Rallis India Limited , a leading player in the Indian agricultural inputs sector, reported a 7% year-on-year decline in revenue for the second quarter, primarily due to adverse weather conditions affecting key agrochemical-consuming states.

Financial Performance

The company's revenue stood at INR 861.00 crores for Q2, compared to INR 928.00 crores in the same period last year. Despite the revenue decline, Rallis India managed to improve its profitability:

All figures in INR crores

Segment Performance

Crop Care Segment

• Declined by 3% due to lower domestic performance
• Export revenue grew by 33%

Seeds Segment

• Significant 29% decline
• Revenue dropped from INR 141.00 crores to INR 101.00 crores

Key Challenges

The company faced several challenges during the quarter:

• Abnormal rainfall distribution led to crop losses in key states including Punjab, Maharashtra, Uttar Pradesh, and Rajasthan
• Supply chain constraints in the Seeds segment
• Widespread adoption of illegal HTBt cotton varieties

Export Business

The export business showed strong performance:

• 51% growth in the first half
• H1 export revenue: INR 312.00 crores (compared to INR 207.00 crores in previous H1)

New Product Launches

Rallis India introduced two new products during the quarter:

1. 'Deeweed' - a herbicide
2. 'Dodrio' - a fungicide

Management Outlook

The management expects better prospects for the rabi season due to residual moisture from late rains. Dr. Gyanendra Shukla, Managing Director and CEO, commented, "While we faced challenges in Q2 due to adverse weather conditions, we are optimistic about the rabi season. Our focus remains on expanding our product portfolio, improving operational efficiencies, and leveraging digital initiatives to enhance our market reach."

Future Strategy

Rallis India is implementing various initiatives to achieve consistent, competitive, and profitable growth:

• Portfolio optimization
• Territory rationalization
• Removing overlaps
• Driving cost efficiencies
• Simplification across the value chain

The company continues to invest in research and development, with an annual R&D budget ranging from INR 60.00 crores to INR 70.00 crores. This investment is expected to yield new product launches in the coming years, including a wheat herbicide and a rice herbicide planned for the next year.

As Rallis India navigates through the current challenges, its focus on innovation, operational efficiency, and strategic growth initiatives positions it well for the upcoming rabi season and beyond.

Rallis India Limited , a subsidiary of Tata Chemicals Limited, has announced plans to scale up its exports and Contract Research and Manufacturing Services (CRAMS) operations by expanding its specialty crop-care segment. The company aims to enhance its margins by shifting its product mix towards high-value agri-inputs and biologicals.

Export and CRAMS Growth Strategy

Rallis India intends to leverage its expertise in crop protection to capture a larger share of the global market. The company's focus on specialty crop-care products is expected to drive growth in both exports and contract manufacturing services. This strategic move aligns with the increasing global demand for advanced agricultural solutions.

Shift Towards High-Value Products

The company's strategy involves a deliberate shift in its product portfolio towards high-value agri-inputs and biologicals. This transition is expected to improve profit margins and strengthen Rallis India's position in the competitive agricultural inputs market.

Financial Performance

According to the company's recent financial results:

Despite a challenging quarter due to erratic rainfall affecting field activities, Rallis India managed to improve its net profit. The company's PAT margin improved by 120 basis points to 11.8% in Q2 FY26.

B2B and Export Performance

The company's B2B business, including exports, showed strong growth:

• B2B Revenue: Increased by 14% year-on-year in Q2 FY26
• Exports: Registered a growth of 33% driven by higher volumes in key molecules

This performance underscores the potential of Rallis India's export-oriented strategy.

Product Portfolio Expansion

Rallis India continues to strengthen its product offerings:

• Eight new products launched in H1 FY26
• Recent launches include Penflor, Allato, Deeweed, and Dodrio
• Expanded presence in herbicides and fungicides segments

The company has also resumed biostimulant sales through in-house production, enhancing its footprint in sustainable crop solutions.

Outlook

Dr. Gyanendra Shukla, Managing Director & CEO of Rallis India Limited, commented on the company's performance and strategy: "Despite challenging weather conditions, our profitability remained stable, supported by export momentum and prudent cost management. Our focus on expanding specialty crop-care and high-value agri-inputs is expected to drive growth in exports and contract manufacturing services."

As Rallis India continues to execute its strategy of expanding into specialty crop-care and high-value products, the company appears well-positioned to capitalize on global agricultural trends and enhance its market presence in the exports and contract manufacturing segments.