for biostimulant production, including a 7,500-kilometre coastline suitable for seaweed cultivation and lignite-rich regions for humic acid extraction, with seaweed and humic-based products comprising over 70 per cent of the global USD 6.2 billion biostimulant market.

However, Indian biostimulant exporters now face tariffs of 15-28 per cent in key global markets, along with non-tariff barriers that include origin-specific efficacy trials and residue testing requirements, NBIF said in a statement.

The absence of mutual recognition agreements with major trading blocs, like the European Union and ASEAN, compounds these challenges.

With global companies increasingly capturing India's domestic market, local manufacturers struggle with regulatory clearances, said NBIF Secretary General, Sahil Malik.

The federation has proposed a series of policy reforms to the government, including declaring biostimulants a strategic sector, establishing a national tariff strategy task force, and creating centralised testing facilities.

With appropriate reforms, India could expand its biostimulant market creating employment for over 1,00,000 agricultural workers and biotechnology professionals in over 5,000 small and medium enterprises, NBIF said.